Collections

Back to homepage

Association Fees and Your Credit

When you can’t, or don’t, make payments on personal loans, your credit is quickly affected. Until now, HOA assessments were not included in your credit score calculation. However, Equifax has now decided to start using this information to help determine

Read More

Possession after Judicial Foreclosure (WA)

Recently, the Division 1 Court of Appeals of Washington issued its opinion in the case of Viewcrest Condominium Association v. Robertson, 2016 WL 7470025 (December 27, 2016). The decision by the Court in Viewcrest will need to be considered when

Read More

Uncollected Assessments: HOA Budgeting for Bad Debt

For the past 35 years, Lake Superior State University publishes a list of “banished” words and phrases. The annual list includes words and phrases that are misused, overused, and generally useless. The 2010 list includes such gems as “sexting”, “tweet”,

Read More

Foreclosures – Enforcement of Judgments – Equitable Redemption (CA)

In 1982, the California Legislature enacted the Enforcement of Judgments Law (“EJL”), Code of Civil Procedure section 680.10 et seq., setting forth the standards for enforcing judgments by writ of execution. The EJL made sales pursuant to foreclosure judgments absolute,

Read More

NH Supreme Court issues key condo financing ruling

In NH Housing Finance Authority v. Pinewood Estates Condominium Association, the question was whether a foreclosing mortgagee could be held liable for the unpaid assessments incurred by a prior delinquent owner. The NHHFA had acquired, in a foreclosure sale, title

Read More

Troubled Tampa-based LM Funding faces class action lawsuit (FL)

In what could be a major blow, a judge has ruled that dozens of condominium associations can collectively sue an already troubled Tampa debt collection company.  Miami-Dade Circuit Judge John H. Thornon recently certified a class action lawsuit that accuses

Read More

Rare Safe Harbor Victory for Homeowner Associations (FL)

In Federal National Mtg. Ass’n. v. Mirabella at Mirasol HOA, Inc., Case No. 4D 15-4792 (Fla. 4th DCA, November 23, 2016), Florida’s Fourth District Court of Appeals relied on specific language in the Homeowner Association Acts’ safe harbor provision to

Read More

Lawyers Can Violate FDCPA by Making Factually Inaccurate Allegations in Bankruptcy Pleadings

Judge Castillo’s case involved a law firm that filed a motion to modify the automatic stay on behalf of a condominium association. The motion alleged that the debtors had not paid condominium assessments after being in chapter 13 for a

Read More

Short Sales and Community Associations

A short sale is a common alternative to foreclosure when a delinquent owner owes lien holders on the property more money than the property is actually worth. A short sale can occur prior to the filing of a foreclosure action,

Read More

What Servicers Must Know About HOA/COA Super Liens

Homeowners associations (HOAs) and condo owners associations (COAs) are different breeds altogether. Many servicers incorrectly assume they can service these properties much like traditional properties, but there are far too many complexities behind HOA/COA super liens that servicers must fully

Read More

Mortgage Foreclosure (FL)

As you may be aware, the first mortgage holder’s lien (mortgage) is superior to that of the Association. Therefore, in the event that a bank files for mortgage foreclosure, even if the Association had a lien in place, if a

Read More

NH Supreme Court issues key condo financing ruling

Sales of condominiums in New Hampshire continue to rise. According to data published by the NH Association of Realtors, sales through September increased 6.9 percent over 2015, on top of 16 percent growth the year before. Meanwhile, average days-on-market for

Read More

Can a Condominium Association Face a Second Foreclosure Suit? (FL)

The Florida Supreme Court’s recent decision in Bartram v. U.S. National Bank Association is instructive for condominium associations and community managers dealing with a unit in foreclosure, including those trying to determine whether or not to appear and defend a

Read More

The 9 Most Frequently Asked Questions About HOA Super Liens

We have heard far too many incorrect assumptions from servicers about how various rules will be applied to liens placed by Homeowners Associations (HOA) and Condo Owners Associations (COA) that we feel compelled to set the record straight. The most

Read More

Just Keep Swimming: Navigating the Waters of a Co-owner’s Chapter 7 Bankruptcy Filing

Bankruptcy matters can be treacherous waters for Condominium Association Boards to navigate. Such issues should, in most cases, be referred directly to the Association’s legal counsel, who should be experienced in handling Condominium collection cases in the bankruptcy context. Nevertheless,

