HOMEOWNERS ASSOCIATION Q & A - PART 4

RIGHT TO INSPECT RECORDS

Q.
As the owner of a property management company, I often receive requests from members of homeowner associations to inspect association records. What are a member’s rights concerning the inspection of association records?

A.
Under California law, a member's inspection rights are limited. First, the member must make a written demand which must state the purpose of the request. The demand must be "reasonably related to the person’s interest as a member" and the demand must be specific. It may not be a request for a "fishing trip."

Absent a subpoena, a member’s inspection rights are generally limited to:

(1) Minutes of the board and committees except for executive session minutes which are confidential.

(2) Accounting books and records. This has generally been interpreted to mean monthly financial statements, audits and accounting reviews. It does not include copies of checks, invoices, contracts with vendors and contractors, and individual member’s assessment records which are protected by a right of privacy. Legal invoices should not be produced since they fall within the attorney-client privilege.

(3) List of members' names and addresses and voting rights. This does not include the names of children or phone numbers.

Unless the association provides a "reasonable alternative," a member may inspect and copy the list within five days of request, or the board may provide the member with a copy within ten days of the request subject to payment of the reasonable cost of reproduction.

The preferred alternative to providing the list, is for the association to mail any material for the member at his or her expense. This method is considered reasonable because it reduces the possibility that the list will be misused by the member making the request.