Utah HOAs must offer informal dispute resolution and cannot charge disproportionate fees; mediation is encouraged before litigation.
Utah Code 57-8a-227 encourages alternative dispute resolution for HOA conflicts. While binding arbitration is not mandated statewide, many CCRs require mediation before litigation. The Utah Division of Real Estate does not regulate HOA disputes directly. Owners can sue in state court for CCR violations, breach of fiduciary duty, or open-records violations. Attorney fees are typically recoverable by the prevailing party under CCRs. Small claims court can handle assessment disputes under $11,000.
Contact your local code enforcement office for specific penalty information.
See how other cities in Salt Lake County handle dispute resolution.
See how Sandy's dispute resolution rules stack up against other locations.
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