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Does HOA have obligation to notify owners of monthly fee rates?

  
  
  
  
  

I purchased an apartment/condo conversion. I have never lived there, but my home mailing address is on record. I have always paid my monthly fees promptly (on-line)....I have never been advised of any increase in my assessment. Now they are threatening to place a lien against the property for "late" fees. Do they not have an obligation to notify me of changes in the monthly fees?

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Your bylaws, covenants and state/laws statutes dicatate how and when homeowners are notified of any changes in dues or assessments. There will be some stipulation as to how much notice (30, 60 days, etc) ahead of the change the notice is sent out. Being an absentee owner, communications can get crossed, but you need to make sure the assoc has your current address. If they send notices out to the address they have and you don't receive it, that is not their problem. Talk to the treasurer or whomever first and see if you can get it straightened out before you line up lawyers...unless the board is derelict, there is usually a reasonable solution.
Posted @ Wednesday, July 06, 2011 7:26 AM by MLD
Thank you MLD....I have purused my (voluminous) condo documents & so far, haven't found the specifics on time frames for notices. However, the management company that handles these fees has been unable (or unwilling) to provide me with proof that any notices were ever sent). I have proof of all payments, and I don't think they are contesting that---the issue is the amount (what I paid vs. whatever the rate was at the time)+ late fees for the months my payments were "short."
Posted @ Wednesday, July 06, 2011 8:21 AM by Frances
Ok. The burden of proof lies with them at this point, it would seem. Check your state statutues for Condo Associations and see if a timeline is indicated there. They need to produce the notice before they take action, and I think a lien for late fees is a little harsh if you've not been late before. If the late fee is tied to an increase in dues not beng paid, certainly the mgmt company must prove you were notified. My two cents. Good luck w this.
Posted @ Wednesday, July 06, 2011 8:30 AM by MLD
Usually the maintenance fees would be outlined in the annual budget. Included in the annual budget there is a "schedule of reserves" which includes a break down of fees per unit type. No other notice would be required; however we usually post the adopted budget with a notice upon the property / sent by email to all residents that the budget was adopted and list the fees. In Florida, any budget notice or amended budget notice requires 14 days notice. In order to save the Association's money and time, we send out monthly statements via email to all owners who have email addresses. Each statement shows a monthly invoice for fees with the due date. Any special assessments would also be reflected on the statements under separate invoices as well. We tried sending out monthly invoices and statements, but then people were confused and thought they were being over billed, and it utilized more time than it was worth, so we cut back to just statements.  
 
In my experience, no amount of notice, mail, posts, emails, broadcasts, etc, will stop owners from claiming they were not notified.  
 
If you send the notice in the mail, it was lost. If you sent it by email (even if you have a delivery and read receipt), I never got it. If you post it upon the property, oh, I never read that or I don't pay attention to that. If you post a notice on their door, oh, someone must have taken it. If you send it certified, they never pick it up. 
 
When placing a lien, it doesn't matter if you were notified the fees were changed or not because you were given lawful notice to pay before the lien was placed.  
 
In short, pay up and pay up quick.
Posted @ Wednesday, July 06, 2011 10:12 AM by Joyce Nord @ bestcondomanager.com
I completely agree with Joyce. It"s someone else's fault that I didn't pay my assessment. Certainly not mine. 
The excuses she gives are classic. We are going through one now where the owner came to a board meeting to ask for a payment plan. The procedure was explained. She never followed through. Now a lien is on her property and it's the board's fault. "They didn't respond to me." Pay your dues on time every time If you are in doubt, call the manager.  
I'm sure you were notified before the lien was placed. But I am also sure it is someone else's fault.
Posted @ Wednesday, July 06, 2011 11:56 AM by Jim
Oh, sorry, forgot one..... "I didn't know who to make the check out to or where to send the payment"  
 
I have heard this from an owner that owned their apartment for over 12 years, lived on the property, paid into the same box upon the property during this time (but apparently not on time) but when management companies changed (and we posted notice of the change and to continue to pay maintenance to the condo box, placed notice upon the doors, sent emails, faxes, mail, etc.). 
 
I have also gotten owners who refuse to provide their direct contact information in other countries, forcing us to go through a 3rd party rep, only for those people to try and use that as a buffer and claim they were never aware. 
 
Being able to collect from renters has been very successful in allowing recovery and getting monies owed more rapidly. 
 
