Homeowners' guide to Georgia HOA laws
The federal and Georgia laws that govern homeowners' associations, condominiums, cooperatives, and nonprofit corporations — and where to find them.
In addition to laws specifically applicable to condominiums and HOAs, Georgia associations are affected by several federal laws and other generally applicable state statutes — depending, in part, on how the association is structured.
This guide is meant to help the public locate the laws that govern associations and their members in Georgia. It is not a substitute for legal advice.
Property Owners' Association Act
The Georgia Property Owners' Association Act (GPOAA), O.C.G.A. §§ 44-3-220, et seq., governs the formation, management, powers, and operation of applicable associations; it is Georgia's law specifically applying to homeowners associations.
Associations in Georgia can be organized under the GPOAA or based on common-law principles, in which case the statute is inapplicable. Statutory associations are commonly referred to in Georgia as "POAs," and common-law associations as "HOAs," though GPOAA associations are also sometimes called HOAs.
An association "opts in" to the GPOAA by recording a declaration (or amending an existing declaration) to expressly elect to be governed by the GPOAA. O.C.G.A. § 44-3-222.
While not as detailed as many state HOA statutes, the GPOAA provides more legal structure than common-law associations with regard to association powers, and it streamlines the lien-filing process.
A non-GPOAA association's declaration expires by law twenty years after recording unless affirmatively renewed, while a statutory association continues automatically unless dissolved. O.C.G.A. § 44-5-60.
The GPOAA (Title 44, Chapter 3, Article 6) is made up of 17 code sections, 44-3-220 through 44-3-235.
Condominium Act
The Georgia Condominium Act, O.C.G.A. §§ 44-3-70, et seq., is similar to the GPOAA, except that it applies to condominium associations rather than homeowners associations.
The principles relating to formation, management, powers, and operation set out in the Condominium Act are often identical to the analogous principles of the GPOAA. The duties are also similar, though in some cases condominium associations have greater disclosure requirements.
The Condominium Act (Title 44, Chapter 3, Article 3) is made up of 48 code sections, 44-3-70 through 44-3-117.
Nonprofit Corporation Code
The Georgia Nonprofit Corporation Code, O.C.G.A. §§ 14-3-101, et seq.: associations in Georgia must be organized as either nonprofit or for-profit corporations before recording a declaration.
If an association is a nonprofit — as is the case with most Georgia associations — it is governed by the Georgia Nonprofit Corporation Code, specifically with regard to corporate structure and procedure.
For-profit associations are likewise governed by the Georgia Business Corporation Code, O.C.G.A. §§ 14-2-101, et seq.
Cooperatives
Georgia's statutes only specifically address cooperatives relating to electric, telephone, and certain agricultural activities. Under the appropriate circumstances, a group wishing to own property as a co-op in Georgia can organize as an LLC or nonprofit corporation and tailor its governing documents to accomplish most of the same goals of a typical co-op in other states.
The corporate entity registered with the Secretary of State owns title to any property, and the individuals own shares or membership interests in the corporation or LLC, depending on how it is organized.
Fair Housing Act
The federal Fair Housing Act ("FHA"), 42 U.S.C. §§ 3601, et seq., prohibits housing discrimination based on protected classes. As enacted in 1968 it covered race, color, religion, and national origin; sex was added in 1974, and disability and familial status (the presence of children under 18) were added in 1988. 42 U.S.C. § 3604.
Under the FHA, an association can incur legal liability for taking an adverse action affecting a person's right to buy, rent, or enjoy the use of real estate based upon that individual's membership in a protected class.
An adverse action can be express discrimination, such as exclusionary covenants preventing sales or leases to anyone within a protected class, or actions that may not appear discriminatory on the surface but result in a "disparate impact" on a protected group.
Georgia's Fair Housing Law, O.C.G.A. §§ 8-3-200, et seq., applies the protections provided under the FHA at the state level. The state law is administered by the Fair Housing Division of the Georgia Commission on Equal Opportunity.
Fair Debt Collection Practices Act
The federal Fair Debt Collection Practices Act ("FDCPA"), 15 U.S.C. §§ 1692, et seq., regulates the conduct of "debt collectors" collecting debts owed by "consumers" to third parties.
HOA fees are considered "debts" under the FDCPA, and homeowners are protected "consumers." Ladick v. Van Gemert, 146 F.3d 1205 (10th Cir. 1998); Thies v. Law Offices of William A. Wyman, 969 F. Supp. 604 (S.D. Cal. 1997).
An HOA collecting its own debts does not qualify as a "debt collector" and is therefore not regulated by the FDCPA. However, a third party — such as a collection agency, law firm, or property-management company — attempting to collect fees owed to an association may qualify as a "debt collector" under the FDCPA.
The Georgia Installment Loan Act (formerly the Georgia Industrial Loan Act), O.C.G.A. §§ 7-3-1, et seq., regulates small installment loans of less than $3,000 at the state level and is therefore not typically applicable to homeowners associations.
Americans with Disabilities Act
The Americans with Disabilities Act ("ADA"), 42 U.S.C. §§ 12101, et seq., prohibits discrimination against people with disabilities in employment, transportation, public accommodations, communications, and access to government programs and services.
An association with common elements accessible to the general public, or that acts as an employer, must ensure that its activities do not result in discrimination against people with disabilities and must make the "reasonable accommodations" necessary to allow individuals with disabilities access to facilities and/or employment.