Read More

Bourne Valley Redux (Superiority of title) (NV)

The dispute between lenders and the purchasers at homeowners’ association foreclosure sale regarding superiority of title has embroiled the State of Nevada since at least as early as 2012. Since the issue rose in volume and prominence in Nevada, major

Read More

Management and Administrative Fees: Are They Collectible? (IL)

Oftentimes, management companies will include their own management fees (such as a collection turnover fee or trial witness fee) on the ledger of a delinquent owner’s account when collecting unpaid assessments. As courts are reviewing account ledgers with increasing scrutiny,

Read More

Loan Servicers in the Post-Forelosure World – Are They Entitled to Safe Harbor Protection? (FL)

When purchasing your home, you likely shopped for the lender that would provide you with the most favorable terms for your mortgage loan. While you may have found the perfect lender, it is quite typical for your mortgage loan to

Read More

Condominium Owners Whose Homes Have Foreclosure Action Maybe Helped By Supreme Court Ruling (CT)

Many condominium associations have found that their foreclosures are defective because the association failed to adopt a foreclosure rule, if no rule, failed to vote that a foreclosure be started against the unit.  The Connecticut Supreme Court has ruled that

Read More

Chapter 13 Bankruptcy: How Does it Affect Condominium Associations?

The already complicated bankruptcy process thus becomes even more complex when a condominium owner with unpaid assessments is involved.

Read More

What Happens When Fellow Owners Don’t Pay HOA Dues

When homeowners don’t pay dues, everyone is affected; find out what you can do

Read More

3 Tips for Dealing With Community Debt

HOA dues are important for keeping the community running smoothly, but some homeowners may struggle with paying their dues, which can negatively impact the community.

Read More

Community Associations Suspending Use Rights for Common Elements, Amenities (FL)

legislature amended Florida law to authorize community associations to suspend the rights of unit owners and their tenants to use portions of the community’s common elements and amenities

Read More

Ruling Quashes Lingering Questions on Partial Payments to Condo Associations (FL)

The association appealed, arguing that the statutory amendment which was ratified two months after the trial court’s decision clarified the Legislature’s original intent, while Devo countered that a reversal in this case would be an improper retroactive application of a substantive change in law.

Read More

Automating HOA Collections

One of the biggest expenses and hassles for a homeowner association is collecting the regular homeowner fee. Every month, checks, money orders and cash are processed, tallied, bank deposits made and books posted. Then, letters are sent to those that

Read More

Sperlonga begins reporting Homeowner and Condominium Association (HOA) Assessment Payment Data to Equifax

Sperlonga Data & Analytics, a data aggregation business for non-standard credit data sources, begins reporting homeowner and condominium association (HOA) payment and account status data to Equifax Inc., a leading provider of information solutions and global insights.  For associations that

Read More

Fla. App. Court (2nd DCA) Holds Non-Party HOA Not Subject to Foreclosure, HOA Lien Not Limited

FL 2nd DCA recently reversed a summary judgment in favor of a mortgagee in two consolidated actions for declaratory and injunctive relief regarding the extent of the mortgagee’s liability for unpaid homeowners association assessments,

Read More

Important Ruling for Associations Seeking to Foreclose in Advance of Lenders

Community associations and their attorneys are applauding the recent ruling by the Fourth District Court of Appeal in Jallali v. Knightsbridge Village Homeowners Association, which eliminates an unintended roadblock that was being used to derail association foreclosure cases

Read More

Late Fees and Delinquency in a Condo Association

One constant challenge in Condo Associations is the issue of delinquency and debt collection. Homeowner’s Association or Condo Association fees, also called “general assessments,” are the financial lifeblood of your Association. While you may have alternate revenue streams, general assessments

Read More

Accord And Satisfaction: Florida’s 2nd DCA Overturns St. Croix Confirming Condominiums Can Accept Partial Payments Without Risk Of Compromising Claim

The clarification changes the way that acceptance of money intended to be accord and satisfaction is understood by the court in the condominium context

Read More

How priority liens work

Q:  I have been hearing the concept “priority liens” but do not understand exactly what it means. Can you explain?   Read the Q&A………..

