Every homeowners association in Louisiana must abide by their governing documents as well as state laws. Understanding Louisiana HOA laws, though, can come as a challenge if you don’t know where to begin.
How to Form an HOA in Louisiana
To create a homeowners association in Louisiana, communities must have declarations executed and filed for registry. Associations in the state can organize as a non-profit corporation or an unincorporated association. For those organized as non-profit corporations, HOAs must follow the Louisiana Nonprofit Corporation Act. All homeowners associations, though, whether incorporated or not, must follow the Louisiana Business Corporation Act.
For Homeowners Associations
The Louisiana Homeowners Associations Act oversees the creation, authority, operation, and management of HOAs in Louisiana. It provides more specific guidance for homeowners associations, compared to the more general provisions in the Louisiana Business Corporation Act and the Louisiana Nonprofit Corporation Act.
You can find the Louisiana Homeowners Associations Act under the Louisiana Revised Statutes. It consists of 13 sections, namely:
- Short title
- Definitions
- Applicability
- Building restrictions; matters of interpretation
- Building restrictions; generally, affirmative duty, and common areas
- Establishment, amendment, or termination of building restrictions
- Agreement of owners; voting
- Community documents; force of law
- Homeowners association privilege
- Association of owners; privilege; definition
- Privilege; sworn detailed statement; filing
- Privilege; five year period
- Privilege; ranking
For Condominiums
The Louisiana Condominium Act governs the creation of residential condominiums in the state. It also offers a legal structure for apportionment of interest, voting rights, association powers, and common expenses, among other things.
You can find the Louisiana Condominium Act under the Louisiana Revised Statutes. It consists of 63 sections, namely:
- Short title
- Applicability
- Definitions
- Attorney fees
- Separate taxation
- Applicability of ordinances, zoning, and building restrictions
- Expropriation
- Sale of unit; escrow accounts
- Creation of condominium regimes; condominium declaration; recordation
- Blank
- Construction and validity of declaration and bylaws
- Description of units
- Contents of the condominium declaration
- Reapportionment among unit owners of the percentage ownership interest in the common elements; percentages of sharing common expenses and common surplus; voting power in the association of unit owners
- Condominiums established on leased land
- Allocation of common element interest, votes, and common expense liabilities
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- Plats and plans
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- Termination; withdrawal
- Alterations of units
- Relocation of boundaries between adjoining units
- Subdivision or conversion of units
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- Amendment of declaration
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- Organization of unit owners’ association
- Powers of unit owners’ association
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- Termination of contracts and leases of declarant
- Bylaws
- Upkeep of the condominium
- Association records
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- Insurance
- Fidelity bond or equivalent form of insurance required
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- Privilege on immovables
- Privilege for utility assessments
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- Applicability; waiver
- Public offering statement; general provisions
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- Public offering statement; conversion condominiums
- Public offering statement; condominium securities
- Purchaser’s right to cancel
- Resales of units
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- Privileges
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- Compliance with condominium declaration, bylaws, and administrative rules and regulations
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Louisiana HOA Laws on Corporate Governance
In terms of corporate governance, Louisiana has two Acts that apply. The first is the Louisiana Business Corporation Act, which oversees corporations in relation to corporate structure, procedure, and management. Homeowners associations in the state must form as a non-profit corporation or an unincorporated association. On the other hand, condominiums must form a non-profit corporation, a profit corporation, or an unincorporated association.
The second is the Louisiana Nonprofit Corporation Act. This Act specifically oversees non-profit corporations in relation to corporate structure, procedure, and management. Interestingly, most associations in Louisiana organize as non-profits, similar to other states.
Louisiana HOA Laws on Solar Panels
In some states, homeowners associations legally can’t prohibit members from installing solar panels. Louisiana is one of those states. According to Louisiana R.S. Section 9:1255, associations may not unreasonably restrict property owners from installing or using solar energy collectors. Some exceptions to this provision, though, are when the area or property is a historic district, historical preservation, or historical landmark.
Fair Housing
The Louisiana Equal Housing Opportunity Act outlines the Fair Housing laws in the state. These laws work in the same manner as the federal Fair Housing Act. Under the HOA laws of Louisiana, associations may not discriminate against people based on their sex, religion, color, race, national origin, familial status, or disability.
Victims of any housing-related discriminatory acts can file a lawsuit in federal district court. Alternatively, victims may also report the issue to the U.S. Department of Housing and Urban Development or the Louisiana Attorney General’s Office.
