Tuesday, March 10, 2015

Cedar Run (Partial) Legal Update

As you are aware, Al Schroeder (the HOC receiver) had appeared in court today and presented his first report to Judge Garcia.  We are still collecting information about the proceedings, which we will post as soon as possible

What we do know is this:
  • Attorney Robert Orman (who defended Sher, Shaw and the HOC board from December to present) has withdrawn as their attorney.  We do not know the reason why, but we suspect that Mr. Orman either wasn't paid or feels that Sher's case is futile.
  • Sher is STILL TRYING to argue that his Bogus Bylaws are legal, but the Judge won't have any of it - MOTION DENIED
  • In regards to Robert Sher's recent letter to homeowners, the Judge was not happy about it, and a court date of 3/25/15 has been set in order to discuss possible SANCTIONS AGAINST HIM for disobeying both the TRO (Temporary Restraining Order) and the original standstill order.
We will have more information, including a copy of the receiver's report within the next day or two.


But for now, We interrupt our regularly scheduled program to bring you some news about Cedar Run Phase V.

Cedar Run Phase V homeowners received an 'Emergency Meeting' notice tacked to their garage today (3/10/15).  Click HERE to view the notice.

It is not clear what the Phase V board's exact motives are in calling this meeting.  However, we recommend that all Phase V homeowners attend the meeting if possible or call the listed phone number to inquire.

History
To briefly recap, Phase V was taken over by a group led by Sher, in a way that is legally questionable at best.  Most believe that this takeover was outright illegal, and they blame A.P.M. for yielding control of the phase to Sher.

Once Sher assumed control over this phase, he appointed three figurehead directors, who would serve as nothing more than names on paperwork that delegated all authority to Sher and Shaw (the oversight committee).

Since then, Sher and Shaw have had full control over the Phase V association's money.  In an effort to keep assessments from rising,  Sher had grossly under-insured Phase V, and many suspect that he also subsidized the phase with HOC funds.

There have been NO ELECTIONS, NO BOARD MEETINGS, and NO BUDGETS for Phase V since the takeover.

Now that the HOC is in receivership and the oversight committee is powerless, the documents signed by the figurehead directors no longer authorize Sher/Shaw to manage the phase.  The Phase must now hire a licensed property manager.

Improper Notice
For any kind of official Phase meeting to take place legally, the Condo Act requires a minimum of 5 days notice to all owners, and notice must be mailed or hand-delivered to each owner.  This notice was taped to garage doors literally ONE DAY before the meeting date......Also, off-site owners have no way to know about this meeting since notice was never mailed to them.

Given that the meeting was improperly noticed, any vote that may take place (as the notice implies) will be invalid.

What to expect
Again, we have no way of knowing what the board has planned for this meeting.  There is a good chance that this meeting is an attempt, on the board's part, to pander to Robert Sher's will and re-hire him as the Phase V property manager.

But it could also be a genuine attempt for these directors to communicate with homeowners about what a conundrum they were left with after Sher's ouster.  After seeing how Sher's poor decisions affected the HOC, perhaps they have finally decided to seek other management options.

Are these directors interested in the greater good for their association?   Or are they simply puppets of Robert Sher?

We'll have to find out tomorrow evening. We recommend you keep an open mind, but think critically.

What you might want to ask
Ask for a budget and ask how much money the phase has in the bank
Ask about the status of Phase V's building insurance
Ask when the next Phase Board election will take place
Ask why only one day of notice was given for this meeting. If they wanted it to be well-attended, why such short notice?

Please check the blog tomorrow afternoon (or check your email if you subscribe), as we may have more court information that pertains to Phase V.

1 comment:

  1. excellent up date as of todays court as of the phase v emergency meeting at club house who is allowing them to go inside? if the locks was changed ? I suggest they go off site like other phases had to conduct meetings I think the judge needs to have Robert sher and those eligally running phase v arrested you homeowners wake up and take charge to get these criminals put behind bars they are only causing problems not salving a salution ,

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