If that theory holds, almost any unresolved dispute with an association — including one created by the board itself — can become a potential basis for exclusion. An owner challenges an assessment, enforcement action, architectural decision, records denial, maintenance failure, litigation position, or other board action. If the matter remains unresolved, counsel can argue that the owner might later influence it as a director and might benefit from the outcome.

HOA buyers face complex private governments with no screening—unlike private markets that use accredited investor rules to protect the public.