A homeowners association (HOA) owes a fiduciary duty to its members to preserve property values in the neighborhood. While a neighborhood watch program could serve this goal by increasing safety it should be created and maintained separately from the HOA.
Nashville, TN (PRWEB) July 18, 2013
This case has and will impact homeowners associations across the country, and what they must do to provide security to its residents while protecting itself from the liability of the actions of the neighborhood watch.
The case involved the actions of George Zimmerman, the neighborhood watch captain, that resulted in the death of Trayvon Martin. Because the HOA was so closely intertwined with the neighborhood watch program, Trayvon Martin’s parents were able to successfully sue the HOA for wrongful death, lost income, pain and suffering.
While the settlement amount has not been disclosed, it has been rumored to be in excess of one million dollars. If the HOA did not have a liability insurance policy that covered wrongful death, the settlement would likely become the responsibility of the home owners living within the association.
Mr. Jolly explains how this could impact the entire neighborhood through increased financial obligations and increased future dues to the HOA. Kim Hollingshead, Attorney with Touchstone Title, said, “A homeowners association (HOA) owes a fiduciary duty to its members to preserve property values in the neighborhood. While a neighborhood watch program could serve this goal by increasing safety it should be created and maintained separately from the HOA.”
In the article, Hollingshead lists the steps an HOA needs to take to provide safety to their community while protecting that same community from financial liabilities associated with the neighborhood watch program.
For additional information on how one can protect their neighborhood and prevent future tragedies, go to How the Trayvon Martin Tragedy Will Change Your Neighborhood. Steve Jolly is one of the top Real Estate Brokers in the Greater Nashville Area and also owns NashvilleRealEstateNow.com