Understanding unenforceable HOA rules in North Carolina

In North Carolina, homeowners associations (HOAs) play an active role in shaping communities — from organizing property upkeep to developing architectural guidelines. Understanding the difference between enforceable and unenforceable HOA rules can help board members comply with state laws while supporting a positive living environment for homeowners.

The information provided in this article is not intended as legal advice. Board members should always consult their association attorney and property management partner before creating or modifying HOA rules.
 

What makes an HOA rule unenforceable in North Carolina?

An unenforceable HOA rule is one that violates higher legal standards, conflicts with existing laws, or exceeds the association’s authority as outlined in its governing documents.

An HOA’s authority to regulate its community comes from its governing documents — such as the Declaration of Covenants, Conditions, and Restrictions (CC&Rs), bylaws, and rules and regulations — and must comply with both state and federal law. In North Carolina, state laws like the North Carolina Planned Community Act and the Nonprofit Corporation Act set the legal framework that associations may be required to follow (check your specific governing documents and consult legal counsel to confirm which statutes apply). Federal protections under the Fair Housing Act and other national legislation further limit the types of rules HOAs can impose.

If a rule contradicts state or federal law, discriminates against protected groups, or lacks proper procedural backing — such as appropriate notice or approval from homeowners — it may be deemed unenforceable by the courts.
 

Examples of unenforceable HOA rules in North Carolina

Here are some examples of HOA rules that are commonly found to be unenforceable:

• Discriminatory rules: North Carolina associations must comply with the Fair Housing Act and other anti-discrimination laws. Policies limiting residence or property use based on race, religion, familial status, or other protected classes are generally considered invalid. Subtle forms of discrimination, such as rules that effectively prohibit service animals in communities where they should be allowed, can also be deemed unenforceable.
   
• Rules outside HOA authority: HOA rules must comply with local, state, and federal laws. For example, if a community attempts to exert control over vehicles parked on public streets (beyond the HOA’s property) or sets rules that conflict with municipal ordinances, these rules may not stand in court.
   
• Improperly enacted rules: Associations need to follow proper procedures outlined in their governing documents when introducing or amending rules and regulations.
   
• Improperly enforced rules: Even if a rule is valid, an HOA must enforce penalties in accordance with the community’s established procedures, which could include providing proper notice and allowing for appeals. Inconsistent or selective enforcement can increase the risk that a rule will be challenged by homeowners. For example, if an HOA prohibits colored fences but has not enforced the rule for over 10 years, it may have a difficult time penalizing homeowners who painted their fences during that time.
   
• Outdated rules: In North Carolina specifically, associations might discover that statutory amendments enacted by the state legislature have rendered some older rules outdated. For instance, the recognition of solar energy rights has grown stronger in recent years, meaning an HOA that once barred all solar panels across the board may have to adapt or risk enforcing a rule that can’t hold up legally.

FirstService Residential provides expert guidance and support to North Carolina HOAs in developing and enforcing fair, effective, and transparent rules. Our experienced team works closely with board members to understand the unique needs and dynamics of each community, helping to draft policies that reflect the values and priorities of residents. Leveraging industry best practices, we help our clients create rules that are not only aligned with local and state regulations but are also clear and enforceable.
 

Examples of common enforceable HOA rules in North Carolina

Here are commonly enforceable HOA rules, provided they align with governing documents and relevant statutes:

• Architectural guidelines: It’s normal for associations to regulate external aesthetics, such as paint colors and fence styles. Boards that follow the procedures specified in their governing documents, like presenting proposed changes and allowing proper homeowner input, often maintain enforceable rules.
   
• Pet rules: Many HOAs have practical guidelines for pets, like size restrictions or leash requirements in common areas. As long as these rules don’t conflict with federal or state laws (for example, concerning service animals), they could stand.
   
• Parking and vehicle guidelines: HOAs often have authority over common-area parking, visitor lots, and driveways. They may place restrictions on overnight parking in undesignated spaces or set certain time limits for guest vehicles. If they’re consistent with community documents and do not overrule local laws, these provisions could be valid.
   
• Maintenance standards: Maintaining curb appeal is often a priority for associations that expect homeowners to keep yards, siding, and exterior features in good shape.
   
• Use of amenities and facilities: Rules about who can use the clubhouse, whether or not guests need to sign in, or policies around shared spaces could fall within an association’s authority.

While these rules can be enforceable, their legitimacy still depends on alignment with North Carolina law, proper documentation, and consistent application across all residents. In other words, even if a rule seems typical in many HOAs, it’s critical for each board to consult their association attorney and property management company to confirm they are complying with state and federal law.
 

How to address unenforceable HOA rules in North Carolina

If you discover a rule in your HOA’s handbook that conflicts with state legislation or appears to be outside the scope of the recorded documents, the best approach involves open, respectful communication.

First, review the declaration and bylaws to see whether the HOA has the authority to regulate the issue. You might also check official notices or meeting minutes related to the rule’s adoption. If you find procedural errors or contradictions, you can bring those to the board’s attention. Board members can clarify the reasoning behind a particular rule or review the rule to determine if it should be amended. By collaborating with the board and fellow homeowners, you can help craft language that aligns with relevant law while supporting the community’s needs.

Throughout this process, mutual respect can make a real difference. In many HOAs, boards are volunteer-led, and miscommunications or outdated policies can sometimes arise despite best intentions.
 

Questions about unenforceable HOA rules in North Carolina?

Understanding unenforceable HOA rules in North Carolina is essential for both homeowners and HOA board members. While HOAs have the authority to regulate their communities, this power is balanced by state and federal legal protections. Clear, enforceable rules create a foundation for positive community management and help associations achieve their goals without overstepping legal boundaries.

At FirstService Residential, we work with HOAs across North Carolina to simplify governance, stay compliant with legal requirements, and support vibrant, well-managed communities. If your association needs assistance reviewing its rules or updating governing documents, our team is here to help. Contact a member of our team today.