Why so quiet?

Sorry for the big break in my updates about SCA shenanigans.

I’m in California for some family events,

Nathaniel graduated

and a new granddaughter due any minute

But, while we’re waiting for the next big thing, I’ll tell you

The real cause for pause

After a fun-filled trip to Mexico, I dragged myself to the May 24 Board meeting. I was immediately stunned by the President’s report that NRED had stopped investigating two complaints that impacted me.

I wondered if NRED’s practice was to rely on management or agents rather than get the whole story. I hoped not. But, I had a sinking feeling…

Ordinarily, I would have posted something right away, but I decided to talk to NRED’s new chief investigator, Terry Wheaton, first. Multiple attempts to set up a meeting were unsuccessful so I documented my concerns in writing.

It is even longer than my usual missives, so I’ll break it up for you. It was full of hyperlinks to the actual evidentiary documents. I will break the links in this public distribution, just in case, my transparency forces the SCA Board and GM to claim it is their fiduciary duty to pay the attorney $10,000+ to threaten to sue me to kingdom come.

Part 1 of email to NRED

Fwd: Issues related to dismissed and open investigations; NRED Letters of Instruction to SCA

I am writing you now to document my concerns and request that you evaluate these documents before there is a final determination on my form 514a, 781, and three form 530 complaints  (harassment/retaliation, recall election interference, and for removing me from the Board without complying with NRS 116.31036 on false and unproven charges that I had placed matters before the Board from which I stood to make a profit.

1. NRED investigations are closed without notice or reason

In March, I raised this concern to Christina Pitch in the email I am forwarding here. You can see her response. However, the pattern of NRED closing complaints without a clear, legally defensible, equitable resolution seems to be continuing.

At the last Sun City Anthem Board meeting on 5/24/18, the new President Bob Burch made the following claims in his President’s report which were extremely disheartening because I have received no communication from NRED about these issues which intimately affect me and about which I have formally filed affidavits and declarations.

President’s report

Next, I would like to report that we have been advised by the Nevada Real Estate Division that two complaints filed against the Association have been closed. In one case, it was alleged that the Executive Board held an emergency meeting on July 18, 2017 to discuss employer liability and that the meeting did not meet the requirements for an ‘emergency’ under NRS116. In the second case, it was alleged that the Executive Board held secret meetings beginning in March or April 2017 in which appointments to committees were agreed upon and Association business was decided upon. Both complaints were closed without any action being taken against the Association when the division determined that there was no good cause to continue with the investigation. In other words, we prevailed.  – Bob Burch, 5/24/18

What does “no good cause to continue the investigation” mean?

Does NRED condone or just not care?

Dismissed complaint 1: July 13 “emergency” executive session

In my view, having a Board meeting without notifying me for the other six directors to approve a cease & desist order against me was an unlawful abuse of authority and certainly not an emergency.

What does NRED think?

Does NRED’s closing the complaint investigation without disciplinary action against SCA mean:

  • That NRED says it’s okay for the GM to fail to give me, an elected Board member, ANY verbal or written notice that the Board I was elected to was being called into an “emergency” executive session two hours after I was standing in her office being denied access to ANY SCA records despite NRS 116.31175 and SCA bylaws 6.4(c)?
  • That NRED says it’s okay for a GM, an at-will employee, to use the association attorney at SCA owner expense to threaten litigation against SCA (her employer) and me, a Board member, personally for creating “employer liability” for asking for justification for her being paid double the market rate and criticizing her performance and judgment despite NAC 116A.345(5)?
  • That NRED says it’s okay for six Board members to meet without and issue orders against me, the seventh EQUAL, ELECTED Board member, to limit authority as a Board member, restrict my duties, TOTALLY restrict my access to information needed to make decisions as a Board member, and restrict my right to vote on an equal basis with the other directors despite the prohibitions in NRS 116.3103(2)(d)?
  • That NRED says it actually was an emergency as defined by NRS 116.31183(12) affecting the health, safety and welfare of the community for 6/7 of the SCA Board to meet to order me, the seventh, to stop asking for a verification of the GM’s former salary and to reprimand me, without legal authority, for asking the GM to reconsider a ruling she made to prevent equal time in SCA official publications for a proponent of the recall election?
  • That NRED says that six members of the Board constitutes a quorum, and they (6 of 7) can meet in executive session to make decisions for the Board as a whole or to take action against the seventh Board member even if the six directors prevent the seventh Board member, despite the limitations defined in NRS 116.31185 or NRS 116.3103(2)(d),
    • from attending their secret session,
    • from voting, or even
    • from knowing their secret meeting is going to occur ?
  • That NRED doesn’t care that the SCA Board failed to comply with multiple provisions of state law and SCA governing documents?
Or is NRED saying
these owner complaints are frivolous and aren’t serious matters worthy of at least a complete investigation?

