Arizona’s New HOA Reasonableness Statute:
Arizona homeowners have had the right to reasonable treatment from their HOA for nearly twenty years. Most of them never knew it. That is the problem that House Bill 4011 was written to fix.
Governor Hobbs signed HB 4011 on June 4, 2026. The bill adds a new A.R.S. § 33-1821 for planned communities and amends A.R.S. § 33-1242 for condominiums. Both provisions say the same thing. An association has a duty to act reasonably in the exercise of its discretionary powers, and “duty to act reasonably” means exercising those powers neutrally, fairly, without favoritism, and in a nonarbitrary fashion.
The law takes effect September 12, 2026, ninety days after the Legislature adjourned. Until then, the old rule applies. As it turns out, the old rule is the same rule.