Priority of Liens—Evolving Rules for Condominiums and Lenders (NY)
Cooperative housing corporations have a first lien on the shares and appurtenant proprietary leases for co-op apartments. As a result, in the event of a foreclosure (whether initiated by the co-op to collect maintenance arrears or the holder of a share loan/mortgage on an apartment), the co-op will receive from the proceeds generated by the sale of the apartment the amount owed to it for unpaid maintenance charges before payment of any portion of the outstanding balance of the loan owed to the apartment owner’s lender. However, a condominium association (HOA), unlike a co-op, does not have a first lien for unpaid common charges on condominium units. Therefore, when a unit owner defaults on the payment of common charges and the mortgage on the unit, the HOA’s lien for common charges is junior to the “first mortgage of record against the premises.” Read the article…………….
Rep. Israel Renews Push to Make Condos, Co-ops, and Certain Common Interest Communities Eligible for Storm Recovery Grants
hree years after Superstorm Sandy hit New York, Congressman Steve Israel (D –NY) renewed his push and announced legislation that
New Illinois Ruling Enforces Cause of Action Accrual Provisions and Holds that Express Indemnity Claims In A Construction Contract Are Subject to a 10 Year Statute of Limitations
The Appellate Court for First District of Illinois recently issued a decision with two important holdings for construction lawyers. First,
A state appellate court revived a $15 million construction-defect claim that was presumed dead when the trial judge ruled it