Wilkinson v. Chiwawa Communities Ass'n
180 Wash. 2d 241
| Wash. | 2014Background
- Chiwawa River Pines is a mixed residential and vacation community in Chelan County with covenants from Pope & Talbot and later consolidated 1988/1992 covenants; those covenants allowed rentals and did not set a duration limit, and included a single-family residential use requirement, nuisance/offensive-use prohibitions, and signage rules.
- The covenants expressly allowed some rental activity (e.g., signage for rent) and anticipated rentals, but did not specify a durational cap on rentals.
- In 2007 the Association surveyed members about barring nightly rentals; in 2008 it voted to bar rentals of less than six months as a prohibited commercial use, which was challenged by Wilkinsons in superior court and in a Court of Appeals ruling.
- In 2011 the Association amended the covenants to prohibit rentals for less than 30 days; Wilkinsons again challenged this 2011 amendment in superior court, and both sides moved for summary judgment with Wilkinson moving to strike portions of the Association’s evidence.
- The trial court granted Wilkinson’s motions and held the 2011 amendment invalid as it was not consistent with the general plan and not related to an existing covenant; this Court reviews de novo and affirms in part, reversing in part with respect to evidentiary rulings and holding the 2011 amendment invalid.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether short-term vacation rentals violate covenants prohibiting commercial use or restricting to single-family use | Wilkinsons: rentals are commercial use and/or violate single-family use | Association: rentals are residential and consistent with covenants | Rentals are residential and consistent with single-family restrictions; not per se commercial; 2011 ban invalid as unrelated to existing covenants |
| Whether the 2011 amendment to prohibit rentals under 30 days was valid under the general plan of development | Wilkinsons: amendment not within power; related to general plan and notice | Association: majority can amend covenants to limit rentals if consistent with general plan | Amendment was invalid because it was not reasonably related to an existing covenant and not authorized by the general plan |
| Whether the trial court properly excluded certain survey and declaration evidence | Wilkinsons: survey and declarations should be admitted | Association: these were inadmissible or untrustworthy | Trial court correctly excluded the 2007 survey comments as hearsay and struck improper affidavits; evidentiary rulings affirmed |
Key Cases Cited
- Riss v. Angel, 131 Wn.2d 612 (1997) (covenant interpretation; protect homeowners’ collective interests)
- Hollis v. Garwall, Inc., 137 Wn.2d 683 (1999) (extrinsic evidence to illuminate written covenants; not to alter written terms)
- Mains Farm Homeowners Ass’n v. Worthington, 121 Wn.2d 810 (1993) (covenant interpretation; considering purpose and use restrictions)
- Ross v. Bennett, 148 Wn. App. 40 (2008) (short-term rentals can be residential if use remains residential in nature)
- Shafer v. Bd. of Trs. of Sandy Hook Yacht Club Estates, Inc., 76 Wn. App. 267 (1994) (majority’s power to amend covenants must be consistent with general plan of development)
- Meresse v. Stelma, 100 Wn. App. 857 (2000) (amendments must be consistent with general plan; relation to existing covenants considered)
- Ebel v. Fairwood Park II Homeowners’ Ass’n, 136 Wn. App. 787 (2007) (consistency with general plan; allowance of extrinsic evidence when appropriate)