That meeting, actually held on 7/13/17, had numerous flaws which I spelled out to NRED in form 514a on pages 4-5 and claims are  supported by written evidence.

I now have a meeting scheduled for June 18.

Next time

Part 2: Secret meetings in general

 

Why SCA now pays so much in unnecessary legal fees

Adam Clarkson trained the Board,

and he has convinced them that the budget doesn’t matter when it comes to legal fees.

The Board, following Rex’s leadership, foolishly insisted that the 2017 Board training be conducted in secret by Adam Clarkson.

Despite the excellent free training programs available through NRED, the Board refused to allow owners to see how they were being trained to abdicate their decision-making authority.

And the the Board certainly didn’t want owners to be able to comment on the self-serving training that was provided by Clarkson so it was deemed “attorney-client confidential” even though the training packet began with a legal disclaimer.

NRED complaint still pending

The secret Clarkson training was a self-dealing disaster. It bordered on elder abuse, and my complaints about the abusive conduct at that July 25, 2017 “attorney-client-privileged, not-an-executive-session workshop” are still under investigation by NRED.

Naturally, Adam Clarkson is billing the association ($325/hour, thank you very much) to defend himself and the other perps from my complaints about being bullied and harassed in that session in retribution for my telling the lot of them that they needed to straighten up and follow the spirit as well as the letter of the law.

What was wrong with the way Clarkson trained the Board?

Setting aside the for the moment the attorney-led misconduct of the participants (shunning, threatening and bullying me), Adam Clarkson twisted the interpretation of the law so far as to assert that it was a violation of the Board’s fiduciary duty to act ON ANYTHING without the attorney’s blessing.

Reward for complicity

Adam Clarkson rewarded the Board members who fell for his money grab, by creating a punitive cone of silence around non-confidential, discoverable SCA records against the non-compliant Director. Clarkson has also given his blessing to the unlawful claims that

  • the GM controls which owner or Board member can access SCA records and can withhold records at will, including in violation of a court order
  • the GM, President or Secretary
    • can exclude a Board member from Board meetings, and
    • can prevent a Director from voting,
    • and can block a Director from placing items on a Board meeting agenda
    • and can falsify the minutes of those meetings
  • the President does not have to follow Parliamentary procedures and
    • can magically use non-existent “substitute motions” and
    • can block a vote on a Director’s seconded motion and
    • can prevent a nomination for an officer position that would compete with the President’s pre-selected slate.
  • Annual reporting of gifts is voluntary

What does “fiduciary duty” mean?

Adam Clarkson actually gave this self-dealing definition of fiduciary duty saying that being guided by legal professionals was required by law AS IF only lawyers were experts on every subject.

The legal requirement is actually to consult with appropriate experts of all types (not just attorneys) when it is prudent to do so. This means reserve specialists, HR experts, accountants, construction experts, not just attorneys. There is no legal requirement for a Board to delegate its decision-making authority to attorneys. In fact, it is prohibited by both NRS 116.3106 and SCA bylaws.

“Consult with appropriate professionals as necessary before making major decisions…”

And the definition of fiduciary really is focused on the duty of care that the fiduciary has to ACT SOLELY AND EXCLUSIVELY IN THE BEST INTEREST OF THE MEMBERSHIP.

A fiduciary is personally accountable for a duty of care and using good judgment to serve owners, not oneself.

