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Wednesday, July 17, 2013

How LEHOA was "legalized" to be controlled by the real-estate developer.



This is a follow up article on the comparison of LEHOA By-laws and the laws for the homeowners association stated in PD957 and RA9904 (previous article here).

From the previous article you may have already saw how the by-laws of LEHOA have contradicted with the laws that protect a homeowners association from the real-estate developer. On this article, let us pinpoint why even if the existence of the LEHOA by-laws contradicting RA9904 and PD957, it was still made to be "legal".




There are several documents provided by Property Company of Friends, Inc. (Profriends) that made its way before the by-law was legalized.

The following are:


  1. Master Deed with Declaration of Restriction of Lancaster Estates by Profriends
  2. The Articles of Incorporation of Lancaster Estates Homeowners Association Inc. (LEHOA)
  3. The LEHOA By-laws.



1. Master Deed with Declaration of Restriction of Lancaster Estates

Section 10-13 of the Master Deed states the power of the real-estate developer (ProFriends) over the homeowners association.

The following are the excerpts:

Section 10a. The DECLARANT, through its nominees, shall initially form, organize and incorporate the Lancaster Estates Homeowners Association, Inc., a non-stock, non-profit association organized in accordance with and for purposes as herein provided. The nominees of the DECLARANT shall in the interim serve as the members of the Board of Directors. There shall be no other association similar organization to be formed by the members of the Association. - Master Deed with Declaration of Restriction of Lancaster Estates

Section 10a of the master deed may seem to confer with the law on PD957 where it says:

Section 30. Organization of Homeowners Association. The owner or developer of a subdivision project or condominium project shall initiate the organization of a homeowners association among the buyers and residents of the projects for the purpose of promoting and protecting their mutual interest and assist in their community development. - PD957 - See more at: http://lancasterresidences.blogspot.com/2013/05/lehoa-by-laws-and-pd957-and-ra9904.html#sthash.iBWaS4W9.dpuf
Section 30. Organization of Homeowners Association. The owner or developer of a subdivision project or condominium project shall initiate the organization of a homeowners association among the buyers and residents of the projects for the purpose of promoting and protecting their mutual interest and assist in their community development - PD957

However, the law according to PD957 only states that the developer can only help on initiating the homeowners association among the buyers and residents. But in the Master Deed of ProFriends to which the DECLARANT is Property Company of Friends, Inc., may have gone around the law to ensure that they can create a homeowners association to which they can handle and to which they can create its by-laws in contrast to the interests of the homeowners.

The Declarant of the Master Deed is no other else but ProFriends


2. Articles of Incorporation of LEHOA
Because of the master deed that was authored no other else but by ProFriends themselves who is the real-estate developer, they paved their own way to create a homeowners association last September 2009. This is in the absence of real residents and an election participated by the residents to which the only project where there are residents during that time is Lancaster Residences Phase 1 and some in Phase 2.

Let us not forget that Section 30 of PD957 only requires the real-estate developer to assist the homeowners and residents to put up a homeowners association and not to govern it. However, the signatories of the incorporation of LEHOA are quite dubious.



LEHOA Board of Directors


The image above are our LEHOA Board of Directors as mentioned on the Articles of Incorporation of LEHOA. To which, according to the document, they all reside at Barangay Alapan II-B. Take note that Lancaster Residences is at Alapan II-A. Also take note of the 2nd person in the list. That person is the Project Director of the Lancaster Estates Project of ProFriends... an employee of the real-estate developer. Proven on the signed Master Deed document of ProFriends.

And just in case we thought that the addresses are only typographical errors... Take note on the image below on where they have issued their cedula or community tax certificate:

Cedula of LEHOA Board of Directors
So, are they our neighbors?

Thus one can say that our incumbent LEHOA directors are:

1. They are unknown to us.
2. They are not from around and are not residents of Lancaster Residences.
3. They never were elected by the homeowners to be the first board of directors of LEHOA
4. Neither of these people affixed their signatures in any memo by LEHOA given to us for the past years.
5. Never did these people consulted anyone from the residents of Lancaster Residences during their incorporation last Septermber 2009 for the by-laws they drafted which is in violation of Section 15 RA9904 which states:

Sec. 15. Association Bylaws. - The bylaws of the association shall be adopted by a simple majority of the members of the association. Consistent with the provisions of this Act. - RA9904


Thus, these two documents (Master Deed of Lancaster Estates, and LEHOA Articles of Incorporation) gave birth to the LEHOA By-laws to which is the basis of our association dues and many other anti-homeowners policies have been drafted. And to which most of its tenets contradicts with PD957 and the Magna Carta of the Homeowners Association RA9904. (see related article)

And what government institution approved LEHOA's incorporation?



