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I need to know if I have any rights as it relates to my townhome. I want to open a daycare out of my house with no more than 6 or 7, if that many, children. My HOA bylaws state that no commercial activities are allowed and that the daycare would be considered a commercial activity. My husband and I purchased last year and did not receive a copy of the by-laws until our actual closing, so we had no opportunity to read them and if we had, we would not have purchased here. What can I do?
Asked on February 4, 2017 under Real Estate Law, Illinois
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 4 years ago | Contributor
The fact that you did not receive a copy of the rules does not make them any less binding on you. Furthermore, since you closed despite not receiving them, you have effectively waived any right to seek compensation (e.g. from the sellers) for not having been provided the by-laws (since you could have refused to close unless provided all rules; ergo, but closing without requiring them, you agreed to close regardless of what they were or said),*unless* you did ask for them and the sellers falsely claimed there were no such rules or otherwise lied/misrepresented about them. In that case--where the sellers misled you about the rules or by-laws--you may be able to sue them for fraud, seeking compensation. However, again, that still would not affect the validity and enforceability of the by-laws as against you, and also would not give you a cause of action against the HOA, since the HOA itself was not obligated to affirmatively provide the rules to you--that is the seller's responsibility.