It does not cut it to do (or not do) something that hurts the membership and then claim,

“The attorney made me do it.”

Defy the ruling of Judge (and jury) Adam Clarkson at your peril!!!

According to Adam Clarkson, attorneys are justified in verbally attacking and threatening a Director who tells the other members of the Board that:

  1. attorneys don’t have the expertise to assist on ALL Board decisions and that
  2. it is the individual Director’s responsibility to use common sense and ethical principles to evaluate courses of action to decide how to vote.

Give me a break. That’s idiotic.

We are actually paying $325/hour for that type of inane self-dealing pronouncement against a Director who tells the attorney to knock it off.

Guilty until proven innocent

“Unauthorized practice of law” for “advising other members that legal counsel is not necessary”????

“… will be deemed to have committed a prima facie violation of NRS 116.3103”?????

Prima facie”  =  fact presumed to be true unless it is disproved.

Quid pro quo = “something for something”

Quid

“Guilty until proven innocent” is the Clarkson pro forma edict he uses to bully Board members who are not in his or the GM’s pocket.

Quo

At the same time, Clarkson has protected the interests and defended the unlawful actions of the GM and those Board members who unquestioningly have agreed to pay whatever he bills with OPM (other people’s money).

“Prima facie” = “presumed guilty”

Here’s what NRS 116.3103 actually says

Clarkson is wrong

Telling the Board that the buck stops with it, and not with the attorney, is NOT a violation of a director’s fiduciary duty.

It is a true statement made on an informed basis, in good faith, and in the honest belief that

  • getting attorneys out making decisions for management or the Board, and
  • preventing attorneys from self-dealing or
  • serving the personal interests of a few individuals over the interests of the membership

is acting in the best interests of the association.

Per Rex: “Shut up. We’re in charge here.”

Rex Weddle’s’s May President’s Report in SCA’s Spirit Magazine is entitled (apparently unaware of the irony) “Keeping our nest clean“. Rex again  devotes his entire official communication to sharing with all owners and residents his personal and chronic whine about how owner complaints about him, the GM and the Board are ruining this community.

Boo hoo.

Bloggers called Rex and his buddies “thugs and bullies”. Private individuals  accused him, the Board, the attorney and the GM of unlawful conduct and criminal corruption. Rex belittles those who complain, but without specifically denying any of the charges.

What’s a poor, hand-wringing President to do?

Rex seems oblivious to his contribution to SCA’s problems. He did not suggest any way he could use his position of authority to address owner concerns or to heal community division.

Rex thinks that bullying bloggers into silence is the best course of action.

Rex apparently lacks any self-awareness of how inappropriate it is to use the Spirit, SCA’s official publication, to express his personal opinion and his personal hostility toward certain members of the community.

The President of the Board has a column in the Spirit which is intended to share with the entire community news about what actions the Board is taking, how the owners’ money is being spent, or to provide inspirational words of leadership.

Rex, unfortunately, has chosen instead to use SCA’s official publication as a personal soap box, to chastise residents for complaining about him personally or for criticizing actions of SCA elected official or agents that individual owners or bloggers believe are detrimental to the community.

Rex’s message: “My way or the highway

Don’t you think it is ironic that Rex Weddle, speaking officially as the SCA President, uses the Spirit, the SCA website, Board meetings, and other official SCA communication channels, to shame and demean residents for expressing their personal opinions on blogs that they privately own, just because he personally disagrees with them?

Doesn’t it seem odd that he does not recognize that his claim that blogs have a negative impact on our property values is just his personal opinion, and one that has no data to back it up?

“Because they read like a bad restaurant review, the buyers may choose to go elsewhere.”    -Rex Weddle

That is like a restaurant owner blaming his bad Yelp reviews on the customers instead of trying to figure out why they are saying the food and the service sucks.

Bob Burch only hears those on his side

Don’t expect these Spirit President Reports to be any better now that Rex’s protege and probable puppet, Bob Burch, will have his name on the President’s report byline. Bob’s intolerance of dissent and his blind spot when it comes to equal treatment of resident’s are huge.

