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An Article
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The Anti Homeowner Lobby
The CAI CLAC Story
May 10, 1993
By
AHRC News Services
Copyright AHRC News Services
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| Sacramento, California - On all levels of government, there are powerful economic interest which are constantly trying to undermine the rights of American homeowners for their own profit. Today, we focus on one such group in California. It is called CAI/CLAC.
CAI is Community Associations Institute, a trade group of attorneys, management companies, accountants and others who make a living from working on homeowner associations. Brad Walker, a lawyer, is president of CAI. He is a law partner of CLAC chairman, Dick Fiori.
CLAC is California Legislative Action Committee, the lobbying arm in Sacramento of CAI. Its chairman is Dick Fiori, an attorney owning a law firm which works solely on homeowner associations.
The following are but a few examples of how CAI/CLAC get legislation introduced and passed, which adversely affects homeowners.
1990:
Dick Fiore's law firm begins to represent the Loma Vista homeowner's association for alleged construction defects by the developer. The homeowners are not consulted on this lawsuit.
The legal fees begin to soar - well over $120,000 by 1991.
The association draws money from reserves, which are more earmarked for repairs to common area items , to pay Dick Fiore's fees . This was ILLEGAL under state law in California.
CAI/CLAC introduces a bill, AB 871 in 1991 to make this legal. It passes and becomes effective in 1992. So if you break the law, don't worry - just get one of your friends to introduce a bill a bill to make it legal. It is nice to have friends in high places. That is what lobbying is all about.
In the same bill, a clause mysteriously appears which authorizes a homeowner board to replenish the reserves in the above situation by means of a special assessment WITHOUT ANY CAP AND WITHOUT YOUR PERMISSION. You could be stuck with a bill for thousands of dollars.
Who loses?
YOU. Who gains? Attorneys like Dick Fiore. They get a whole new war chest to use - YOUR reserve money.
1993:
Dick Fiore happily announces that CAI/CLAC have had AB 1793 introduced.
AB 1793 allows boards to fine homeowners up to $1,000. The boards would act as PROSECUTOR, JUDGE AND JURY. Most American!
Who gains?
Association attorneys like Dick Fiore who would benefit from resulting litigation, the filing of liens , and foreclosures. |
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