A subdivision can charge maintenance fees or association dues in the Philippines even if it does not have security guards, but only if the fees are authorized, reasonable, properly approved, and actually used for legitimate subdivision or homeowners’ association purposes. The absence of guards does not automatically make the charge illegal. What matters is what the fee was approved for, what the subdivision or homeowners’ association promised to provide, how the money is being used, and whether homeowners are being denied services or charged arbitrarily.

Direct Answer: Is It Legal?

Yes, it may be legal for a subdivision or homeowners’ association to collect maintenance fees without providing security guards if the fee covers other basic community services, such as:

Street cleaning
Garbage collection
Street lights
Road repairs
Drainage maintenance
Common-area upkeep
Administrative expenses
Insurance or permits
Gate maintenance, CCTV, barriers, or other safety measures
Salaries of maintenance workers or other staff

But it may be illegal, invalid, abusive, or challengeable if:

The fee is specifically called a “security fee” or was approved for guards, but no guards are hired.
The association collects dues without authority under its bylaws, deed of restrictions, approved budget, or member resolution.
The amount is excessive, arbitrary, or unsupported by records.
The board refuses to show financial statements, receipts, contracts, or budgets.
The HOA unreasonably fails to provide basic community services.
Homeowners who have paid are denied basic services or access to common facilities.
The HOA imposes penalties, cuts services, or declares a member delinquent without due process.

The key law is Republic Act No. 9904, or the Magna Carta for Homeowners and Homeowners’ Associations, which governs homeowners’ associations in subdivisions, villages, socialized housing projects, and similar residential communities in the Philippines.

What “Maintenance Fees” Usually Mean in Philippine Subdivisions

Many subdivisions use different terms:

Common Term	Usual Meaning
Association dues	Regular charges paid by members to fund HOA operations
Maintenance fees	Fees for upkeep of roads, lights, drainage, common areas, and services
Security fees	Charges specifically intended for guards, gate control, patrols, CCTV, or safety measures
Special assessments	Additional charges for a specific project or expense, such as road repair or perimeter fencing
Sticker fees	Charges for vehicle stickers, usually connected with traffic and access control
Construction bond	Deposit or bond for construction-related damage or compliance

Under RA 9904, “basic community services and facilities” include services that benefit all homeowners and from which, as a practical matter, no homeowner may be excluded. The law specifically mentions security, street and vicinity lights, maintenance, repairs and cleaning of streets, garbage collection and disposal, and similar services.

This is important: security is only one example of a basic community service. The law does not say every subdivision must always hire security guards before collecting dues. However, if the HOA collects money for security, it must be able to show that the money is being used for legitimate security-related or community purposes.

Legal Basis Under Philippine Law

Republic Act No. 9904: Magna Carta for Homeowners and HOAs

RA 9904 recognizes both sides of the issue:

Homeowners have rights.
HOAs have authority to collect reasonable fees.
Boards must be transparent and accountable.
Members must pay lawful dues and assessments.

Under Section 5 of RA 9904, every homeowner has the right to enjoy basic community services and facilities, provided that the homeowner pays the necessary fees and charges.

Under Section 7, an association member has the right to:

Use basic community services and common areas
Inspect association books and records during office hours
Receive annual reports, including financial statements
Participate in meetings, elections, and referenda
Enjoy other rights provided in the bylaws

Under Section 8, a member has the duty to pay:

Membership fees
Dues
Special assessments

Under Section 10, an HOA may impose or collect reasonable fees for the use of open spaces, facilities, and association services to defray necessary operational expenses, subject to law, DHSUD regulations, and the association’s bylaws.

So the law does not treat dues as a simple “pay only if there are guards” arrangement. Dues are normally for the overall operation of the subdivision community.

The HOA’s Power Is Not Unlimited

RA 9904 also lists prohibited acts. A homeowners’ association, its officers, or persons acting for it may violate the law if they:

Deprive a homeowner of basic community services after the homeowner has paid the required charges
Prevent a paying homeowner from inspecting association books and records
Deny due process in imposing sanctions
Exercise HOA powers without required consultation or approval
Unreasonably fail to provide basic community services and facilities
Unreasonably fail to maintain proper financial and other records

This means an HOA cannot simply say, “Just pay, no questions asked.” Homeowners are entitled to ask: What exactly are we paying for? Where is the approved budget? Where are the receipts? Was this approved properly?

