Mulligan v. Panther Valley Property Owners Association

766 A.2d 1186 (2001)

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Nature of the Case

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Facts

In October 1998, D, adopted six amendments to the community's Declaration of Covenants and Restrictions (Declarations) and the Association's bylaws. The first of these amendments declared that no individual registered as a Tier 3 offender could reside in Panther Valley. To be classified as a Tier 3 registrant, that individual must be a sex offender who has been deemed to pose a high risk of re-offending. Factors include whether the conduct involved repetitive and compulsive behavior, whether the individual served the maximum term of confinement, and whether the sexual offense was committed against a child. P claimed the first amendment unlawfully infringed her right to alienate her property because he could not sell or lease to sex offenders, required her to illegally seek out and identify sex offenders, and unfairly restricted housing for a specified group. The trial court upheld the amendment. The second amendment authorized D to file a 'Notice of Continuing Violation' if a member persisted in violating D's Declaration or the Association's bylaws or rules. The trial court concluded that the amendment was invalid. The third amendment provided that an owner could be liable for D's counsel fees and costs if the D were required to file suit to enforce the Declaration, its bylaws or rules. The trial court struck down that amendment. The fourth amendment set forth a procedure governing a member's inspection of the Association's books and records. The trial court concluded the amendment was facially valid. The fifth amendment established minimum qualifications for members who wished to be elected to the D's Board of Trustees. The trial court again concluded the amendment was facially valid.