How can I say such mean things?

I am just defending myself and my rights and protecting the rights of ALL owners. I don’t see that as being mean. I do see what Rex et al are doing as being mean.

For example,

after the restaurant workshop, I forwarded a copy of a blog, “How to cook our goose” to all members of the Board. I wanted them to know I thought the restaurant vendor selection process was unfair and incompetent.

Here’s what Bob graciously emailed me back:

“You really are a very strange person.  In any case, any further emails from you will be considered SPAM and will be treated as such.”                -Bob Burch

And another example of responsive leadership

Here is the gratuitous observation Bob made (not to me, but about me, on the only community blog that Board members seem to think deserves their respect) in response to my blog, “Being accountable for being good neighbors“,

Ouch.

I wonder if Bob is so non-judgmental about all of his constituents, or if I am just special.

 

SCA Board officer selection orchestrated again

Officer elections over in a flash

  • No competition
  • No owner input
  • No surprise
  • No hope 

President            Bob Burch
Vice president   Rex Weddle
Secretary           Candace Karrow
Treasurer           Forrest Quinn

Why was last year’s officer election so bitter?

Simple answer. I committed the ultimate sin.

I volunteered to fix what I saw wasn’t working right in the transition to self-management. I told them the truth.

Unfortunately, changing the tone at the top means regime change.

OMG! Shut up!! You did not!

Yes, I did. Unlike this year’s newbies, I was totally unaware of SCA’s political realities. I never dreamed that volunteering to share my expertise would be treated as a capital offense.

How low will they go?

Frankly, I was surprised to see that Rex and his cronies would do anything – even break the law- to crush a political opponent.

And yet, here we are.

We have a full year of evidence that proves this point. This past year, we have seen VERY clearly many examples of how they have spared no expense (owners’ money, of course) to keep a death grip on the reins of power.

So, Dona Quixote, what did you say to tick them off?

I told them the incumbents were the bottom vote-getters so it was…

a mandate to improve the effectiveness of the Board as a unified governing body

That’s really bad.  What other evil did you spew?

I caused an uproar of outrageous indignation when I said that the vote showed an interest in changing the “tone at the top”

Yes, horrible as it was, I also said

the Board needed to be trained together to be guided by common, articulated goals.

You said what!!?

Actually, what I said is exactly what happened. The Board predictably devolved.

“…(absent proper training)…this Board will predictably devolve and return to a pattern of making backroom deals, abdicating its policy role to management, creating dissent in the community, and interfering with operational decisions which should legitimately be handled by staff.

Examples of how my fears were realized.Obviously, you can’t be trusted to keep a secret.
Remember,

Snitches get stitches.

On the advice of counsel
Unbelievably, Adam Clarkson or his underling, John Aylor, said these things directly or helped the GM and her buddies on the Board do them.

  • the Board can act without voting
  • the GM has rights that exceed those of the membership
  • directors facing recall have more control over the recall election than directors who were not named in petitions because the attorney says so
  • it is okay for the GM to use the attorney however she likes, including to get rid of a director who is too nosy about her pay and protecting the directors who like her from getting recalled
  • owners must pay whatever the GM and the attorney sayYou are so arrogant and mean, and you lie.

Even if I were arrogant and mean, I am not lying. Everything I say, I will eagerly say under oath.You deserved to be kicked off because, obviously, you are making a profit from doing this.

Seriously. They said that.

No decent Board member should have to work with you.

Well, that hurts.

It shows how stunningly effective a marketing campaign to demonize me has been. It persuaded a lot of people to agree with both that unfair assessment of me and with the ridiculous claim that other directors are above me and special.

It’s really sad, but the smear tactics have been led by,
Guess who?
current and former members of the Board, with the full support of the GM and the attorney, and funded by guess-whose money.

I was forced to become a blogger to respond to GM-initiated defamation and threats of litigation.

And now, Rex put out another self-righteous editorial claiming that it is the bloggers that have destroyed our property values.

Exhausting.

