rental property damange by 3rd party

I have a condo rental property. A guest of my condo tenant's accidentally drove her car into the garage. The damage were the garage door, one side of the door frame and its adjacent dry wall. My condos HOA and the driver's insurance got connected right away and the HOA hired a contractor to do the repair. The problem is that the driver's insurance only covers about $3000 of the total $3500 repairing cost saying that's the proper amount. Now the HOA is going after me for the remaining $500. HOA has the driver's info but refuse to go after the driver because, they said, they don't have the right to do so. According to the Condos bylaw, all outside repairs are HOA's responsibility and need to be done by the HOA.

My questions are:
Am I legally liable for the difference in the repairing cost? Can I, as the condo owner, sue the driver or the tenant for the reaming amount?
The condo is in Seattle, Washington. Thanks.

Not only can you sue the driver for these costs, but the tenant in that unit. The tenant is responsible for the actions of their guests. I suggest you contact an attorney immediately to get action started against both of them.

Thanks. How about the legal relation between the HOA and the owner in this case? Should HOA go after the driver instead of the owner since the HOA worked with the driver and her insurance and managed the repair work?

If I were you I'd work with the HOA and their insurance agent/attorney, by giving them all the pertinent info on the driver and the tenant. If they wish to pursue you, you should turn it over to your insurance company and instruct them to pursue the tenant and her/his guest. Your insurance company will go after the responsible party.