A HOMEOWNER claims his HOA has threatened to sue him for up to $100,000 over a $100 unpaid fine for incorrectly storing his Sea-Doos.
Caleb Backholm, 51, an insurance agent in Fort Worth, Texas, bought his four-bedroom home for about $360,000 in 2019.
He says he was never a member of his neighborhood’s homeowners association and was told it was voluntary when he purchased the house.
However, several months after purchasing Sea-Doos for his teenagers, he received a letter from the local HOA warning him not to store them visibly on his property — a rule he claims he neither agreed to nor knew about.
When he refused to pay an $100 fine for the alleged rule breach, the HOA revoked his lake access and sued him for $100,000 in 2022, he claims.
And while the HOA dropped the $100,000 legal case, Backholm lost a court case over the unpaid fine in 2023.
And the judge ordered he pay the HOA’S legal costs – $5,400.
The HOA then threatened to put a lien on Backholm’s home.
A lien is a legal claim laid on a property that allows a creditor to collect debts owed by securing the debt against the home’s value.
“They sued us for a hundred thousand dollars,” said Backholm, who defended himself.
“I drove down to the courthouse, and the judge wasn’t really interested.
“It’s a huge scam. A massive travesty of justice.”
Backholm and his wife, Abigail, 50, a flight attendant, share two daughters, 23 and 18, and a 21-year-old son.
He mentions that he was informed the HOA was “voluntary” and decided not to join — yet the association insisted that its rules applied to every homeowner in the neighborhood.
Backholm says he left the Sea-Doos visibly in the driveway once. After receiving a warning, he moved them behind his house and out of view, he said.
Talking of his time in court, he said: “I had a bunch of stuff printed out to show them, and the judge said, ‘No, I’ve already ruled.'”
“I said, ‘Can I show you the stuff?’ He said, ‘No, you needed to submit it all in writing in advance.’
“I said, ‘How was I supposed to know that?’ He said, ‘It doesn’t matter if you know it or not.’”
The judge awarded the HOA $5,400 in legal fees.
“The judge said, ‘You need to pay that today.’ I said, ‘No, I’m not going to pay that.’ And I left. But they added another thousand dollars onto it later.”
Backholm tried to sue the HOA in small claims court but says he was turned away.
“They said, ‘well, the suit’s already been filed against you. Small claims isn’t allowed to hear your case.’”
The alleged violation baffled him.
He was further frustrated because he says neighbours had boats parked outside their homes – and were never fined.
“Meanwhile, there were full-on big power boats parked everywhere — in driveways, behind fences, all over the streets. I’ve got pictures of all of it.”
HOA crackdowns in the US
States across the country are working to restrict the power of HOAs.
- In Minnesota, lawmakers introduced a bill that would require HOA boards to create a schedule of fines and fees and distribute it to homeowners; ensure homeowners can contest an HOA fine; provide reasonable time to correct rule violations; and outlaw the practice of charging homeowners for asking questions.
- In Arizona, lawmakers are cracking down on HOA budgets. Under a newly proposed law, HOA boards would have strict guidelines for how they approve expenses.
- In Florida, a bill was passed that restricts the amount of control HOAs have over tenants’ property. It also stops HOAs from fining homeowners for leaving trash cans out and holiday lights up.
- In Atlanta, bipartisan bills were introduced to reign in overly aggressive HOAs to protect homeowners.
- In California, a new bill requires HOA elections to be monitored and the board to comply with certain homeowner requests.
- In Colorado, new HOA rules require greater transparency between HOA board members and tenants.
- And the Federal Fair Housing Act sets housing standards for all homeowners, tenants, and landlords.
The emotional toll hit hard.
“Without access to the lake, what good does it do to have Sea-Doos sitting in your garage? Eventually, I had to sell them,” he said.
“The kids never got to use them outside of those three months, which is something I was very excited about finally being able to do for them. But that was forever lost.”
Adding insult to injury, Backholm says the HOA threatened his home.
“They were going to come after us and put a lien against our house,” he said. “It was the most frustrating thing I’ve ever seen.”
Backholm says the system was stacked against him.
“At one point, when we had to go back a second time, the judge said, ‘I don’t know who’s right or wrong, but you still owe them money,’ Backholm recalled.
“If you don’t know who’s right or wrong, in what sense do I owe them anything? But none of it mattered.”
Consulting a lawyer brought little hope.
“The lawyer said, ‘Yeah, you could probably win — we’ll charge you $10,000 to win if you want.’
“But what’s the point? Whether we lose, we lose a bunch of money. If we win, we lose a bunch of money.”
The biggest mystery, Backholm says, is how the HOA had any power.
“We don’t pay any dues to any HOA,” Backholm said.
“We never have and never will. We’re not in an HOA. We don’t get letters or mail from them or participate with them in any way.”
The HOA did not immediately respond to request for comment.
