Cal.Sup.Ct.
S186149

The California Supreme Court reversed a decision of the court of appeal and remanded. The court held that, under the Davis-Stirling Common Interest Development Act, a developer’s declaration of covenants, conditions and restrictions (CC&R’s), including a mandatory arbitration clause, was binding on both subsequent purchasers of units within the development and the homeowners’ association that represented them, even though the association was not yet formed at the time the CC&R’s were drafted.