However, certain associations have a habit of instigating litigation for a variety of reasons. Some reasons may be valid and beyond the control of the board. Other types of legal action may be at the whim of the board and unnecessary. Over the past decade, I have seen many associations sue the developer and subcontractors for construction defects and poor materials and workmanship. Early on, these lawsuits were settled out of court with insurance companies not wanting to incur court costs and legal fees. Over the past several years, insurance companies have tended to take associations to court on these lawsuits. As a result, the potential award (after attorney fees) has been diminished. In some cases, associations have been awarded very small amounts, which left the associations with attorney fees in excess of the cash awards. The fact that an association is involved with a lawsuit is not necessarily a red flag. However, it may be difficult to find out why the association is involved in a lawsuit and what the potential outcome is. (pages 69-70 from The Condo Book)
In the case of APPLEGATE CONDOMINIUM ASSOCIATION, INC. v. APPLEGATE ESTATES, LLC Et Al your lawyers filed a revised complaint yesterday, July 27, 2026) adding these three items to the original complaint that was filed on July 14, 2025:
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