AZ HB4011

Requires homeowners associations (HOAs) to act reasonably when exercising discretionary powers, including acting neutrally, fairly, without favoritism, and in a nonarbitrary fashion.

Applies this duty to act reasonably to both condominium associations (amending section 33-1242) and planned community associations (adding new section 33-1821).

Maintains existing requirements that HOAs must provide written explanations to unit owners who respond to violation notices within 10 business days, including the specific provision violated, date of violation, name of observer, and process to contest.

Preserves unit owners' right to petition for an administrative hearing with the state real estate department to contest HOA enforcement actions.