Tract 19051 Homeowners Assn. v. Kemp

Los Angeles · CA · Supreme Court of California

Member win · other

What happened

A group styling itself Tract 19051 Homeowners Association sued lot owners (including the Kemps) to enforce restrictions. Defendants prevailed on the merits because plaintiffs failed to prove a common interest development subject to the Davis-Stirling CID Act. The trial court still awarded defendants attorney fees under former Civil Code § 1354(c) (CID Act fee provision). The Court of Appeal affirmed the merits win for defendants but reversed the fee award. On March 5, 2015, the California Supreme Court reversed the Court of Appeal on fees, reinstating the defendants’ fee award.

What the court (or agency) held

Homeowner defendants kept their merits win and regained attorney fees. When a plaintiff sues to enforce CID-type restrictions under the Davis-Stirling fee statute, defendants who prevail—including by showing the property is not a CID to which the Act applies—may recover fees under former § 1354(c). The fee statute is not limited to prevailing parties only after a finding that a CID exists.

Why this matters for members

Voluntary or informal “associations” that sue neighbors under Davis-Stirling risk paying the other side’s fees if they cannot prove a CID—and the fee statute can still apply to the enforcement attempt. Owners defending dubious restriction suits should preserve fee claims even while arguing the Act does not govern the subdivision.

What the member did

Defended the enforcement suit on the merits and sought reciprocal statutory attorney fees as prevailing parties.

Questions for the board

Questions for a lawyer

Citation

Tract 19051 Homeowners Assn. v. Kemp, 60 Cal. 4th 1135; S211596 (2015) (2015-03-05). Supreme Court of California. Outcome chip: member_win. Source: https://scocal.stanford.edu/opinion/tract-19051-homeowners-assn-v-kemp-34394

_General information, not legal advice. Outcomes turn on facts and current law._

Source opinion

General information, not legal advice. Outcomes turn on facts and current law.

Not a law firm. Not legal advice. Confirm this against your documents and your state’s law.