Since Rex has aggressively blocked anyone having equal time to debate his self-serving prostelyzing on the Spirit, the website or at meetings or any other forum, the only way to get the other side of the story out is to blog.

Will Bob write patronizing, insulting President’s reports?

If his diatribes during director comment periods at Board meetings are any indication, he will invest a great deal of energy in verbally assaulting anyone who disagrees with him that tries to speak up.

But, I’m pretty sure the deal he made with Rex, our new Vice -President, was to be a version of co-Presidents so Rex can keep a grip of the reins.

By my best guess, as far as the written word goes, Rex will continue to treat the Spirit as his personal snide blog as he ghost writes the President’s reports next year for Bob.

Previously, Bob complained that he finds writing boring when, on May 1, 2017, immediately before I disturbed the peace of last year’s pre-determined officer election, he wrote

“I have no desire to be President. In my entire military and civilian careers, I have never found writing reports or articles in magazines very interesting. Therefore, writing monthly Spirit articles, monthly Board meeting recaps, etc., is not something I would look forward to doing.”

So, President this year,

Way to take one for the team, Bob.

New SCA Board – New chance to get it right

Congratulations to the newly-elected members of the Board:

  • Candace Karrow,

  • Jim Coleman,

  • Gary Lee.

Check below for why no congrats for Bob Burch

A message from Gary Lee

Nona …. I want to take this opportunity to thank any of your readers who voted for me in this election.

I recognize the fact that I do not have any “direct” experience on any of SCA’s committees or volunteer programs but … I do bring to the board an extensive background in the management of facilities, construction, budgeting, finance and human resources – all of which are basic to the operations of the SCA.

I promise to bring an element of “common sense” to the board and a diligent effort in exploring facts and conditions prior to voting on any subject.

I would welcome the thoughts and opinions of any of your readers. I will be open to receiving any input and I will certainly consider them in my decision making.                       -Gary Lee

All directors get an equal vote

I personally have great hope that Gary’s significant management experience will be treated with respect  as mine was not.

The restaurant negotiation

Will Gary’s substantial restaurant experience be used for the benefit of the membership to protect SCA from giving away the store in negotiating with the probably pre-selected vendor?

Or is Rex’s death grip on consolidating power so strong that his expertise will be rejected in favor of Tom Nissen and Forrest Quinn who have no restaurant or negotiation experience that is specifically on point as Gary’s is?

SCA experience is required only for some

Rex Weddle and Bob Burch, in particular, proffered the pretext that my not having been on SCA committees was sufficient justification to refuse to treat as an equal member of the Board.

Keep your eyes open, new directors!

The new Board members need to guard against the incumbents claiming to possess special authority over them. Or that the Board is allowed to have secret meetings on topics other than the four permissible topics in NRS 116.31085 and SCA bylaws 3.15A.

Abdicating and usurping must stop

There is a surprising willingness for the GM and the attorney to play favorites and play fast and loose with the rules so that decisions that are supposed to be made by the Board in open session, informed by professional managerial and legal advice, somehow get made by who know who and who knows when.

Be careful, it is very easy to get sucked in.

Which brings me to why no congrats to Bob Burch

I am having trouble congratulating the fourth person elected, Bob Burch, because ongoing NRED complaints against him have not been adjudicated since being filed over eight months ago. These complaints include serious charges:

  • interference with the recall election
  • harassment and retaliation
  • abuse of authority
  • concealing SCA documents from members, including a director
  • taking action by secret votes against owners without cause or due process
  • acting for reasons of self-interest or revenge
  • failing to disclose a potential conflict of interest and then repeatedly voting on the issue
  • and more violations of owners’ legally protected rights

Never heard about these charges?

Voters probably didn’t hear about these open complaints because they were concealed.

Unfairly, “on the advice of counsel” and on owners’ dime, the Board and the GM purposefully concealed  complaints against them, and the attorney from the membership.

They refused to place the complaints on an open Board meeting agenda as required by NRS 116.31187.

Board Policy Manual 6.1 was disregarded when they would not allow me, as an elected director, to discuss these violations in any open Board meeting.

They would not fairly even allow the complaints to be investigated or be fairly debated executive session.

