Virginia Court Rules Bedford County POA Invalid, Cannot Collect Fees

Terrace View Property Owner's Association lacked legal duty to maintain common areas, court finds.

Published on Feb. 25, 2026

The Court of Appeals of Virginia has ruled that the Terrace View Property Owner's Association in Bedford County is invalid under the state's Property Owners' Association Act (POAA) and cannot collect fees from residents. The court agreed with a lower court's decision that Terrace View's declaration did not impose a legally required duty to maintain common areas, a key element for a valid POA under Virginia law.

Why it matters

This ruling sets an important precedent for property owners' associations in Virginia, clarifying that they must have a legally binding responsibility to maintain common areas in order to collect mandatory fees from residents. The decision could impact similar POAs across the state that lack clear maintenance obligations in their governing documents.

The details

The Terrace View subdivision was developed in 2000, with the developer adopting a declaration that provided for the optional creation of a property owners' association. Terrace View was incorporated in 2005 but remained inactive until 2014, when it began imposing an association fee on residents like the Jannah family. The Jannahs refused to pay the fee and filed for declaratory judgment, arguing that Terrace View was not a valid POA under the POAA and lacked the legal right to assess the fee.

  • The Terrace View subdivision was originally developed in 2000.
  • Terrace View Property Owner's Association was incorporated in 2005.
  • Terrace View became active and began imposing fees on residents in 2014.
  • The Jannahs filed for declaratory judgment against Terrace View in 2022.

The players

Shekar and Barbara Jannah

Residents of the Terrace View subdivision who refused to pay association fees imposed by the Terrace View Property Owner's Association.

Terrace View Property Owner's Association Inc.

The property owners' association that was ruled invalid under the Virginia Property Owners' Association Act and lacked the legal authority to collect fees from residents.

Andrew P. Connors

The Lynchburg attorney who represented the Jannah family in the case.

Got photos? Submit your photos here. ›

What they’re saying

“When the Jannahs came into my office and I had an opportunity to review the declaration of restrictive covenants that purported to govern their subdivision, I was struck by the complete lack of any language obligating their homeowners' association to do anything for them or for any of the other homeowners in the subdivision.”

— Andrew P. Connors, Attorney (Virginia Lawyers Weekly)

What’s next

The Terrace View Property Owner's Association has the option to appeal the Court of Appeals of Virginia's ruling to the Supreme Court of Virginia.

The takeaway

This case highlights the importance of property owners' associations having clear, legally binding obligations to maintain common areas in order to collect mandatory fees from residents. The ruling could prompt similar POAs across Virginia to review their governing documents to ensure they meet the requirements of the state's Property Owners' Association Act.