RMWBH has had many attorneys come through its doors over the years, but none have quite the story of long-time RMWBH attorney, and recently named Equity Shareholder, Eric Tonsul. Since joining RMWBH as a law clerk at the then Butler Hailey, Eric has been a key figure in the growth of RMWBH’s POA section throughout Texas, but that may not have always been the case.
Eric’s path through law school and becoming an attorney was not always certain. After graduating from Texas A&M with a business management degree, Eric decided to go to South Texas College of Law with the hopes of boosting his chances at a job. “I figured getting a law degree would bolster my chances of getting a better job in the business sector,” Eric said.
But Eric’s path changed when he got around other students in law school. “South Texas is very much a working man, working woman school, and everyone was so gung ho about being a lawyer and I got caught up in the energy. So here we are 23 years later,” Eric said.
23 years later, Eric is entrenched as one of the leading POA lawyers in Texas, but that may not have happened without his mom and a stroke of chance.
Always fascinated by real estate, Eric drew inspiration from his mom’s career as a real estate agent in the Kingwood area and came to POA law because it provided a hybrid of both real estate and business when interacting with POAs as non-profit organizations. The other push in the direction of POA law came for Eric during law school when he came across a bulletin board posting for a clerkship at Butler Hailey. It happened to be the only clerkship he ever applied for and the only firm he has ever worked for. “[RMWBH] has always been a good fit for me. I enjoy the people I work with, and I have been privileged to have great mentors. First, Rick and Roy and then after the merger, Jeff, Marc and Gregg have been great. I am very happy and fortunate to be a part of RMWBH,” Eric said.
The journey has not been without its challenges or share of memorable client interactions. One that has stood out was a deed restriction violation that could not be more of a Texas story. The issue involved a homeowner in the Kingwood area that replaced the roof of their home with a metal roof in violation of the community’s deed restrictions. While this matter was going on, the homeowner was not paying their stable fees where they kept a horse. As a result, a horse spent several days tied to a trailer in the driveway of an affluent Kingwood area neighborhood. Only something you would see in Texas.
While it’s easy to laugh about some of the issues that pop up in Texas POAs, there are a couple of issues Eric points out that are no laughing matter and are presenting challenges for POAs – insurance and legislative.
“The cost of insurance has gone through the roof while insurance providers have decreased their coverage amounts,” Eric said. “Particularly for condominiums, premiums are outrageous, and deductibles are doubling, tripling, even quadrupling what they used to be, so it’s a very real problem for the industry.” Eric does say insurance professionals have told him, in their opinion, that the pricing is cyclical and will eventually come back to where things used to be. “But how long that will take is anybody’s guess, and in the meantime, associations have to deal with the fallout of that, and it is a very difficult proposition for a lot of associations.”
The other challenge Eric sees POAs facing is coming from the Texas legislature through the implementation of poorly written laws. Eric highlights the securities measures bill from the 2021 legislative session as one example of a law that, while well intentioned, was poorly conceived has created more questions than answers. He cites that laws like this have left POAs to interpret their meaning and implement the legislation without clear guidance and thus open themselves to issues with their owners.
While not everything is coming up roses for the POA industry, Eric does see a lot of positives coming for the industry in the next 5-10 years. One thing Eric sees continuing to grow is the use of virtual meetings. “Nobody knew what Zoom or Teams were before 2020, or at least I sure didn’t. Now virtual meetings have greatly changed the industry,” Eric said. As things have returned to normal, many associations have chosen to go back to in-person meetings, but there are large numbers that continue to use virtual meanings and Eric believes that not only will this continue, but will most likely rise as demographics change and younger homeowners who “grew up with an iPad in their hands since they were kids” buy homes and begin to participate in the association.
As the POA industry continues to grow and evolve Eric is hopeful for the future, but he cautions all new managers and board members coming into the industry “patience and knowledge are key.” Patience is required, Eric says, when dealing with stressful situations involving homeowners who are delinquent in assessment payments or have a deed restriction violation because the homeowner may not always be acting rationally. He suggests managers and board members to remember “the home is very personal to folks, when you’re speaking to a homeowner, you’re talking about their private sanctuary, so you have to have patience and understanding in your communications.” Knowledge is required, Eric says, to combat the misinformation that develops from those with a lack of understanding of how the Texas Property Code applies to POAs and how the association’s governing documents work. “I would strongly encourage new managers and board members to read the governing documents for the association, as well as the Texas Property Code Chapters, be it 81, 82, 202, 204, and/or 209 that apply to the association, not for memorization purposes, but to have a functional understanding of what they say. Little things like that, in my opinion, go a long way to being a successful manager and or successful board member.”
After 23 years in the industry, Eric is showing no signs of slowing down. He constantly strives to increase his knowledge of POA law, such as when he earned his Board Certification in POA Law from the Texas Board of Legal Specialization, and he continually wants to achieve the best results for his clients and for RMWBH for years to come.