When I tried to get the Board act lawfully, the Board’s official response was to kick me off the Board without notice or appeal.

Good luck to the new people.

Paying attorneys to disappear political opponents

Lesson 3 – Create a false narrative to win

or as Chuck Lorre, the creator of Big Bang Theory crudely put it in Vanity Card #586:

(Quote redacted)

Item 11 E – Quarterly Litigation Reports

Now that I have your attention, let’s discuss how item 11 E – quarterly litigation reports – is an example of how the Board wastes lots of our money to use the many SCA lawyers to control who sits on the Board. (I’m sorry. It seems I have to offend some people to keep everyone else awake.)

Only one Board candidate seemed to notice problems

In member comments, Board candidate, Gary Lee, pointed out some inadequacies in the reports.

Of the 15 cases reported, 9 are foreclosures. Is there a problem with the way we are handling foreclosures? There are inconsistencies.

Gary did not know what I’ll tell you below. In my case, that the defamatory and false statements were used as the pretext for kicking me off the Board and that the Board has refused my repeated requests to correct “errors” for a year.

Clarkson, SCA legal counsel and debt collector, lies like a rug

Clarkson Law Group has given the same false report for the last five quarters on the case that supposedly disqualified me from the Board.

Wrong!

  • The current status of the quiet title case is not as of 2/1/17. That is the date when the original cross claim was filed, but dismissed on 5/25/17.
  • This ignores that the claims of the Gordon B. Hansen Trust, by Nona Tobin, individual and trustee,  were dismissed by Judge Kishner at a hearing on 5/25/17, and that the order (due in June 2017) was not filed by the SCA attorney until 9/20/17, a month after I was ambushed and kicked off the Board on 8/24/17 .
  • The mere existence of this case is what Clarkson falsely claims disqualified me from serving on the Board. More importantly, what this lie has achieved is keeping my nose out of his debt collection business.

The Lipson law firm’s report is defamatory.

I was not removed from the Board “for cause”.
This is a horrible, hurtful lie.

It brands me “guilty!” without any finding of fact. It is a continuation of the harassment and retaliation I have been subjected to for over a year.

I was unlawfully removed by the other six Board members in a secret meeting based on the totally false and unsubstantiated allegation that I was making a profit from my position on the Board. Poppycock.

The FACTS

  1. SCA was a named party in 2015 by the plaintiff Jimijack, who has possession of the house and been collecting rents on Bruce’s house since 2014.
  2. Nationstar filed a second lawsuit against the buyer at the foreclosure sale of 2763 White Sage Dr. in January, 2016 and completed a failed mediation with  SCA a month before I showed up as the third lawsuit.
  3. On behalf of the Gordon B. Hansen Trust, I entered the case on 2/1/17 as a defendant in intervention on the two existing cases in order to regain the title for the trust.
  4. The 2/1/17 cross claim against SCA was to get SCA to void the defective foreclosure sale from which SCA’s former agents unlawfully kept $60,000 that should have been distributed to either Nationstar or the GBH Trust after paying SCA only $2,701.
  5. On 5/25/17, all claims against SCA were dismissed ($2,701 paid SCA in full in 2014 so SCA has no financial stake in the quiet title dispute), but the Lipson attorney did not file the 5//25/17 order until 9/20/17, a month after I was kicked off the Board on the pretext that the mere existence of this case disqualified me from being on the Board.
  6. I did not, and could not, make a profit from my position on the Board.

And yet, the Lipson report brands me

My request to correct false reports was not heard.

Click here to link to the request I intended to, but did not, bring to the Board.

I stayed silent.

The tone of the meeting and the mood of the crowd made it clear that there was a zero% chance that the Board would see through their prejudices and willful ignorance to treat me fairly.

There was a standing ovation for Jim Coleman who was shaken and outraged at being falsely accused of voting to kick me off the Board by lying, probably racist, Mr. (name redacted) blogger.

There was zero acknowledgement that I existed in the room, let alone was deserving of compassion as the falsely accused (of making a profit off my Board position) and the actually-injured (kicked off the Board without a trial or finding of guilt) victim.

