Preparing for the Inevitable: Raising Assessments and How to Do It Whether it’s to pay for repairs to the common area, replenish reserve funds, pay for increased utilities, stay even with inflation, raise funds for a new project addition such as a playground or pool (also known as capital improvement),…
Earlier this month, CAI released a Statement of Moratorium on Foreclosure Actions urging community associations to immediately suspend all foreclosure activity and not begin new foreclosure actions until June 1. We question how well thought out this position is as it is not all that realistic for California community associations.…
By Sandra Gottlieb and Alyssa Klausner, Community Association Attorneys at SwedelsonGottlieb As many of you likely know, when a homeowner files a Chapter 7 bankruptcy, they may be able to “discharge” their obligation to pay the pre-bankruptcy petition debts including the assessments they owe their community association. And you likely…
By Brian Moreno, Senior Associate at SwedelsonGottlieb, Community Association Attorneys In the assessment collection arena, there have been a number of pro-homeowner court decisions that affect a community association’s ability to collect unpaid HOA/Condo assessments. First, courts have held that associations must accept partial payments, which has allowed homeowners to…
By David Swedelson, Partner, Swedelson Gottlieb, California Community Association Attorneys I was alerted to a news story out of Detroit where legendary singer Aretha Franklin is being sued for her failure to pay more than $11,563 to the Hills of Lone Pine Association. Interesting quotes from Ms. Franklin: “It is…
By Sandra Gottlieb and Cyrus Koochek, SwedelsonGottlieb, Community Association Attorneys Many California condominium and homeowner associations end up with units and homes after foreclosing on assessment liens with no third-party bidders at the foreclosure sales. With increased equity, we are seeing more third-party bidders at sales. But that still leaves…
By David Swedelson, Partner, SwedelsonGottlieb, Community Association Attorneys The Nevada Supreme Court recently ruled that a super priority lien held by a Nevada homeowners association can extinguish a first deed of trust on a property. The Court stated: “With limited exceptions, this lien is ‘prior to all – other liens…
By David Swedelson, Partner at SwedelsonGottlieb, Community Association Attorneys I recently read a newspaper article about Justin Bieber and the problems he is allegedly creating for his homeowners association in Calabasas, California. Homeowners are apparently unhappy that he is racing his Ferrari around the association’s streets, and they threatened to…
By SwedelsonGottlieb, Community Association Attorneys At some point, just about every community association will have a delinquent owner who files for bankruptcy. And while a bankruptcy filing is often interpreted as meaning that the debt has become uncollectable, it does not necessarily mean the end of the road for creditors, especially…
By SwedelsonGottlieb, Community Association Attorneys As you likely know, there are different types of bankruptcies that an individual can file. Typically, we see delinquent owners file either a Chapter 13 bankruptcy seeking to readjust their debts, or a Chapter 7 bankruptcy where the owner is seeking to liquidate their assets and…