Schaefer v. Eastman Community Association
Supreme Court of New Hampshire
836 A.2d 752 (2003)
Eastman Community Association (ECA) (defendant) governed a private planned community offering recreational amenities, including a downhill ski area called Snow Hill, under a declaration that set out ECA's powers but neither reserved to residents the right to decide whether to close Snow Hill nor expressly barred ECA from doing so. After finding most residents didn't use or value Snow Hill, ECA's board voted to close it and sell its chairlift, and homeowners (plaintiffs) sued for an injunction and damages, arguing the closure was ultra vires because the declaration never expressly gave ECA power to close an amenity; the trial court agreed with the homeowners.
Whether an association governing a planned community may exercise all powers of the community except those the governing documents reserve to community members or expressly contravene.