DHSUD and HSAC After the Abolition of HLURB

Older documents often refer to the HLURB. Today, the housing regulatory system has changed.

Under Republic Act No. 11201, the Department of Human Settlements and Urban Development Act of 2019, the regulatory functions of the former HLURB were transferred to the Department of Human Settlements and Urban Development (DHSUD), while adjudicatory functions were transferred to the Human Settlements Adjudication Commission (HSAC).

In practical terms:

Concern	Usually Handled By
HOA registration, supervision, compliance, records, governance guidance	DHSUD
Mediation or assistance for HOA complaints	DHSUD Regional Office
Formal adjudication of HOA disputes, intra-association disputes, and certain claims	HSAC Regional Adjudication Branch
Ordinary crimes, threats, physical violence, theft, falsification	Police, prosecutor, or regular courts
Barangay-level neighborhood disputes between individuals	Barangay, when covered by Katarungang Pambarangay rules

The Supreme Court has recognized that HOA and real estate development disputes often fall within the specialized jurisdiction of housing agencies. In Park Developers, Inc. v. Daclan, the Court discussed how RA 9904 expanded the former HLURB’s authority to hear intra-association and inter-association controversies, and how RA 11201 later transferred adjudicatory functions to HSAC.

Civil Code Principles Also Matter

Aside from RA 9904, basic Civil Code rules may apply.

Under the Civil Code of the Philippines:

Article 1159 says obligations arising from contracts have the force of law between the parties and must be complied with in good faith.
Article 22 prohibits unjust enrichment, meaning one person or entity should not benefit at another’s expense without legal ground.
Article 19 requires every person to act with justice, give everyone their due, and observe honesty and good faith.
Article 1170 allows liability for damages when a party is guilty of fraud, negligence, delay, or breach of obligation.

These principles can matter when the HOA collected money for a specific service, such as security guards, but did not provide the service and cannot justify where the money went.

Security Guards Are Regulated Separately

If a subdivision actually hires security guards, it must deal with licensed security arrangements. The relevant law is Republic Act No. 11917, the Private Security Services Industry Act, which regulates private security agencies and private security professionals.

This matters because an HOA cannot simply hire random unlicensed “guards” and treat them as a lawful security force. If the HOA budget includes professional guard services, homeowners may reasonably ask for:

The security agency contract
Proof that the agency is licensed
The number of guards and shifts
Monthly billing statements
Official receipts
Board resolution approving the contract
Budget line item for security

If no guards exist, the HOA should not misrepresent the charge as a guard service.

When Fees Without Guards Are Usually Valid

A subdivision maintenance fee may still be valid even without guards in these situations:

1. The fee is a general association due, not a security-only charge

If the monthly dues are for overall operations, the HOA can still collect even if it has no guards, as long as the money is used for legitimate community expenses.

Example: A subdivision charges ₱500 monthly dues. It has no guards, but it pays for streetlights, garbage collection, grass cutting, drainage cleaning, accounting, bank charges, and road patching. This is generally defensible if properly approved and documented.

2. The subdivision uses other safety measures

Security does not always mean uniformed guards. Depending on the community’s size and budget, safety expenses may include:

CCTV maintenance
Gate barriers
Visitor logbooks
Street lighting
Perimeter repairs
Emergency contact systems
Coordination with barangay tanods or police
Traffic or access rules approved under RA 9904

If the HOA can show that the dues fund these services, the lack of guards alone may not make the fees illegal.

3. The budget was approved by the members

If the association’s budget, dues, or assessments were approved in accordance with the bylaws and RA 9904, homeowners generally must comply unless the charge is unreasonable, unlawful, discriminatory, or imposed without required procedure.

4. The HOA is preserving limited funds

Small or low-cost subdivisions may not have enough funds to maintain 24/7 guards. The board may lawfully prioritize drainage, streetlights, garbage collection, road repairs, or water system maintenance, especially if the general membership approved the budget.

When Fees Without Guards May Be Illegal or Abusive

1. The fee was specifically collected for security guards

If the billing says “security guard fee,” “guard service fee,” or “security assessment,” but the subdivision has no guards, homeowners have a stronger basis to challenge the charge.

