Does my HOA have the right to tell us how to pay for something?

UPDATED: Oct 1, 2022

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Does my HOA have the right to tell us how to pay for something?

We are putting new driveways in and the HOA said that we had to pay in

check, not cash or credit card. I called the driveway company and they said they

would take a credit card with a 3% charge. The HOA says no.

Asked on September 22, 2018 under Real Estate Law, Minnesota


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 4 years ago | Contributor

The HOA can only tell you this if the governing documents (e.g. HOA rules or bylaws, etc.) specify this, OR if the driveway company is actually owned/controlled by the HOA (not merely approved or recommended by them), since  business owner can legally say cash only. Otherwise, though, without power conferred on them to do this by governing documents or without owning/controlling the contractor, they have no authority to tell you this.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

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