Charlotte man said HOA tried to foreclose over truck fines. Now, he’s celebrating
A Charlotte homeowners association dropped its attempt to foreclose on Jeffrey Baldwin’s home Tuesday, ending a legal battle that began with a disputed $100 fine.
Attorneys for The Settlements HOA in northeast Charlotte said at a hearing at the Mecklenburg County Courthouse Tuesday it was withdrawing its foreclosure petition, removing the immediate threat that Baldwin and his husband could lose their home and effectively dismissing its case against the couple. Baldwin became a vocal advocate for HOA reform in North Carolina after his case began and said the win was a victory for homeowners across the state.
Though attorneys for the HOA did not explain in court why they withdrew the foreclosure petition, Baldwin said he believes the decision spoke for itself.
“To me it just signaled that they knew what they have done for years was wrong,” he said. “It just, you know, reassured what I knew, that what I was fighting for was right.”
Foreclosure dispute escalated from $100 fine
The case began with a disputed $100 HOA fine tied to Baldwin’s truck, which the association said violated the neighborhood’s restrictions on commercial vehicles, the Observer previously reported. Baldwin said the dispute escalated into a $1,337 lien based entirely on alleged violation fines.
Baldwin said the HOA later waived the fines during a hearing, acknowledging they were invalid. Baldwin said the HOA then shifted its claim to unpaid 2024 and 2025 dues after rejecting his attempt to pay his 2024 assessments in good faith. Baldwin said he deposited sufficient funds with the Mecklenburg clerk to cover any legitimate dues.
Under North Carolina law, Baldwin said, a lien based solely on fines must be enforced through judicial foreclosure, meaning the HOA used the wrong legal procedure from the start.
The distinction matters because North Carolina’s nonjudicial foreclosure process, which Baldwin’s HOA pursued, is handled through the clerk of superior court rather than a judge and can move more quickly.
“HOAs are empowered. HOAs are fearless. HOAs really have very little checks. The nonjudicial foreclosure process doesn’t start with a judge like this, it ends with a judge. And the amount that an HOA has to prove is so little,” Baldwin’s attorney Jim White said. “I personally think HOAs should not be permitted to use the nonjudicial foreclosure process. They shouldn’t be able to have a streamlined way to get someone’s house. They should have to work for it.”
Baldwin’s advocacy and what’s next
Baldwin has increasingly framed the case as example of why North Carolina’s HOA laws need to change. The Observer previously reported that Baldwin advocated publicly for reforms that would put limits on fines and change how foreclosure threats are used in HOA disputes.
Baldwin said Tuesday’s outcome was emotional, in part because he believes many homeowners could not afford to fight a foreclosure petition, even if they believe the HOA is wrong.
“For many people, owning a home is like the American dream, and my HOA was trying to take that away from me. So that’s why I was emotional, because I now have an opportunity to keep my home, but there are many people that don’t have that opportunity,” Baldwin said.
Baldwin also said he hopes his outcome encourages other homeowners to challenge their HOAs rather than assume the foreclosure process is unstoppable.
“I’m hoping that it gives them hope that they can fight their HOAs, that they can show some accountability. That’s something that I think we’re lacking, and that’s what I think I’m working on, is accountability, and specifically to end the use of nonjudicial foreclosure to take somebody’s home,” Baldwin said.
While Tuesday’s hearing ended the HOA’s current foreclosure attempt, White said he and Baldwin plan to file a motion seeking attorney fees and expect another court date focused on whether the HOA should be required to reimburse some costs Baldwin incurred while defending the case.
