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2019 NV 48

ARTEMIS EXPL. CO. VS. RUBY LAKE ESTATES HOA

Nevada Supreme Court

Decided October 3, 2019

Nevada Supreme Court · decided 2019-10-03

Applies NV 116 § 116.001 · NV 116 § 116.011 · NV 116 § 116.017 · NV 116 § 116.021 · NV 116 § 116.081

Relies on Wood v. Safeway, Inc. · Southern Nevada Homebuilders Ass'n v. Clark County · Public Employees' Benefits Program v. Las Vegas Metropolitan Police Department

Decided 2019-10-03

135 Nev., Advance Opinion 46 IN THE SUPREME COURT OF THE STATE OF NEVADA ARTEMIS EXPLORATION COMPANY, No. 75323 A NEVADA CORPORATION; HAROLD WYATT; AND MARY WYATT, FILED Appellants, vs. OCT 0 3 20E RUBY LAKE ESTATES ETF! HOMEOWNEWS ASSOCIATION, Respondent. Appeal from a final judgment in a real property action. Fourth Judicial District Court, Elko County; Alvin R. Kacin, Judge. Affirmed. Gerber Law Offices, LLP, and Travis W. Gerber and Zachary A. Gerber, Elko, for Appellants. Leach Kern Gruchow Anderson Song and Karen M. Ayarbe, Reno, for Respondent. BEFORE PICKERING, PARRAGUIRRE and CADISH, JJ. OPINION By the Court, CADISH, J.: In 1991, the Nevada Legislature adopted the Uniform Common-Interest Ownership Act, as codified in NRS Chapter 116. See 1991 Nev. SUPREME COURT OF NEVADA 10) I947A 40, 01 - 4( MI- Stat., ch. 245, §§ 1-128, at 535-79; NRS 116.001. NRS Chapter 116 defines what constitutes a "common-interest community," see NRS 116.021, and also authorizes the creation of a "unit-owners association" to govern the common-interest community, see NRS 116.011; NRS 116.3101. As relevant to this appeal, a unit-owners' association is authorized to impose assessments on unit owners for the unit owners' association to maintain "common elements," which, generally speaking, comprise real estate within the common-interest community that is owned by the unit-owners' association but that benefits all unit owners. See NRS 116.017. Appellants own property in Ruby Lake Estates (RLE), a neighborhood which was created in 1989. In the underlying declaratory relief action, they challenged respondent Ruby Lake Estates Homeowner's Association's (RLEHOA) authority to impose assessments on them. In particular, appellants argued that RLE was not a validly created "common-interest community" because the recorded Declaration that created RLE did not expressly state that RLE's residents would be responsible for paying assessments for the maintenance of common elements or other real estate aside from their individual units, which appellants contend is required under NRS 116.021. Alternatively, appellants contended that RLEHOA was not a validly created "unit-owners' association" because it was not organized until 2006, while NRS 116.3101 requires a unit-owners' association to be created before the first lot in the common-interest community is conveyed. The district court granted summary judgment for RLEHOA, thereby affirming RLEHOA's authority to impose assessments on appellants. SUPREME COURT OF NE/ADA 2 (0) 1947A
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