AZ HB2743

HOA and condominium associations face mandatory damages of $1,000 for failing to remove unlawful provisions from their declaration, bylaws, or rules after receiving the first written notice from a member, and $2,500 for each subsequent notice.

Damages accumulate based on total written notices received from any members, regardless of whether notices come from the same or different residents.

Members may pursue damages against their association in any court of competent jurisdiction for maintaining provisions prohibited by law.

The bill applies to both planned community associations (HOAs) under ARS 33-1803 and condominium unit owners' associations under ARS 33-1242.

Late payment charges for assessments and penalties remain capped at the greater of $15 or 10% of the unpaid amount.