Out of Court Binding Dispute Resolution          
also known as med-arb (mediators with decision making authority
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Out of Court Binding Dispute Resolution: narrative
Colorado HOA Forum:  Homeowner Advocates
Out of court binding dispute resolution flow chart
OUT OF COURT BINDING DISPUTE RESOLUTION, THAT'S A FACT

We already have mediation in State Law and most HOA by-laws (governing documents).  
add time, cost, uncertainty, and more process to an already weak HOA enforcement system.

Homeowners want an accessible and affordable HOA enforcement system and one that
has a defined process from beginning to end. An enforcement process that renders
decisions expeditiously and based on HOA law and their own by-laws.  An HOA legal
enforcement process that is out of court for most homeowner complaints and is binding.  

The idea of mandatory mediation contradicts all the positive aspects we advocate in
enforcing HOA law.  Mediation, optional or mandatory, is an enforcement system based on
"hope", "if", and "maybe" not certainty of a decision nor does it bring the feature of finality in
system for a judgement; and this process will require homeowners to gamble several
hundred dollars on a mediation session that in many cases will not result in any or only a
partial decision which is simply unacceptable and unaffordable for homeowners.  
The idea is to resolve complaints, have decisions rendered, make dispute resolution
affordable and accessible.  Our proposal of med-arb meets this criteria.  Mediation,
mandatory or not, will simply add more process, time, cost, and uncertainty to dispute
resolution which is no one's goal.  
Comparison of Dispute Resolution Processes
Med-Arb, Mediation (Mandatory Mediation), Court
Out of Court Binding Dispute Resolution:
Cost effective, timely, efficient
No uncertainty of a decision as in mediation
Completed by trained staff in HOA law (mediators can be anyone)
Affordable and accessible, has beginning and end out of court, home owners
don't gamble money for the hope of a decision such as in mediation
Allows all to pursue complaints: currently more don't even consider filing
a complaint due to cost and or need to gamble funds on mediation
Reduces case load for courts
No legal rights forfeited by home owner, can still opt to go to court
Applicable for all cases pertaining to non-compliance with HOA State law
and a home owners own governing documentsr and cases must seek
damages less than Small Court Limits and not be a felony
Process is similar to that used by DORA for property manager complaints under
new licensing program: 2015
State HOA Office already performing some required tasks such as receiving
and reviewing complaints, has an online complaint process in place,
has office staff.  DORA already perform similar so this will not be
implementing a new plan with no State expertise.
Funding is from State HOA Fees and litigants and no cost to taxpayer
Virginia resolves most HOA complaints and it isn't via
mandatory mediation!  (a starting point but needs to be
modified, see our charts below)
Evaluation Criteria
Med-Arb
Mediation
Court
Option for Court Case
              X
       X
        X
Cost Effective
X
X (partial)
 
Litigious
    X
Timely, Efficient
X
X (partial)
 
Guaranteed Binding
Decision Rendered
X
  X
Minimizes steps in
process from beginning
to definite end
X
   
Definite and defined
process
from point of
filing complaint to
decision
X
  X
Accessible to
Homeowners
X
X (partial)
 
Easily Understood by
Homeowners
X
X
 
Due process of law
guaranteed
X
  X
Affordable
X
X (partial)*
 
Applicable to all HOA
Disputes
X (partial)*
X (partial)*
X
Reduces Court caseload
and costs
X
X (partial)*
 
Professionally licensed
and regulated
X
   
Avoiding Court System
X
X (partial)
 
Cost to Taxpayer
NONE
NONE
YES
Funding Sources
Litigants + HOA
Registration Fees
Litigants + HOA
Registration Fees
Litigants Tax
Payer
s
Did you know that mediators in the State of Colorado are
not licensed or regulated and have no professional
requirements to fulfill?  The person practicing card reading
argument why the current system of dispute resolution
doesn't work.

No mandated credentials
No mandated background/educational requirements on HOA law
No oversight by State regulators or enforcement of professional standards
No required background checks
No process to legally remove unethical mediators from practicing
No formal vetting, review, or examination of those practicing mediation on HOA cases

These professions are licensed but HOA mediators who can be assigned to resolve your
complaint have no State professional requirements,
anyone can be a mediator!

Plumbers
Manicurists
Social Workers
Hairstylists
l
Barbers
Dentists
Full List

standards and licensing for those listening to and making decision on HOA compalints.
Homeowners can still choose to file their complaint in court vs out of
court binding dispute resolution
Arizona out of court binding dispute resolution.
The law           Article
Out of Court Binding Dispute Resolution:  paid for by filing fees, supplemented
through HOA registration fees.  DORA and the State HOA Office already have
experience in this process for licensed professions; this process will be used for
HOA property manager complaints; funding and staffing for a State Office to
administer this program is mostly already in place; and the process to file an
on-line complaint for HOA issues is already completed.  
No new funding or
taxpayer dollars required.
South Carolina proposal on out of court dispute resolution