The issue becomes sharper if:

The HOA previously announced that guards would be hired.
A special assessment was approved specifically for guard salaries.
The budget contains a security agency expense but no agency was engaged.
The HOA refuses to explain where the money went.

In that situation, homeowners may demand accounting, suspension of the specific charge, refund or credit, and board accountability.

2. The HOA refuses to show financial records

RA 9904 gives members the right to inspect association books and records. The board must keep financial records detailed enough to show the true financial condition of the association.

Homeowners may ask for:

Approved annual budget
Monthly or annual financial statements
General assembly minutes
Board resolutions approving dues or increases
Receipts and invoices
Bank statements, where appropriate
Contracts with service providers
Treasurer’s reports
Audit committee reports
DHSUD registration documents
Bylaws and deed of restrictions

A refusal to allow reasonable inspection is a serious warning sign.

3. The amount is unreasonable or arbitrary

An HOA may collect reasonable fees. “Reasonable” depends on the subdivision’s circumstances, including:

Number of lots or households
Size of common areas
Actual maintenance needs
Existing facilities
Approved budget
Past expenses
Required repairs
Inflation and vendor costs
Whether the subdivision is high-end, middle-income, socialized, or relocation housing

A ₱500 monthly due may be reasonable in one subdivision but excessive in another if there are almost no services, no records, and no approved budget.

4. The HOA failed to follow its bylaws

RA 9904 requires bylaws to include the dues, fees, and special assessments to be imposed regularly, and the manner by which they may be imposed or increased.

If the board increased dues without the required notice, quorum, consultation, vote, or general assembly approval, the increase may be challengeable.

5. Paid homeowners are deprived of basic services

Section 22 of RA 9904 prohibits depriving a homeowner of basic community services and facilities where the homeowner has paid the dues, charges, and fees for those services.

For example, if a homeowner is fully paid but the HOA blocks their vehicle sticker, refuses garbage collection, denies access to common facilities, or imposes sanctions without due process, the homeowner may have a complaint.

6. Penalties are imposed without due process

An HOA may declare a member delinquent only by following its bylaws and due process. The 2024 Revised IRR of RA 9904, issued through DHSUD Department Circular No. 2024-018, reinforces the importance of due notice, hearing, proper grounds, and compliance with governing documents.

In ordinary terms, the HOA should not punish first and explain later.

Practical Step-by-Step Guide for Homeowners

Step 1: Identify what the fee is really called

Look at your billing statement, official receipt, text message, notice, or demand letter.

Ask: Is it called association dues, maintenance fee, security fee, special assessment, or penalty?

This matters because a general due is easier to justify than a fee specifically labeled for guards.

Step 2: Ask for the legal basis of the charge

Politely request copies of:

The HOA’s DHSUD certificate of registration
Articles of incorporation or association
Bylaws
Deed of restrictions, if any
Board resolution approving the fee
General assembly minutes approving the budget or increase
Latest approved budget
Latest financial statement
Statement of account showing how your bill was computed

Keep the request in writing. Email, printed letter, or acknowledged copy is better than a verbal request.

Step 3: Ask specifically about security

If your concern is the lack of guards, ask direct questions:

Is any part of the fee allocated to security guards?
Was a security agency hired?
If yes, what agency and what contract period?
If no guards were hired, where was the security budget used?
Was the budget reallocated? Who approved the reallocation?
Are there alternative security measures being funded?

This avoids a common problem: homeowners argue “no guards, no dues,” while the HOA argues “dues are for everything.” The real issue is the budget and authority.

Step 4: Review the budget and receipts

Compare the actual services with the budget.

Budget Item	What to Check
Security	Guards, CCTV, gate repairs, patrol, agency contract
Garbage	Collection schedule, hauler contract, receipts
Streetlights	Electric bills, repairs, replacement bulbs
Roads and drainage	Repair invoices, contractor receipts, photos
Administration	Salaries, office supplies, accounting, permits
Legal or collection expenses	Board approval, necessity, reasonableness

If “security guards” appears in the budget but there are no guards and no explanation, that is a strong factual point.

