Judge threatens to name Lake Charleston receiver

 
Judge deciding homeowners' association recall
Article Courtesy of the Palm Beach Post
By Josh Mitchell
Posted Thursday, May 13, 2004

WEST PALM BEACH -- A judge on Wednesday pledged to decide the validity of a recall election in a dispute roiling a suburban Boynton Beach neighborhood.

Palm Beach County Circuit Judge Tom Barkdull said he will set a hearing within a month to decide whether Lake Charleston residents successfully recalled three directors of their homeowners association board this spring.

The ousted directors are suing the new board, saying the recall petitions were never audited and lack enough signatures for a recall.

"This is either a wonderful exercise of the democratic cause of the United States or a callous coup," Barkdull said.

Barkdull's observation came after two hours of testimony in which the ousted directors argued for the appointment of a receiver to take over the neighborhood's bank account pending a recall decision.

Barkdull declined to appoint a receiver, citing a lack of evidence for such a drastic move.



Article Courtesy of the Palm Beach Post
By Josh Mitchell
Posted Thursday, April 29, 2004

WEST PALM BEACH -- An irate judge Wednesday threatened to appoint a receiver to oversee a bitterly divided neighborhood, a rare move that could cost the community's homeowners thousands of dollars.

"I'm tired of getting letters from people saying their homeowners association is falling apart," Palm Beach County Circuit Judge Tom Barkdull snapped at a court hearing. "These people need a definitive answer as to who's running the homeowners association."

The dispute at Lake Charleston, a 10,000-resident community west of Boynton Beach, has given rise to two governing boards, with the current board annulling the decisions of its predecessor.

In recent weeks, some current board members have blasted the previous board on the association's television network and residents have engaged in shouting matches at a playground being built for toddlers.

Tens of thousands of dollars in deposits for neighborhood projects have been squandered, some residents say. And the community's property management company told the judge Wednesday it has not been paid this month.

At this rate, Barkdull warned, he might have to appoint a receiver to take over the association's $1.5 million budget, a measure that would cost residents "thousands and thousands and thousands of dollars" in fees, he said.

"That is an expense these homeowners shouldn't have to bear," he said. "We've got a community that's in limbo."

Barkdull said he will decide at a May 12 hearing whether to appoint a receiver. The matter came before Barkdull when the ousted board members sued the homeowners' association, demanding an audit of the recall.

The dispute came to a head last winter when two neighborhood factions could not agree on how much to spend on playground upgrades and other community projects.

A group of residents led a campaign to recall three directors from the five-member board and changed the locks on their office. But the ousted directors say the recall was invalid because in many cases, more than one resident of the same home signed the petition. Community rules permit only one vote per home.

Despite the bickering, the new directors said there is no need for the judge's intervention.

"The letters you are getting are being sponsored by the plaintiffs," their attorney, Keith Backer, told Barkdull. "There hasn't been a disruption in the operation of this community."

But ousted director David Midolo said the situation has degenerated.

Last week, he said, he and a new director argued at a playground where a delivery truck had just dumped mulch. The playground was originally supposed to have rubber padding because mulch is not safe for young children, Midolo said.

The new directors have held no community meetings, and they could be held liable for spending the association's money should the recall be reversed, Midolo said.

Lester Kotok and Desi Larmer, two members of the new board, declined to comment Wednesday.

Barkdull said the dispute will not be resolved until the recall petitions are audited. Because attorneys told him that the two sides could not agree on an audit, Barkdull could step in and order one.