California  |  Real Estate Law

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9/26/05, 11:22 pm

Legal Question


HOA Refuses to pay vendors on insurance claim

In Oct '02 our association opened a claim due to extensive damage done to homes from wind. We had water ankle deep in one of the rooms. An adjuster came and said it would be cleaned and sanitized. No one showed up. We called weekly to check on our home to the management co. & attended every Board meeting bringing it up. Finally the claim started moving and we got someone to our home that found toxic mold in my son's room. Both of my children were having allergic reactions & we spent time at the Doctors and moved both kids into our bedroom. The insurance co. came out recently and approved the work as well as recommended a restoration company which we used. They sent a letter with the approval. The Board will not release the funds unless we sign a release. We agree to sign a release but the one they provided is incomplete and doesn't specify what we are releasing. The VP of the board refuses to change the release to be specific an says she will have the money returned to the insurance company if I don't sign the release as it stands. I have faxed the letter from the insurance company and bills from the vendors and they refuse to pay them directly either. I am sure I will have a lein on my home from the vendors soon if I don't pay.


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