She questioned where her HOA's $44,329 loan went after finding their pond in shambles. The developer ignored her — so the judge ruled without them
The judge declined to award her any monetary relief on these grounds.
Homeowners associations are notorious for leaving residents in the dark; there have been plenty of such instances in the past. But one Delaware homeowner, Gwendolyn Colston, refused to play along. When she noticed overgrown drainage ponds and murky accounting of $44,329.59 in her neighborhood, The Greens at Wyoming, she took matters into her own hands. Although her fight hit an immediate wall when her first attempt to obtain a default judgment hit a procedural roadblock, she pressed on. This eventually led the court to rule in her favor despite the developers ignoring her claims, as reported by LAWS's James Park on October 5, 2026.
A quiet neighborhood turned sour
The dispute centered on the community’s maintenance and questions about its finances. On January 24, 2024, Colston filed her lawsuit against The Greens at Wyoming Homeowners Association, Inc., several individual leaders, and the developer, The Greens at Wyoming, LLC. She alleged that there were serious problems with the community's management and maintenance. On September 3, 2025, she filed an amended complaint to add the developer directly to the action.
Hitting an early roadblock
Colston moved for default judgment earlier in 2026. That is because the developer had failed to answer her complaint. But her first attempt hit a wall. On May 20, 2026, the court recommended denying her first default-judgment motion because she had not properly served the developer. Thankfully, she was able to rectify the error in a matter of months. Colston served the developer on July 6, 2026, and filed her second default-judgment motion on July 31. In it, she demanded repairs, an audit, and loan records.
Silence leads to courtroom defeat
The developer, however, never showed up to argue the case. This prompted Magistrate in Chancery Christian Douglas Wright to grant the default judgment. "Declarant has failed to appear, plead, or otherwise defend after being served with process, so entry of a default judgment is appropriate under Court of Chancery Rule 55(b)," it stated. Nonetheless, the victory was not complete for Colston. The court denied her request for a forensic audit under the Delaware Uniform Common Interest Ownership Act.
The court also rejected her arguments under the Delaware Insurance Code and Administrative Procedures Act. In addition, the judge declined to award her any monetary relief on these grounds. Nonetheless, Colston's case highlights that HOA fees can add a sizable expense to homeownership. According to LendingTree's 2024 Census data, 17.5 million homeowners across the 100 largest U.S. metropolitan areas paid HOA or condominium fees. Among those homeowners, 15% paid at least $500 a month — at least $6,000 a year.
Developer ordered to maintain ponds
That is why it was impressive seeing Colston win major relief. Although the court didn't accept all of her demands, it ruled that the developer remained responsible for maintaining the ponds and ditches until ownership was legally transferred. Wright held that Colston is "entitled to an order directing the Declarant to maintain properly the Community’s ponds and ditches," resolving the ongoing drainage dispute. The court also ordered the developer to confirm in writing whether it had ever taken out a loan on the HOA’s behalf and, if so, provide the loan’s terms, lender, current status, and supporting documents. The October 5 order did not conclude the wider case.
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