Extracting flesh, from deadbeats!

[Sundance Kid]

I am the HMFWIC of my Homeowners Association. I have one owner, who's a continual, pain in the a--, when it comes to staying current, on their homeowner dues. They either don't pay, for months at a time, or they don't pay at all.

Going to small claims court, is a joke! Hiring an attorney, will cost more than I will be able to obtain and is no guarantee, that the same problem won't resurface, somewhere down the road.

So, I'm wondering, IF any of you have been in a similar situation and how you handled it! Do I cut off services? Increasing late fee charges, don't seem to make a difference, just increases, the amount of wailing and whining, resulting in another instance of non-payment.

I'm basically in this by myself! The other owners agree, that something needs to be done. Which means, I need to take the action!

Something to think of, on a Saturday in July. I'd appreciate any comments!!

 

[Brat]

Start by reviewing your bylaws. If it doesn't adequately address late payment of HOA fees beef it up.  If it is a condo add any emergency repair expenses.

We have late pyment fees, interest (may be effected by state law) and collection expense fees and a set time when the property will be leaned after payment is due.  Yes it does shift current costs to others but everyone will know that eventually the piper will be paid.  Learn the process of filing a lean, get the paperwork all set up, then DO IT!  You don't need to file in small claims court.  What will happen is that the lean will sit there and when the property is sold or re-mortgaged the lean will be paid.

Once the late-payer learns that you are serious they tend to pay, particularly if on your last notice you include an estimate of the additional expenses incurred.

 

[Cut-Throat]

I am the president of our Homeowners Assc. - In our 'documents' it stipulates a late fee and if this is not paid within a certain time frame (I forget), a foreclose on the property starts to kick in.

We have a Management Assoc that does all of this for us. The only problem we ever had was with 1 resident that thought they could 'bluff' us. After they got some foreclosure papers in the mail, the situation was corrected rather speedily. This is the only problem we've ever had in 9 years.

 

[Brat]

Sundance: as you can see it starts with your association by-laws.  If your members get ticked about being stiff-armed, and your state law allows it, add a foreclosure provision.  It is worth investing in the services of a realestate attorney to get it right.  Once you show you are serious I predict the problem will be no more.

 

[Sundance Kid]

I appreciate the helpful comments!!

Our bylaws state, a late fee will be charged, for accounts unpaid, after the 10th of the month! We have recently increased the late fee charge, as the former charge was no deterrent, to paying late.

Right now, I'm looking at a late payment total, of $195.00, for two months, which includes, late payment fees. That's hardly enuf, to get excited about and certainly not worth hiring a legal person. But, I feel that with this owner's past history and their attitude,
means this problem will occur, again and again.

So, I'm inclined, to file a lein on the property! Small Claims, is a JOKE!

But, My understanding is, You can only file on the amount currently owed. Which is
one thing,-- if it's 195.00, or, something else, if it's 10,000.

So, I need some help, on this part!! It's much appreciated!!

 

[cute fuzzy bunny]

Do you charge interest and additional late fees?

If not, do so.

Then hope they dont pay...probably get a good ROR on the deadbeats...

 

[cute fuzzy bunny]

One other thought...is there a reason why they dont pay, other than being deadbeats? Are they complaining about something or unhappy about something and that hasnt been addressed to their satisfaction?

I had a worthless HOA when I owned my mcmansion. Collected my $40 a month but essentially did nothing, resolved nothing, didnt enforce the cc&r's, and handed the money over to various outfits that we received no benefit from. You know, the landscaper who rips the plants out every month and replaces them with new ones, then probably replants the removed ones at other customers? The security car that in seven years I saw twice.

I'd have stopped paying if it werent for the late fees and interest, but it would have been nicer to have fixed the problems and had the HOA do their job and have me a happy paying 'customer'.

 

[Sundance Kid]

It's a young couple, with a 18? month old child. Both adults work full time.
I assume, the "She Person," is spoiled rotten. The DH, just follows her lead and
doesn't have much to say. He does apologize to me for late payments and assures me, "It will be taken care of."

"She Person," expects the bui;ding and grounds, to be restored to original conditions. It's only a 25 year old complex and yes, there are continual issues,
involving maintenance. Her conditions, are no worse than mine, or the other 10 owners. They aren't complaining!!

I've had issues with them regarding their dues, about 6 times in the past year.
I've had one bad check, 4 months consecutive, with no payment, 2 cases of broken promises, another 2 month period of non payment. And now, she's accusing me, of stealing from the HOA!

It wouldn't surprise me, If they never made another payment!! She claims, "They no reserve fund, No savings account and lots of unecpted expenses."

 

[Brat]

Just post the fees and file leans consistent with the assn documents.  The fees will add up.

It is a relatively small sum but she is being a jerk.  If your assn documents don't provide for foreclosure maybe they should.  The assn will get the money ultimately but you need to make her petulance a problem for her and her husband.  The title to the property is probably held in both their names.  Remind the husband that he is just as responsible for making the payments on time as she, that both their names will be on whatever legal action is taken.

Don't concern yourself with her comments (I assume you have receipts for all expenses paid by the assn and board member's insurance) it will get her nowhere.  I have a mouth with an attitude, so what I might say may not fit your style:  I would promise a defamation suit.

 

[Sundance Kid]

Brat: I like your style Thanks!!!

I appreciate all the comments! Think, I'll just file a lien on their property. They, (the She Person,) has already threatened to be gone, in a year. Guess she found
a place, where living is free! That's what she wants.

 

[Brat]

Few expect an attitude from a natural blonde 65+ (they didn't expect it from a 21 year old skinny blond either).  I have faced down some really scary folks, if I can do it so can you!

Be sure to file those leans on time.  She hasn't met her obligations thus far, she may not leave as predicted.