Court Says Association’s CC&Rs Violated FHA Protections for Substance-Addicted Individuals

This case involved a dispute between a homeowners association (“Association”) and the owners (“Owners”) of a property within the community that was being used by Owners’ tenant as a rehab facility to treat up to eight individuals who were recovering from drug and alcohol addiction. Association contended that Owners’ tenant was violating Association’s CC&Rs and rules that prohibited use of the property for a “commercial enterprise” and which limited leasing of the property to a “single family unit.” In response, Owners contended the property was not being used for a commercial enterprise and additionally, that federal and state housing discrimination laws allowed for the use and superseded Association’s governing documents that prohibited such use.