It’s just a fact: living in close quarters, whether vertically in a multifamily high-rise, or right next door in a suburban HOA, makes a certain amount of conflict inevitable. It can occur between residents, or between a resident and the board, and usually it’s something relatively mundane and easy enough to resolve; a resident needing to be reminded not to store their bike in a shared hallway, for example, or to refrain from practicing their tuba after 10pm. 

Unfortunately, sometimes a disagreement between residents can escalate into an all-out feud, or even spill over to become a conflict between resident(s) and the board, leading to costly litigation and lingering animosity between neighbors. To avoid such worst-case scenarios, it’s vital for trustees and managers to understand what issues tend to breed the most conflict, and know how to defuse them before they morph into more serious problems.

Use Your Words

Among the top recurring complaints condo and HOA residents have about their communities is lack of communication between trustees, management, and owners. It may sound alarmist, but silence from a community’s administrative team can have profound legal, financial, and social consequences for the entire building or association.

“Key elements to achieving community harmony are organization and open communication,” says Skip Richardson, branch president, Associa Services of Florida. “As one can imagine, there are a plethora of personalities in a community which can easily lead to internal conflict. Topics such as the increase of monthly maintenance fees, community communication, how and where to spend reserve funds, and forecasting needs vs. wants are just a few of many potential powder kegs. While there is no ‘silver bullet’ that lets everyone see eye to eye, those communities with a clearly defined vision typically have greater ability to find common ground.” 

Another very common cause of conflict between boards and residents is disparity between residents’ expectations and what the association and its governing body can actually deliver. When owner expectations exceed what governing documents and rules allow, or what impressions the board may have given the residents, the burden is on the board to restore balance—through better communication, corrective action, or (more likely) a combination of both. 

“The board can often manage residents’ expectations by holding open meetings and keeping the community fully informed of its actions,” says Paul Okonak, vice president of management services with Evergreen Property Management, an Associa Company located in Bedford, New Hampshire. “The latter can be accomplished through board newsletters, the posting of meeting minutes, and providing fully transparent financials. Welcoming new community members at board meetings and asking if there is anything they would like to know or speak about can also go a long way toward demystifying board operations and improving board/resident relations.” 

“Being proactive can mitigate many potential conflicts,” agrees Jaime Sikorski, vice president of management for AKAM, a property management company with offices in New York City and Florida. “Annual or bi-annual goal-setting by the board is a helpful best practice. Not only does this keep the board on track, but they can go back to the goals when conflicts arise, making the decision based on helping move closer to that goal. 

Keep the Channel Open 

When a resident has an issue with their board that may potentially cause conflict, what should they do? Conversely, when the board or a member of the board has an issue with an association member, how should they approach the problem?

Douglas Weinstein, AKAM’s senior vice president for management in their Florida offices, suggests that “instead of a board member directly addressing an issue with a resident or vice versa, we recommend that they first attempt to resolve it through communication with the on-site manager. Many times, issues can be resolved this way, as they might have arisen from miscommunications or inaccurately conveyed information. As managing agents, we play a key role in finding resolutions. Part of our responsibility is to ensure that residents’ concerns are heard, complaints are acknowledged, and—ideally—matters are resolved before they are ever escalated.” 

Matthew Carter, regional director for FirstService Residential in New Jersey, offers some do’s and don’ts for both boards and residents when tensions run high.  “Take the time to actively listen to the concerns and perspectives of all parties involved in the conflict,” he says. “Create an environment where everyone feels heard and valued. Foster open and respectful communication. Encourage board members to express their opinions and concerns in a constructive manner. Seek common ground. Look for areas of agreement and common interests among conflicting parties.”

 When approaching the board with complaints and questions, “kindness and politeness always win,” says Brandon Clayton, senior community manager for Associa Chicagoland. “In addition, I highly recommend attending board meetings on a regular basis to see what is happening in your community. Too often, a majority of owners with questions or complaints about their community fail to attend. If you can’t make a meeting, read the meeting minutes to see what occurred. Read the fiscal budget, and reach out to your management company with any questions. I—along with many managers—don’t mind scheduling a date and time to speak with homeowners about their community. We can answer all of their questions.”

Alternatives to Litigation 

What happens when residents and boards can’t resolve their issues amicably on their own? Fortunately, there’s an avenue to try before getting lawyered up and seeing each other in court. It’s known as alternative dispute resolution, or ADR for short. In some cases it’s a voluntary option for disputing parties attempting to resolve their issue without litigating, but in certain places—New Jersey, for example—it’s mandatory for parties to attempt ADR prior to filing a lawsuit. 

In the case of a dispute among common interest community residents and/or boards, the resident and the board will most often submit their respective positions, evidence, and rationale to a neutral mediator for review and recommendation for a fair resolution of the problem. In most cases, the mediator is an attorney, and his or her recommendation for resolution is non-binding. Another form of ADR, arbitration, is rarely used in these types of disputes, but is usually legally binding, with the arbitrator’s decision being final.

The Role of Management 

As with most situations in shared communities, management must often walk a fine line. Managers are neither the owners of the property, nor the duly elected board; they’re there to execute the decisions of the board and to monitor the day-to-day operations of the property. In conflict situations, they can easily get caught in the crossfire.

“A manager’s role is part politics, part psychology, and part management,” says Weinstein. “Many disputes originate from the fact that new owners—or even existing ones—often neglect to thoroughly review their community’s governing documents. One of our recommendations for new residents or buyers is to meticulously read these documents. This step is of utmost importance, because many disputes arise due to residents being unaware that their actions are in violation of rules or regulations in the first place—so keep that in mind when approaching a conflict or difficult situation. 

Sikorski stresses that “the same advice applies for residents as it would to board members. Whenever possible, take emotion out of the conversation. In many cases, the board members themselves are neighbors and experiencing similar personal concerns, but they’re tasked with making decisions for the overall benefit of the property. Okonak offers an interesting view of potential conflict situations. “Residents typically feel wronged in some manner by the board, association, or management when they color outside the lines. It usually revolves around one’s personal lifestyle choices versus the mandated compliance of living in a planned community. Hopefully, this never results in a personal vendetta or attack on anyone. Most residents remember that when they moved into a managed community, they willingly agreed to abide by its existing living standards. I have lived in managed communities for almost 40 years, and when folks ask me, ‘How can you stand to live in a community with those rules?’ I reply that I did my homework first. I agreed to comply with those rules before I purchased; they’re rules that I can live with, and the expectation is that my neighbors will as well.”

Multifamily community living is by definition different from private home ownership. You, as the unit owner, are not necessarily the king or queen of your castle; you’re part of a larger collective, and as such, conflict will inevitably arise. How you handle it when it does will determine whether yours is a peaceable kingdom, or a house divided.