We'd like to merger two adjacent HOA's. We share common roads that each homeowner owns and we feel we could get more done as one unit. What legal requirements or process will this entail. How much would this cost? Do we dissolve then create a new one or simply merge?

The process for merger depends on how the HOA's are organized.  If they have been organized as Illinois not-for-profit corporations, they will be permitted to merge so long as the appropriate steps are taken by the directors and members of the respective associations.  First, the directors of each association, must pass a resolution setting forth the details of the merger.  This is often accomplished by seeking approval of a Plan of Merger, which sets forth details of the merger, such as which entity will survive and how membership from the dissolving entity will be transferred into membership of the surviving entity.  Second, the Plan of Merger must should be submitted to a vote by the members of each association.  Unless the By-Laws or other governing documents of either association requires a different threshold, the approval from at least 2/3 of the members of each association is required to approve the Plan of Merger.  Assuming the Plan of Merger is approved by the requisite percentage of members, Not-For-Profit Articles of Merger must then be filed with the Illinois Secretary of State to complete the merger.  This is general advice not commencing the attorney client relationship, nor is it protected under attorney client privilege.  Randy Green is an attorney at Meyer Capel, a Professional Corporation E-mail: rgreen@meyercapel.com Phone: (217)352-1800