Who cares?

Good question. The issue is way bigger than me.

The precedent puts homeowners in all 3,000 HOAs in Nevada at risk of losing control over who sits on their Boards if who they elect can be “disappeared” without cause, a trial or an appeal on a pretext.

Let’s face it

I was kicked off the Board because the GM and the majority of the Board did not like me telling them they sub-standard in their  implementation of self-management and that they were breaking lots of rules and needed to straighten up or I would tell on them.

So, they made up a story to get rid of me

If it can happen here, it can happen anywhere

All the directors in any HOA would need to do to get rid of a Board member they don’t like would be to deem their position vacant by operation of law.

It’s easy to kill a political opponent if you have attorneys willing to ignore all the other laws that exist to protect homeowners from arbitrary and capricious abrogation of their rights.

This precedent is especially risky for the state because Adam Clarkson is the president-elect of the Community Association Institute and claims that his firm represents 300 HOAs, 10% of those in Nevada.

Good-bye, democracy.

Being serviced by SCA attorneys is painful and pricey

This is the second blog in a series about lessons learned at the April 26 Board meeting.

Lesson 2-
When we don’t get what we paid for, we should send it back.

This blog is about how it is always “lose-lose” when the SCA Board abdicates to attorneys instead of being guided by:

  • common sense,
  • NRED Board training,
  • owner oversight and
  • professional management standards of practice.

This blog is about the overuse and wrong use of the SCA attorneys to protect individual Board members and the GM, and actively, purposely hurting owners – all on owners’ dime.

Special thanks go to Rex Weddle and Sandy Seddon for setting the mean-spirited and divisive tone at the top that has prevented all neighborly, amicable resolution of differences on their watch.

Highlights of legal expenditures

  • First quarter 2018 $101,300  more than double the $48,750 budget
  • 2017 quarterly budget was $22,500, so $101,300 was nearly five times what was expected to spend in a quarter last year
  • In 2015, before self-management SCA actually spent $116,292 for lawyers
  • In 2014, $52,219 was spent for the whole year.
  • In 2016,the whole year of lawyers was $118,861, but that was before buckets of money were extracted from owners’ pockets in 2017 to pay to be aggressively serviced by the Clarkson Law Group

Again, a special thanks to Rex and Sandy for their utter disregard of best practices and fair play to make owners pay attorneys to keep your dirty little secrets.

What are we getting for our money?

Can we figure it out from the budget variance “explanation”?

“NRED, FAS, Director liability, policy updates, etc.”

Pretty unsatisfactory explanation, I’d say. I’ll also say these ridiculous legal fees are not necessary expenditures. They are only necessary if the Board is duped into doing everything the hard way instead of opting for the ounce of prevention.

Some of these fees are also caused by individual Board members and the GM using the attorneys in inappropriate ways, and the attorney leading, or going along with, unfairly stripping owners’ of their legal protections. The attorney makes big bucks as a quid pro quo for the Board abandoning even the appearance of controlling budget policy.

SCA leaders refuse to be transparent about what they are doing, but I think you all should know what you are buying.

And remember, unlike blogger # 3, Mr. (name redacted), who was drummed out of the legal profession for forging a judge’s signature, I will swear under oath to the truth of what I say, and I will, willingly and openly, back my words up with evidence.

I’ll show you in Lesson 3 why attorneys’ lies about me are so serious and why doing this to one owner hurts ALL owners.

 

 

 

 

Board meeting as self-serving bully pulpit

Lesson 1 from April 26 BOD meeting

“What gets us into trouble is not what we don’t know. It’s what we know for sure that just ain’t so.”                                             -Mark Twain

Blame the bloggers

At least the first hour of the meeting was dedicated to blaming bloggers for all that is wrong, including the loss of SCA property values. It was a stunning example of how the Board marches lock-step against  owners rights and reflexively resists holding itself and the GM accountable for fixing problems of their own making.

Board beliefs vs. an alternative point of view

Tom Nissen listed his beliefs – all concerns shared by the Board – as his parting gift to the membership.