Conclusion

It is saddening to know that public documents and policies were created to make a master plan to have an almost indefinite grip to its own customers (the residents of Lancaster Residences). And it exists even if it contradicts with the laws to protect homeowners associations. Worse, the government agency sworn to protect the interest of the people have approved it without verifying who the signatories of the HOA incorporation are.

Still the law remains which makes any contract null and void if it contradicts with it.



Solution (as it must be re-stated and emphasized):

In the name of community empowerment, uphold your rights as homeowners of Lancaster Residences. Do not allow the developer to handle the homeowners association because the mandate of a homeowners association is to protect and nurture the community via a non-profit organization to which is only handled by homeowners. The resistance of the developer holding LEHOA to provide financial statements even if asked by paying members is a good reason enough that there is a probability that the dues you pay may be going somewhere else.

RA9904 provides specific instructions on how to unseat the board of directors and modify the bylaws with a simple majority of its members excluding the directors. Use this power given by law to protect your rights and of your family in years to come. Through a simple majority of Lancaster Residences, you can oust the incumbent, non-resident board of directors of the association. From there, elect your board of directors and draft a new by-laws with consultation and approval of majority of our neighbors. After all, this is OUR COMMUNITY.

To our fellow neighbors of Lancaster Residences:

Through this article, you have already seen how Property Company of Friends, Inc. (ProFriends) manipulated, organized, and planned ahead so that they can control the homeowners association for a very long time (until all the units are sold throughout the whole Lancaster New City project). Using their own employees, the Board of Directors of LEHOA, they have deceived us and continue to press the deception within us.

For a one-time P3000 of registration fees to HLURB, they were given a go signal to collect an amount of up to P1,374,940 per month from HOA dues (reference) without knowing where your money goes to. Because they continue to hesitate on not giving a transparent financial statement and still push to have the HOA be handled by themselves and not by 100% elected homeowners. Would you allow this corruption to continue amongst ourselves?

To HLURB:

It is a right time  to uphold the values to which your institution has been created: which is to ensure to promulgate and enforce land use and housing regulations which sustain a balance among economic advancement, social justice, and environmental protection for the equitable distribution and enjoyment of development benefits. There is still enough time to correct the wrong. Make the heads behind this grand master plan roll to justice and help us have a fair election to which the result is to handle our homeowners association as directed by RA9904.


Related Articles:

Section 30. Organization of Homeowners Association. The owner or developer of a subdivision project or condominium project shall initiate the organization of a homeowners association among the buyers and residents of the projects for the purpose of promoting and protecting their mutual interest and assist in their community development. - PD957 - See more at: http://lancasterresidences.blogspot.com/2013/05/lehoa-by-laws-and-pd957-and-ra9904.html#sthash.iBWaS4W9.dpuf
Section 30. Organization of Homeowners Association. The owner or developer of a subdivision project or condominium project shall initiate the organization of a homeowners association among the buyers and residents of the projects for the purpose of promoting and protecting their mutual interest and assist in their community development. - PD957 - See more at: http://lancasterresidences.blogspot.com/2013/05/lehoa-by-laws-and-pd957-and-ra9904.html#sthash.iBWaS4W9.dpuf

8 comments:

  1. The same as what happened now sa HOA naming, 5 board member and all coming from the ranks of employees of the developer, now they are calling for election but 2 seats will remain for the developer, and till the developer owns any unit , they will still hold the 2 position, which I think will take a long time, talaga yung hawak nila sa HOA mahigpit, is it ok to agree to have an election when most of the facilities and amenities that they promised e wala pa? much more the titles wala pa din, and nakalagay sa by laws na all taxes, and insurance expenses for the common areas will be transferred to home owners once, me maupo na from home owners. much worst, our interim officers , parang vow lang ng vow, sa developer, they agreed to increase in association dues, though wala naman pinapakitang detailed financial statements., and they say na HOA is different from the developer, e developer din ang nag create ng HOA.

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    Replies
    1. This will not continue coz I will question this to the extent of going to the proper authorities

