CC&Rs and rules sometimes contain provisions that violate state law, yet owners have little recourse. This bill creates remedies and damages for unlawful provisions in HOA governing documents, giving owners teeth to challenge illegal rules.
In short: Creates remedies and damages for unlawful provisions in HOA governing documents.
Introduced — no action Pro-homeowner
HB2743 amends the condominium and planned-community statutes on unlawful governing-document provisions and violation notices (A.R.S. 33-1242, 33-1803). It requires associations to give detailed written responses when an owner contests a violation, blocks enforcement if the required details are missing, and imposes escalating monetary damages when an association fails to remove provisions that are unlawful.
For homeowners: It adds owner protections: statutory damages ($1,000, then $2,500 for repeat conduct) when a governing-document provision is unlawful, and it blocks enforcement and fee collection when a violation notice omits the required contest process. The damages are modest and the owner has to raise the objection in writing, so it's a relatively weak protection — but a weak owner remedy is still an owner remedy, and on its mechanics it helps homeowners.
What the bill actually does, point by point — from the Arizona Legislature’s official fact sheet.
- When an owner challenges a violation notice, the association must provide a detailed written response within 10 business days.
- That response must identify the specific provision violated, the date of the violation, the names of the people who observed it, and the process the owner must follow to contest the notice.
- If the required information is not provided, the association cannot proceed with any enforcement action, including collecting attorney fees.
- An association that fails to amend or remove an unlawful provision owes $1,000 after a first written notice, and $2,500 after a second and each subsequent notice.
- Liability accrues based on the number of written notices received, regardless of whether they come from the same or different owners.
- Owners may sue directly in any court of competent jurisdiction to recover these damages.
The A.R.S. sections this bill amends, adds, or repeals — taken from the bill text. Click one to read the current law.
Organizations and industry insiders who registered a position on this bill through the Legislature’s public Request to Speak system — simply where each stood: For, Against, or Neutral. Individual homeowners are not listed. Whether this bill helps or hurts homeowners is our own read, shown by its label above — a group’s position doesn’t set our call. Each row links to that entity’s report card and to the source at azleg.gov.