Step 5: Raise the issue internally first

Most HOA disputes should first be raised within the association through:

Written request to the board
Treasurer or audit committee inquiry
Grievance committee
Conciliation or mediation mechanism under the bylaws
General membership meeting
Written petition by members, if allowed by the bylaws

A calm, document-based approach is usually more effective than refusing to pay immediately.

Step 6: Pay under protest if necessary

If the HOA threatens penalties, interest, or loss of privileges, some homeowners choose to pay the disputed amount under written protest while pursuing records and remedies.

A payment-under-protest note may say:

“This payment is made under protest and without waiver of my right to question the legality, reasonableness, computation, approval, and use of the charges billed.”

This helps avoid being labeled delinquent while preserving your objection.

Step 7: Bring the matter to DHSUD or HSAC when internal remedies fail

If the HOA refuses to provide records, ignores complaints, or continues collecting questionable fees, homeowners may go to the DHSUD Regional Office covering the subdivision for assistance, mediation, or regulatory guidance.

For formal adjudication of HOA disputes, the matter may fall under the HSAC Regional Adjudication Branch, especially if it involves intra-association disputes, rights and obligations between the HOA and members, registration issues, or enforcement of housing laws.

Documents to Prepare Before Filing a Complaint

Document	Why It Helps
Proof of ownership, award, occupancy, or lease	Shows your legal interest in the property
Written authorization from owner, if you are a lessee	Important if the complainant is a tenant
HOA bills and receipts	Shows what was charged and paid
Notices, demand letters, text messages, emails	Shows the HOA’s position and collection actions
Written request for records	Shows you tried to resolve the issue
HOA response or refusal	Supports transparency complaint
Photos showing no guards or abandoned guardhouse	Supports factual claim
Budget, financial statement, or minutes, if available	Shows whether security was approved or funded
Bylaws and deed of restrictions	Shows the rules governing dues and services
List of similarly affected homeowners	Helps establish that the issue is community-wide

If the owner or member is abroad, documents signed overseas may need notarization before a Philippine consular officer or an apostille, depending on the country. For example, a Special Power of Attorney signed abroad is commonly apostilled or consularized before use in Philippine proceedings or transactions.

Common Real-Life Scenarios

Scenario 1: “We pay monthly dues, but there are no guards.”

This is not automatically illegal. Check whether the dues cover other services. If the roads are cleaned, lights are maintained, garbage is collected, and common areas are repaired, the HOA may still lawfully collect dues.

But the HOA must still be transparent and must show records.

Scenario 2: “The receipt says security fee, but nobody is guarding the gate.”

This is more problematic. A fee specifically collected for security should be supported by actual security expenses or a properly approved reallocation. Homeowners can demand accounting and may challenge the fee if there is no legal or factual basis.

Scenario 3: “The board increased dues without a general assembly.”

Check the bylaws. Many increases require notice, quorum, consultation, member approval, or compliance with DHSUD rules. If the board acted alone when member approval was required, the increase may be questioned.

Scenario 4: “The HOA says we cannot inspect the books.”

That conflicts with RA 9904 if you are a member entitled to inspect records. The request should be made during reasonable office hours and with reasonable advance notice. If refused, document the refusal.

Scenario 5: “I am a tenant. Can I question the fee?”

A lessee may exercise homeowner or member rights if allowed by RA 9904, the bylaws, and written authorization from the owner. For private subdivisions, a tenant usually needs the owner’s written consent or authorization to act as the member for HOA purposes. Without it, the owner may need to make the request or complaint.

Scenario 6: “I am a foreigner living in the subdivision.”

Foreigners generally cannot own private land in the Philippines, subject to limited exceptions such as hereditary succession, but they may own condominium units within constitutional limits or lease property. If a foreigner is a lessee or authorized occupant in a subdivision, HOA rights may depend on the lease, written owner authorization, bylaws, and RA 9904. For documents signed abroad, apostille or consular notarization may be needed.

Scenario 7: “Can the HOA block my vehicle sticker if I question the dues?”

The HOA may regulate access for privacy, safety, internal security, and traffic order, but it must follow RA 9904, its bylaws, due process, and government requirements. If you are fully paid or paying under protest, arbitrary denial of basic access or services may be challengeable.

Scenario 8: “Can I stop paying because there are no guards?”

