By Andrea Brescia
In some communities, there can be controversy over short-term rentals, with some members being strongly in favor of rentals while others fight to keep the community limited only to unit owners. But the outcome of a fight like this will be largely dependent on the covenants and governing documents of the association. In a recent case, a court determined that short-term rentals violated the restrictive covenant.
Homeowners in a planned community asked a trial court for a temporary injunction, prohibiting their neighbors from renting out their home to vacationers for a profit. (A temporary injunction orders a party to do or not do something while a court case is pending.) The homeowners asserted that the rental of the home violated the restrictive covenants of the association, in part because they were using the home for nonresidential purposes—that is, operating a hotel.