Certain Owners Exempt from Special Assessment

Green v. Lake Montowese Association, 387 S.W. 3d 413 (Mo. Ct. App. 2012)

Here, the Missouri Court of Appeals determined that it was unfair to force homeowners to pay special assessments on a central water system for which they received no benefit.

The original water system constructed in 1942 became inadequate to service the existing homes in the community. In 1996 one family, after 10 years of inadequate water supply, was forced to disconnect from the central water system. As a result, they dug a private well at a cost in excess of six thousand dollars. As the community continued to grow, the association approved building plans for new lot owners on the contingency that they agree to dig their own wells instead of accessing the central water system.

In 2007, the association approved the replacement of the water system and levied special assessments on all lot owners to cover the expense. However, homeowners that incurred the costs of imputing private wells opposed the assessments and the court agreed. In ordinary circumstances homeowners are not given special treatment because their benefit may have been reduced as compared to other lot owners. Nevertheless, under Missouri law, courts will not enforce assessments against homeowners who have been denied or deprived the option of receiving a benefit all together.

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