Stopping payment completely can be risky. The HOA may declare you delinquent if the dues are otherwise valid. A safer approach is to request records, object in writing, pay undisputed amounts, consider payment under protest for disputed amounts, and use the internal grievance process or DHSUD/HSAC remedies.

What the HOA Should Be Able to Show

A properly managed HOA should be able to show homeowners the connection between fees and services.

Question	Good HOA Practice
Why are we being charged?	Clear legal basis in bylaws, deed restrictions, budget, or resolution
Who approved the fee?	Board or members, depending on what the bylaws require
What is the money for?	Itemized annual or monthly budget
Are guards included?	Specific security line item and contract, if applicable
Where did the money go?	Receipts, financial statements, bank records, audit reports
Can members inspect records?	Reasonable inspection during office hours
What if a member disputes the bill?	Written explanation, grievance process, mediation

Lack of transparency is often the real legal problem, not merely the lack of guards.

Frequently Asked Questions

Is a subdivision required by law to have security guards before collecting maintenance fees?

No. RA 9904 recognizes security as a basic community service, but it does not say every subdivision must hire guards before collecting dues. Fees may be valid if they fund other legitimate community expenses.

Can an HOA collect a security fee if there are no guards?

It depends. If the fee was specifically approved for security guards and no guards were provided, the HOA should explain where the money went. Without a valid explanation, the charge may be challenged as unauthorized, unreasonable, or improperly used.

Can homeowners demand financial records from the HOA?

Yes. RA 9904 gives association members the right to inspect association books and records during office hours and to receive annual reports, including financial statements. Requests should be reasonable and preferably in writing.

Can I refuse to pay HOA dues because the subdivision has poor security?

Refusing to pay all dues can expose you to delinquency proceedings if the dues are otherwise valid. It is usually better to request records, dispute the questionable portion in writing, pay undisputed amounts, and consider payment under protest while pursuing remedies.

What if the HOA has no DHSUD registration?

Every homeowners’ association is required to register under RA 9904. If an association is not properly registered, its authority to act as an HOA and collect dues may be questioned. However, deed restrictions, contracts, or actual community arrangements may still create separate issues, so the documents must be reviewed carefully.

Can the HOA cut my water, block garbage collection, or deny access if I do not pay?

The HOA may impose sanctions only if allowed by law and bylaws, and only with due process. Arbitrary deprivation of basic services, especially against a homeowner who has paid the required charges or is disputing charges in good faith, may violate RA 9904.

Where do I complain about illegal HOA fees?

Start with the HOA’s internal grievance or mediation process. If unresolved, go to the DHSUD Regional Office covering the subdivision for assistance or regulatory guidance. Formal HOA disputes may be filed with the HSAC Regional Adjudication Branch when adjudication is necessary.

Do barangay officials decide HOA maintenance fee disputes?

Barangay conciliation may help with neighborhood disputes between individuals, but HOA governance, dues, records, elections, and association powers usually fall under DHSUD or HSAC processes. If the issue involves threats, violence, harassment, or criminal conduct, police or prosecutor remedies may also apply.

Can a group of homeowners file one complaint together?

Yes, if several homeowners are affected by the same fee, lack of services, or refusal to disclose records, a collective approach can be practical. Each homeowner should keep proof of ownership, membership, bills, payments, and written requests.

Can the HOA still collect dues if there are no visible services at all?

If there are no guards, no cleaning, no garbage collection, no lights, no repairs, no records, and no explanation, the HOA’s collection becomes highly questionable. Homeowners may demand accounting, question the reasonableness of the fees, and seek DHSUD or HSAC intervention.

Key Takeaways

A subdivision may legally collect maintenance fees even without security guards if the fees fund legitimate, authorized, and reasonable community expenses.
The absence of guards becomes legally important when the charge was specifically collected or approved for guard services.
RA 9904 gives homeowners the right to inspect HOA records, receive financial reports, use basic community services, and be given due process.
HOAs may collect dues and assessments, but they must follow their bylaws, member approval requirements, DHSUD rules, and basic standards of transparency.
Paid homeowners should not be arbitrarily denied basic services or access to common facilities.
Before refusing to pay, homeowners should request records, review the budget, object in writing, and consider paying disputed amounts under protest.
Unresolved HOA fee disputes may be brought to the DHSUD Regional Office for assistance or to HSAC for formal adjudication when necessary.