Patricia is selling a townhome in a Colorado planned community. She provides the buyer with the HOA resale certificate, budget, and reserve study. The buyer reviews the documents and discovers the HOA has a significant special assessment planned for next year. Under CCIOA, what right does the buyer have?
Correct Answer
B) The buyer may terminate the contract based on the HOA document review within the applicable review period
Under the Colorado Common Interest Ownership Act (CCIOA), C.R.S. § 38-33.3-101 et seq., buyers have the right to terminate the contract based on their review of the required HOA documents — including the resale certificate, budget, reserve study, and governing documents — within the applicable review period. A pending special assessment is a legitimate basis for exercising this termination right.
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