The Ticktin Minute April 24, 2017 – Foreclosure Process Pursuant to a HOA Lien for Non-Payment of Condominium Assessments

Condominium Associations run very similar to a business and have two distinctive functions. First, they collect monthly maintenance fees and special assessments and ensure that all unit owners are paying such fees assessed, which are necessary to keep the property in good condition. Second, the Condo Association must ensure that the unit owners and their guests are following the rules and regulations set forth by the Condominium. Such rights are typically listed in the Articles of Incorporation of the Condominium and/or in the Declaration of Condominium, which is recorded in the county where the property is located.

If a unit owner fails to pay any of the fees assessed by the Condominium Board, which may include monthly or quarterly maintenance and/or special assessments, then the Condominium will have a right to foreclose on the subject unit after a specified grace period has passed. Such grace period should be dictated in the Declaration of Condominium or other similar documents that should have been remitted to all new unit owners. The process for foreclosure pursuant to non-payment of Condominium fees is very similar to the process for foreclosure pursuant to a default in the mortgage. The Condominium first files a complaint (Lis Pendens) and summons with the court. They then continue with the typical foreclosure process until they receive a judgment. One easy way to have the Condominium withdraw the complaint is to agree to pay the fees, however, such fees will likely include additional court costs and attorney’s fees incurred by the Association. It’s always a great idea to contact a foreclosure attorney in order to assess the strength of your case and any potential defenses you may have as soon as reasonably possible.

Contact the attorneys of The Ticktin Law Group to assist you with foreclosure defense action and/or any other legal matter you, a friend or a loved one may have. The attorneys of The Ticktin Law Group offer complimentary legal consultations.