Arizona HOA Fines & Penalties

Under A.R.S. § 33-1803, 'after notice and an opportunity to be heard, the board of directors may impose reasonable monetary penalties on members for violations of the declaration, bylaws and rules of the association.' The statute does not set a flat dollar cap on the penalty itself, requiring instead that it be reasonable. It does cap late charges: 'the board of directors shall not impose a charge for a late payment of a penalty that exceeds the greater of fifteen dollars or ten percent of the amount of the unpaid penalty.' A member who receives a violation notice may respond within 21 days, and the association must provide details such as the provision violated, the date, and the contest process before enforcing or collecting fees.

No specific statutory penalty against the HOA, but a fine imposed without notice and an opportunity to be heard, or one that is unreasonable, is unenforceable. A member may dispute a violation through an administrative hearing with the Arizona Department of Real Estate.