My beliefs offer another, albeit unwelcome, perspective, to show the way I think the Board and GM could better create value for owners.

Click here to link to the article about the UNLV study on HOA foreclosures referenced above.

Next time, I’ll share with you my planned request to correct the false and defamatory statements in the April SCA litigation reports. I didn’t speak up at the meeting because I was afraid I’d get lynched for complaining.

Making owners pay to fight owners knowing how our money is spent

A point for transparent Nevada

The R-J just won a victory for transparency when the District Attorney was required to release information about how much the DA’s office was compensating witnesses in criminal trials.

Public interest
Using taxpayer cash to fight the taxpayer
Click on photo to read full editorial

 

“To sum it up, the taxpayer-funded prosecutor’s office sought to conceal from taxpayers certain payments it made with taxpayer money – and then eventually cut a deal that will cost taxpayers $55,000 (in attorney fees).”

 

“Wouldn’t it have been easier – and cheaper – for those in the DA’s office to simply have made the information available in the first place? Instead, the default setting is always to retreat into the shadows and make liberal use of other people’s money to fight against open government.”

Sound familiar, Mr. Clarkson?

It should.  Sun City Anthem Board and GM are misusing the SCA attorney to hide their sins, and he is laughing all the way to the bank.

SCA’s leaders are wasting owners’ money to hide information which should be easily accessible to us at virtually no cost on the website.

SCA’s brand of mean-spirited opacity- hiding actions and expenditures from owners and making the owners pay the attorney fees for hiding what could even be unlawful or fraudulent – has more elements of sleaziness than I saw in the government’s efforts to avoid transparency.

SCA has gone beyond the practice of merely blocking freedom of information requests as described in the R-J editorial to being outright abusive to owners who just ask for information they have a legal right to receive and distribute as they wish.

For example, the claim on the new SCA Records Request Form that SCA records that might be requested, such as employee compensation, are “private and confidential records of the private entity that is the association” is simply false.

Those records can’t be confidential by Nevada law in Sun City Anthem and not confidential by that same Nevada law in Sun City Summerlin.

Threats of litigation?

I don’t see that the Public Employees Retirement System threatened the R-J with punitive sanctions for just submitting a Freedom of Information Request like our mean-spirited leaders are doing to SCA owners, threatening litigation for even asking for information the GM or individual Board members want to be publicly known.

GM’s “privacy rights” bigger than owners’ rights?

I also don’t see that the government officials ever claim that freedom of information requests violated some imaginary and legally-unsupported “personal privacy rights” as SCA’s attorney has done on behalf of the GM.

Only withhold records from certain parties?

I don’t see that the District Attorney claimed the requested information could be withheld from the R-J, but that it could be released to the R-J’s competitor? SCA has done this very thing repeatedly by providing information to OSCAR (recall opponents) that was withheld from others who were not in that camp.

Making up laws?

I also don’t see that the District Attorney just made up some bogus legal  requirement that the R-J acknowledge that the information can’t be used in ways the DA would consider harassment or even just embarrassing. The new SCA information request form contains multiple ridiculous “acknowledgements” which have no basis in law.

The SCA attorney is lying to owners about what owners’  rights are. Fines and other sanctions are threatened against  SCA owners for requesting and disseminating information, both of which are within fully within owners’ legal rights.

For example, the claim that SCA CC&R 3.6(h) and SCA Rules & Regs 9.4 would be violated and an owner subjected to penalties for violating any of the totally fabricatedduty, restriction and/or obligation provided herein” is a double whammy of threatening an owner for violating restrictions the attorney just made up out of thin air. 

Magically creating privilege?

I also don’t see any egregious claim by Clark County that documents, actions or conversations become privileged just because the secretive official wishes that they were legally protected from public view as the Clarkson Law Group, the GM and individual members of the Board ludicrously and repeatedly do to unlawfully attack owners for exercising our legal rights.

 Ask any Discovery Commissioner

The burden of proof that documents, conversations or actions are legally privileged falls squarely on the party who is seeking protection from disclosure.

Not the other way around.