Thomas J Van Dan Elzen, Petitioner, vs. Carter Ranch Homeowners Association, Respondent. - 19F-H1919

This summary concerns the administrative law judge proceedings in the matter of Thomas J. Van Dan Elzen v. Carter Ranch Homeowners Association, Case No. 19F-H1919071-REL-RHG. The case involves a rehearing requested after the initial decision. Procedural History (Original Case: 19F-H1919071-REL) The initial hearing was held on September 9, 2019. The key facts involved the Petitioner, Thomas J. Van Dan Elzen, displaying a "Trump 2020" flag in his front yard, leading the Respondent, Carter Ranch Homeowners Association (HOA), to issue a violation notice around May 21, 2019. The HOA enforced its Flag Display Rule, which prohibited flying any flag other than certain state, military, and national flags (e.g., American flag, POW/MIA, Arizona State, Gadsden). The central issue was whether the HOA violated Arizona Revised Statutes (A.R.S.) § 33-1808, which governs the outdoor display of flags and political signs. The Petitioner argued that the HOA's Flag Display Rule was invalid because the governing Covenants, Conditions, and Restrictions (CC&Rs) did not specifically reference "flag". The HOA countered that it was authorized to adopt the rule under CC&R Article V, Section 5.3, which allows the board to adopt rules pertaining to restrictions on the use of Lots. The initial Administrative Law Judge (ALJ) Decision, issued September 30, 2019, found that the Petitioner failed to prove, by a preponderance of the evidence, that the HOA improperly adopted the rule or violated A.R.S. § 33-1808. The original petition was dismissed. Rehearing Proceedings (19F-H1919071-REL-RHG) The Arizona Department of Real Estate issued an order for a rehearing on November 18, 2019, which was held on January 10, 2020. The main legal issues reviewed during the rehearing were identical to the original case: whether the HOA's Flag Display Rule was inconsistent with its CC&Rs and whether the HOA violated A.R.S. § 33-1808. A.R.S. § 33-1808 prohibits HOAs from banning the display of certain specific flags. Critically, the statute also addresses political signs, defining a "political sign" as one that attempts to influence the outcome of an election. While the statute prohibits HOAs from banning political signs, it allows regulation of their size and display duration (71 days before, 3 days after an election). Key Arguments: The Petitioner maintained that because the CC&Rs did not mention the word "flag," the Flag Display Rule was inconsistent with the governing documents. The Respondent argued the rule was properly adopted under CC&R Article V, Section 5.3, authorizing restrictions on the use of Lots. Final Outcome (Rehearing) In the final decision of the rehearing, issued January 30, 2020, the ALJ concluded that the Petitioner did not establish that the Flag Display Rule was inconsistent with the CC&Rs or that the Association improperly adopted it. The ALJ further found that the Petitioner had not alleged or established that Carter Ranch violated A.R.S. § 33-1808. The final order of the rehearing dismissed the petition and deemed the Respondent the prevailing party. This order, resulting from a rehearing, was binding on the parties, requiring any further appeal to be sought through judicial review. Case Details: Case ID: 19F-H1919071-REL-RHG Docket: 19F-H1919071-REL-RHG For more AZ HOA transparency resources visit https://azhoawatch.org Legal & Accuracy Notice - azhoawatch.org is operated by Hound LLC, a homeowner-run project, not a law firm. Nothing in this video is legal advice or creates an attorney-client relationship. We analyze public ADRE/OAH records and may express opinions. Not affiliated with ADRE or the OAH. Read the full Legal & Terms: https://azhoawatch.org/legal