Annual dues

Snark withheld re. upscale owners not wanting to pay their fair share. Whatever.

I'd recommend the association get its own attorney and not rely on the one the management company uses. In Florida, last year, the legislator changed the condo law to forbid an association from using the same lawyer as the management company uses. This year the legislature rescinded that part of the law. Make of that what you will; I'd never want my HOA to hire the same attorney that our PM used whether or not it was legal. If there's ever a legal dispute with the PM, who's the attorney going to represent, you or the PM? The potential for a conflict of interest is too strong to suit me.

Typically in SC when one signs the Covenants they are granting the HOA the right to lien for failure to pay dues and or fines. Our lawyer (major SC HOA Law firm) advises we cannot foreclose based on unpaid fines but we can foreclose on unpaid dues. He actually said we probably could foreclose on unpaid fines but it would open a Pandora's Box and the courts would not look favorably on it.

We have never liened on fines. We do lien if dues are 180 days late.

Shoot ...114 components of $175 dues ....and, if dues have increased and this goes back years, it could be more?

How many properties?

It's time to put in a collections policy. I am surprised your not allowed to lien for unpaid dues. It's in our CC&R's we can do that. I'd double check about that process. It sometimes takes a lawyer to file and sometimes not. However, I would not consult a Real Estate lawyer to find your answers. Your not dealing with Real Estate. Your dealing with contractual/corporate laws.

Although I frown upon a HOA suing for unpaid dues, it may be the case where your HOA may be required to do so. The difference between a lien and lawsuit is that with a Lien the person can't sell home without paying the debt owed. A lawsuit they can sell the home. If not kept up to date, they may never pay up.

With us, we established a 6 months behind we lien. 1 year behind we CONSIDER foreclosure. (A foreclosure ONLY stops the bleeding). If your HOA, doesn't collect monthly then it may need to set the limit differently. If you owe XXX amount then we lien.

Now it is time to establish that policy and let ALL members know that is how it is. First letter out should say you need to pay or we will take these actions in 30 days. That is when you get more aggressive with certified letters and/or legal notices.