Duffy v. Landings Association, Inc.

536 S.E.2d 758 (2000)

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Duffy v. Landings Association, Inc.

Georgia Court of Appeals
536 S.E.2d 758 (2000)

Facts

Robert and Mary Duffy (plaintiffs) owned property in a residential subdivision called The Landings on Skidaway Island. The subdivision was governed by the Landings Association, Inc. (association) (defendant). The association enacted a covenant that created a marketing company to promote the subdivision. The covenant also required owners who were selling their residences to pay transfer fees to the marketing company. The transfer fee was up to 1 percent of the gross sales price of the property. The association’s regulations stated that the association must record a covenant three years before the effective date of the covenant. Because the transfer-fee covenant was recorded in 1997, its effective date was in 2000. The Duffys sold their property in 1998, and the association sought to collect the transfer fee from them. Subsequently, the Duffys filed suit, contending that the transfer-fee covenant did not apply to the sale of their property. The association filed a motion for summary judgment, and the trial court granted the motion. The Duffys appealed.

Rule of Law

Issue

Holding and Reasoning (Ruffin, J.)

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