Posted @ Wednesday, July 06, 2011 12:48 PM by Joyce Nord @ bestcondomanager.com
And one of the reasons I say being able to collect from the renters has helped is for those instances where the landlord will not provide updated information and hides behind the renter or 3rd parties. Once you notify the renter they need to pay the Association rather than the owner, it usually gets the owner's attention.
Posted @ Wednesday, July 06, 2011 2:22 PM by Joyce Nord @ bestcondomanager.com
Ah, let me guess...you live offsite, have given the association your mailing address, and closed your mind to any further involvement than auto paying your dues each month. Here is an idea...you keep in contact with the association by e-mail, meeting involvement, volunteering on special projects to save the association money, working with the board to iron out these type of problems, calling the property manager once in awhile to make sure your balance due is current, or reading the monthly minutes for changes. If I sound irritated it is because every offsite homeowner of our 130 unit complex has given our board the same problem. It is never your fault and comes as a complete surprise. If you volunteer for board duty you will see what I mean.
Posted @ Wednesday, July 06, 2011 3:12 PM by Renee
Frances - I think they fired a warning shot right through your head. Jim, Joyce and Renee's points are valid and reflect their experience, but I think you just wanted to know about notifications. I don't think you would write to a public forum if you planned on not paying your dues because you didn't know. When you said you paid online, did it not show what amount was due? That is my only question. Should have shown the new amount owed.
Posted @ Wednesday, July 06, 2011 10:02 PM by MLD
Perhaps she is referring to her banks' online bill pay where she enters the amount due (and is usually free) as opposed to an association's website or online bill pay system, where it shows amounts, reflects balances, and charges a convenience fee.
Posted @ Wednesday, July 06, 2011 10:14 PM by Joyce Nord @ thecondocommando.com
And, I do believe my post informed her of the required notifications -- which is what she asked about.  
 
The rest of it merely enforced the fact that management companies and boards can only do so much to force feed an owner information when they are not looking.
Posted @ Wednesday, July 06, 2011 10:23 PM by Joyce Nord @ thecondocommando.com
Oh, sorry, just thought of another one.  
 
Oh, yeah, I did receive that, but I am offended because you didn't call me and tell me. 
 
So you need a personal invitation now to pay your association fees when under the law your responsibilities to pay are absolute? 
 
Um....ok, please place that in writing and I will forward it to the board for their consideration. 
 
Have a nice day.
Posted @ Wednesday, July 06, 2011 10:26 PM by Joyce @bestcondomanager.com
I have served on association boards for 17 of the last 21 years. It would seem that if assessments were raised and an owner continued to pay the previous amount 'on time' every month, that there was a communication problem. The courtesy of a phone call would be nice. I know, I know, everyone is just too busy to do this; there are sooooo many people who would have to be called... Frankly, these are dumb excuses for not being neighborly.  
 
To the author: call first. See if you can negotiate payment of the past due amount with a courtesy forfeit or reduction in the late fees. Be nice about it because the information on raised assessments should be in the yearly budget report and everyone should read them thoroughly. It's worth a try. 
Posted @ Thursday, July 07, 2011 7:33 AM by c
The manager is not a collection agent. Most likely the call would not be returned, or never acknowledged. It is not the manager's or Board's responsibility to personally invite owners to pay their dues, their responsibility to pay is absolute, which is why the law only requires what it does. 
 
IMO, if a manager personally calls an owner and says, oh, you need to pay, it also prompts resentment and problems for the manager and board. Everything stated should be in writing so there are no misunderstandings. 
 
As far as being neighborly, how neighborly is a neighbor if they didn't notice for almost a year that their maintenance had increased? Shouldn't the neighbor have cared enough to read the budget, stay involved and pay any increases?
Posted @ Monday, July 11, 2011 4:04 PM by Joyce Nord @ thecondocommando.com
Joyce, get a hobby. If a person is paying monthly association fees of say $500 month for a period of time and the rate was raised to $520 a month, it is highly doubtful that the person was intentionally shorting the $20. Regardless of fault, they should ask the person to make up the shortage and credit any late fees. The focus can then be on people that are refusing or unable to pay fees AT ALL. That is the "NEIGHBORLY" thing to do. After 17 years in HOAs, you need a vacation. You have become jaded. Keep in mind, I have no dog in this fight...I stumbled upon this post looking for something else. Have a lovely day.
Posted @ Tuesday, July 19, 2011 10:29 AM by Jason
While you may not like the answer, it is the truth. I am not hte only one who has stated as much. 
 
The HOA / Condo Association has no obligation to track down and personally invite this person to pay the additional amounts. If they follow the proper legal procedure, they CAN charge for late fees, interest and attorneys fees incurred. Regardless of whether they paid the previous amount on time because usually under the laws (at least in Florida), monies received is applied first towards late fees, interest, then past due amounts, then current amounts, so technically they have not been "on time". 
 
As a manager / board it is their duty to collect all fees due without bias or favoritism. However, if their board wishes to cut this person a break, they can, but it did not sound like that was the case. 
 
Posted @ Tuesday, July 19, 2011 10:39 AM by Joyce Nord @ thecondocommando.com
Lighten up. We are not in court. This person should contact the HOA president directly and circumvent the management company. Any sane HOA will put this matter to bed in a heart beat....just as I am about to right now. Jason for HOA Czar of Florida!!!!
Posted @ Tuesday, July 19, 2011 10:52 AM by jason
What do you think of a manager who claims that a payment was late because that is the date she posted the entry? I made an online payment that was delivered on a non scheduled work day and now I have had to hire a lawyer to prevent lien foreclosure. This manager claims that the "late fee" resulted in non payment of the assessment fee. The lawyers are trying to turn a $25 late fee into a $2500 charge. Remember we are talking about a two day difference. The bank verified delivery on the due date, but this has not made a difference. The board is stacked, can't go to them.
Posted @ Thursday, November 17, 2011 9:12 PM by Mesha Goodwin
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