Read More

Nevada Supreme Court hears case on real estate crisis foreclosure sales

The court is now expected to rule on the question of the constitutionality of the nonjudicial foreclosure process used by investors and speculators to acquire homes at a fraction of their value by paying off liens held by homeowners associations.

Read More

Nevada Supreme Court Strikes Significant Blow Against HOA Super-Priority Foreclosure-Sale Purchasers

Because the super-priority lien was extinguished before the HOA’s foreclosure sale, the Court found that the HOA foreclosed only on the portion of its lien that was inferior to the senior mortgage.

Read More

In re Jackson (collections – bankruptcy)

The Sixth Circuit B.A.P. holds that the bankruptcy court abused its discretion in awarding sanctions against a creditor for violation of a discharge order in the individual’s Chapter 7

Read More

High court to hear Bonner County case (ID)

The Idaho Supreme Court is scheduled to hear arguments…..The case involves an action Pend Oreille View Estates brought against a group of landowners in 2013 over road improvements.

Read More

Dealing with Bad Debt in Community Associations

If you’re sure you won’t be able to collect from a delinquent homeowner, you should write off the bad debt

Read More

Nevada Fed. Court Denies Class Cert. on ‘Ascertainability’ Grounds, Confirms Fannie/Freddie Liens Not Extinguished by HOA Foreclosure

The U.S. District Court for the District of Nevada recently confirmed that a homeowner association’s foreclosure of its superpriority lien cannot extinguish a property interest of Fannie Mae or Freddie Mac while those entities are under the Federal Housing Finance Agency’s (FHFA) conservatorship

Read More

For condo owners in trouble, repayment plans a good idea

Sometimes well-intentioned owners fall behind on their assessments for one reason or another, so they ask for additional time to come up with the money

Read More

Homeowners: From $150 HOA fee to foreclosure (FL)

Hillsborough County homeowners are battling their HOA in a foreclosure fight, but one missed payment could cost the family their home.

Read More

Associations can once again foreclose their assessment lien after a lender commences its foreclosure

In Jallali, the 4th DCA recognized that the association’s recorded interest related back to the date the association’s declaration is recorded, and once again, perfected an association’s right to foreclose, in spite of the lender’s recordation of its lis pendens.

Read More

HOA Fees and Credit Ratings

Unpaid HOA fees not being reported to credit bureaus is most likely to soon begin changing. Credit data aggregator Sperlonga has decide to begin collecting this data and reporting it to Equifax.

Read More

Show Me the Money: Collections, Foreclosures, Evictions

If everything fails and the unit owner is still unable to catch up or just refuses to pay their dues, there are still legal options available.

Read More

4TH DCA Corrects Prior Ruling and Clarifies Limited Application of Quadomain Decision

As a consequence of that decision, many trial courts have been extending the application of that case to limit the ability of community associations to pursue delinquent assessment claims

Read More

Be Prepared: How to Avoid the Super-Priority Trap

Servicers can face significant obstacles in preservation of their rights vis a vis assessments by homeowners’ associations and condo associations

Read More

Condo associations careful about collecting can weather foreclosures

The foreclosure frenzy hit homeowner associations hard and fast, but they may be better prepared for the future because of it

Read More

Nevada Supreme Court Clarifies Limits to its SFR Investments Decision

On June 22, 2016 the Nevada Supreme Court rejected this argument, clarified that SFR Investments has limitations, and reversed and remanded a district court’s order granting a purchaser’s motion for summary judgment.

Read More

Assessment Collections in the Wake of the Huntington Case

In the wake of the Huntington Continental Townhouse Association, Inc. v. Miner case, this job just got tougher. For years, most association’s standard practice was to reject partial payments.. In the Huntington case, this industry standard was toppled.

Read More

Does changing the locks on a foreclosed Delaware condo make the mortgagee liable for condo fees?

the court rejected Wells Fargo’s attempt to dismiss a condominium association’s claim that the bank should pay maintenance fees and assessments on a unit the bank foreclosed

Read More

Some Banks Are Siding with Condos in the Battle Over Super Liens

Many large national banks do, indeed, oppose the super lien and, supported by the Federal Housing Finance Agency, are working hard to eliminate it. But many community banks don’t share their view.

Read More

What Are Super Liens and Which States Have Them?

A super lien is one type of lien that is making waves. Learn what a super lien is, why mortgage lenders don’t like them and which states have them.

Read More