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Random thought: It seems to me that an HOA could impose a rule: If a person who resides in or is associated with your house commits a major crime (rape, murder, etc) within HOA territory, you pay the HOA $30,000 for reputational damage to the community.

Okay, but for that to actually work, the actual owner of the property needs to be involved. So you can't have some random leftoid parachute in from nowhere and sue you, because the matter is relative to the owner of the house which gets rented to someone who turns out to be a criminal.

Now they probably could fight it, but it's the kind of thing where everyone in town has somehow discussed and agreed that this is how it ought to work - and then if THEY put up a criminal in THEIR house and the criminal goes on and does crime, if they decide to then sue to avoid paying, they're really adding insult to injury... I mean, even if they have a case, it comes at the cost of alienating everyone around them.

Basically what they're doing by fighting it is saying "I have the right to bring criminals here and ruin the community for everyone" - it's a terrible look. In Europe people who are that antisocial have mysterious house and car fires...

CC: @Humpleupagus
@cjd @DMA @Humpleupagus @SmidgePierce @UnCL3 my father and grandfather were both poor as kids, got nothing from their fathers either. They could afford a middle class life because they were getting military money. I'm sure they assumed I'd be fine like they were. But you're not without those veterans benefits. Without that you are permanent poor in the US.

You have to keep serving every generation in the military otherwise you are downwardly mobile. There is no fight so the kids don't have to. They will have to fight or they'll be poor. No one explained this to me when I was a kid because they didn't know better
Usually through the hoa documents or CC&R, the developer will restrict land use or require upkeep. The problem is the such provision can be easily waived as to all owners if not continuously enforced. And they rarely ever are.

Generally speaking, equity is greater than contract in such cases, e.g. if three other owners built offending structures and were never sued, you can build a similar offending structure.