$148,142.26 Was The Fee/Costs Award Against Homeowner, Affirmed On Appeal.
We frequently have posted on homeowner-HOA disputes. They are contentious. However, whoever prevails—and that can be a discretionary call—or if no one prevails can be a game changer in these disputes, much to the chagrin of one side or both sides.
Jennings v. Bayside Court Owners Association Inc., Case No. A171339 (1st Dist., Div. 5 June 27, 2025) (unpublished) is a good illustration of our opening observations, although the homeowner was on the losing end of the stick.
Homeowner sued HOA and many others for fraudulent deeds allegedly made in connection with common areas, with homeowner eventually dismissing HOA without prejudice after 16 months of litigation and after homeowner says he obtained relief against other defendants (but not the HOA). HOA moved for costs and attorney’s fees under the Davis-Stirling Act fee shifting provision, with the lower court granting its full request—a total award of $148,142.26 based on a determination that the HOA prevailed.
The 1/5 DCA affirmed. Because the prevailing party determination under the Davis-Stirling Act is a pragmatic one, the lower court can determine that a party dismissed without prejudice did still obtain its litigation objectives. In this case, HOA did obtain its primary objective to be dismissed from the case after 16 months of litigation, with homeowner not demonstrating that it obtained any significant relief against HOA (obtaining relief against other defendants was immaterial). No abuse of discretion in this one.