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Dan Tiernan, COOFeb 19, 20141 min read

What is that Word Wednesdays - Equitable Estoppel

 

This is the first post in an ongoing series where we will explain the meaning of an unusual or interesting word; words or phrase that is relevant in community association management.  We will post a common-sense definition of a word, words or phrase every Wednesday - hence the name - What is that Word Wednesdays!
Equitable Estoppel

This week's phrase is  Equitable Estoppel. 
 
In community associations, this may be a valid legal defense for a rule-breaking owner to claim "ignorance of the law".  If a rule is not clearly communicated or regularly enforced, the rule may become unenforceable by the Board.
 
For example, Del Boca Vista condo has a no dogs rule in their documents. However, owners have ignored the rule over the years and dogs are frequently seen around the common areas. A new owner moves into the condo with his pit bull. The Board of Del Boca Vista may have difficulty enforcing the rule and not allowing the pit bull.
 
The cousin to this phrase is Selective Enforcement. This phrase is self-explanatory. Both of these are more sophisticated ways of an owner saying "That's not fair".
 
Why does this matter and what should I do about it?
 
If you want your community to maintain the restrictions and rules that all the owners agreed to when buying, you need to make sure the rules are clearly communicated and regularly enforced.  If you don't the rules may become unenforceable.  You may effectively be changing the documents and rules with apathy.
 
If you google the phrase Equitable Estoppel, you might find the following:
 
Equitable Estoppel occurs when a party voluntarily acts in a way that later precludes that party from asserting rights against another party who has, in good faith, relied on the party’s actions and changed position for the worse. Equitable Estoppel, which may be asserted as a defense to a cause of action or used to avoid a defense, consists of three elements: voluntary conduct, reliance, and detriment.
 
I hope my explanation is easier to understand.
 
Disclaimer:  I am not an attorney and this is not meant to be legal advice.

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