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    2. From my experience, our HOA was also created as conduit of the developer, contradicting the real purpose of HOA. Maliit lang ang community namin sa Taytay, Rizal. karamihan lower middle class.. kung saan may pakinabang doon kahit baluktot. kahit ipaliwanag mo ang batas, walang paki-alam, either ayaw na ng dagdag stress o nakikinabang kasi. Its true kasabwat din ang HLURB kasi parang wala silang mata at parang hindi nila alam ang batas na sila ang dapat magpatupad. Yung HOA namin, nairegister din ng walang eleksiyon at walang partisipasyon ng mga homeowners. Same case sa inilahad dito sa blog, yung mga officers hawak ng developer, yung by-laws hindi approved ng simple majority, ni wala ngang alam yung mga homeowners. akala ko dati kami lang ang ganun, yun pala pati rin sa Lancaster. Familiar itiong PROFRIENDS, nakikita ko sa ads ng internet parang may kinalaman din sa developer namin. After 2 yrs, ng mairegister ang HOA namin, tsaka lang ako nakakuha ng certified true copies ng lahat ng doc ng aming HOA. nakita ko sa by-laws na P 100 lang pala ang monthly dues pero ang sinisingil sa amin ay P 200. Pati financial reports, lahat halatang non compliant pero walang pakialam ang HLURB. kumilos ako para through adjudication, ipa-audit at ipa-disqualify ang mga officers pero ng malaman ito ng developer, agad tinakot ang mga kapit-bahay ko. Napilitan kaming mag-asawa na iwan ang bahay namin para sa aming kaligtasan. Pero sa subd ng kapatid ko, 2nd moved-in sya, last december 2014 sa nabili nilang townhouse unit, yung 1st ay employee ng developer. planado na nag developer paano pipilayan ang mga homeowners. Dadalawa pa lang sila, naregister na ang HOA nila. Same issues, developer naniningil ng monthly dues, sino ang mga incorporators ng art. of incorp. at sino-sino mga naging officers. we are young profs, nasa edad na kailangang kumayod ng husto para ssa kinabukasan, and very vulnerable kaya alam ng developer na hindi iimik kahit malaman pa ang provisions ng RA 9904 at PD 957. Siguro, ang dapat nating gawin ay ibunyag ang ganitong kalakaran through media like "investigative documentaries of gma", failon ngayon of abs-cbn and many more, and with the help of legislators or senators, especially now na malapit na elction. Im so happy I was able to find this blog. let us collaborate to fight the evils of the developers.

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    3. Pirmahan at suportahan po natin ito para di lang profriends ang maimbyerna sa usaping ito kundi pati mga iba pang gahaman na developer https://www.change.org/p/president-noynoy-aquino-1-fast-track-senate-resolution-1054-for-stiffer-laws-against-unscrupulous-developers-brokers-dealers-agents-in-real-estate-industry-2-revoke-profriends-inc-s-licenses-to-sell-3-rescind-profriends-inc-s-illegal-homeowners-assoc

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  2. It seems a lot are doing this already because the homeowners themselves are quiet about it. An illegal thing if repeated can become a status quo.

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    Replies
    1. yes, i think all property developers are doing this. When I was in HLURB, a group of homeowners are sharing the same scenario. They are from Broadway Subd developed by PSP development corp. Many homeowners don't react on this because they don't want to be distracted and have additional burdened. but I think, kung magiging maingay ang isyung ito, baka mabago ang sitwasyon, parang yung "kasambahay law ". These kasambahay will previously voiceless pero ng maging maingay na issue, na empower sila, kaya mas burdensome na ngayong magkaroon ng kasambahay. What more pa tayong mga buyers of real property, let us collaborate and take our voices. thanks a lot for this blog!

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  3. I will soon be moving to this place and I will surely question whatever irregularities are happening.

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  4. Kamusta,
    Ako Yunita Ariyanti mula sa lungsod ng Surubaya, address Demak java, sa indonesia, Gusto kong gamitin ang daluyan na ito upang payo ukol sa lahat ng aking mga kapwa indonesian mamamayan. na na-naghahanap para sa isang loan, ikaw lang ay upang maging maingat. Ang tanging lugar at kumpanya na maaaring mag-alok sa iyo ng pautang ay LILIANA DONATO loan kumpanya. isang maaasahang at pinagkakatiwalaang mga utang ng kumpanya kung sino ang may baguhin ang buhay ko sa damo sa biyaya, nakuha ko ang aking pautang mula sa kanila. Ang mga ito ay ang tanging lehitimong utang ng kumpanya sa internet. Ko na ginastos sa halos 22 milyong sa mga kamay ng isang pekeng loan kumpanya mula sa philippine.
    Ngunit Mrs Liliana Donato ibinigay sa akin ang aking panaginip muli at mabawi ang aking tiwala para sa sangkatauhan muli. makipag-ugnayan sa Mrs Liliana para sa iyong hiling loan
      sa pamamagitan ng email: lilianadonatoloancompany@gmail.com.
    Ang aking sariling mga personal na email: yunitariyanti33@gmail.com. Maaari ka ring makipag-ugnay sa akin sa pamamagitan ng aking email para sa karagdagang impormasyon tungkol sa Mrs Liliana Salamat lahat para sa pakikinig ng aking patotoo.
    Biyayaan ka.

    ReplyDelete