LorettaD (Georgia)
Posts: 3
Posts: 3
Posted:
Can a homeowners association charge back HOA fees for years they didn't file with the Secretary of State (which resulted in administrative dissolution), now that the HOA is in good standing?
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still charging fees?
Started by LorettaD • 7 replies • 1625 views
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SteveM9 (Massachusetts)
Posts: 3,699
Posts: 3,699
Posted:
Yes
TimB4 (Tennessee)
Posts: 21,062
Posts: 21,062
Posted:
Loretta,
Please define an "administrative dissolution" and where such an action is covered by law (if any).
Failure to file some paperwork with the State does not dissolve an HOA. There may be penalties and limitations (depending on what the paperwork was) but it won't stop the corporation from functioning.
Tim
Please define an "administrative dissolution" and where such an action is covered by law (if any).
Failure to file some paperwork with the State does not dissolve an HOA. There may be penalties and limitations (depending on what the paperwork was) but it won't stop the corporation from functioning.
Tim
JohnB26 (South Carolina)
Posts: 1,569
Posts: 1,569
Posted:
failing to file corporate documents with the secretary of state does NOT dissolve the HOA ... only it's corporate status ... with or without incorporation the HO still must pay assessments
LorettaD (Georgia)
Posts: 3
Posts: 3
Posted:
Okay. For the 3 or so years fees weren't paid, there was complete chaos with the Board. There were may 3 or three community meeting held. No one followed up on unkeep of homes, no community events, no newsletter except for election time. There were even allegations of theft which is why alot of folks didn't want to pay their dues.
In any case, now that things seem to be falling back in order, I fear that reporting people to collections and placing liens for back dues especially the years there was "administrative dissolution", will be a huge problem and result in further tearing up the community instead of trying to get people involved.
People seem fine with paying current dues and even really old dues.
In any case, now that things seem to be falling back in order, I fear that reporting people to collections and placing liens for back dues especially the years there was "administrative dissolution", will be a huge problem and result in further tearing up the community instead of trying to get people involved.
People seem fine with paying current dues and even really old dues.
MaryA1 (Arizona)
Posts: 7,043
Posts: 7,043
Posted:
Loretta,
IMO, the HOA has the authority to charge for any back dues that are delinquent, even during the time the assn was administratively dissolved; however, whether or not they choose to do this is up to them. IMO, whatever route they take they should inform the members of their plan. Frankly, IMO, they should just forget about the period during the dissolution since you state the BOD was in chaos. The records may not even be accurate as to who paid and who didn't. It may be best to just pick a date and go forward from there but let the members know what is being done.
IMO, the HOA has the authority to charge for any back dues that are delinquent, even during the time the assn was administratively dissolved; however, whether or not they choose to do this is up to them. IMO, whatever route they take they should inform the members of their plan. Frankly, IMO, they should just forget about the period during the dissolution since you state the BOD was in chaos. The records may not even be accurate as to who paid and who didn't. It may be best to just pick a date and go forward from there but let the members know what is being done.
RogerB (Colorado)
Posts: 5,067
Posts: 5,067
Posted:
Loretta, I think your reference to "administrative dissolution" refers to not paying an annual fee to remain incorporated. Assessments are collectable as allowed by the Declaration of CC&Rs (Covenants); this has nothing to do with whether or not an HOA choses to be incorporated. All assessments are collectable and the Board of Directors would not be doing their fiduciary duty if they did not follow the Covenants. The owners need to be educated to these facts.
RobertR1 (South Carolina)
Posts: 5,164
Posts: 5,164
Posted:
Loretta,
I think Mary's opinion carries some weight, the important thing is to get the train back on the track and move forward. Digging in dirt usually digs up dirt. I also would suggest you go ahead and get your association re-registered with the state. If I recall right, we had much the same and we sent a letter to the state office and explained our situation and we were re-instated (SC),
I think Mary's opinion carries some weight, the important thing is to get the train back on the track and move forward. Digging in dirt usually digs up dirt. I also would suggest you go ahead and get your association re-registered with the state. If I recall right, we had much the same and we sent a letter to the state office and explained our situation and we were re-instated (SC),
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