Community Associations Blog

This month we are highlighting the process of filing a lawsuit to obtain a judgment against a delinquent homeowner. After a lien is filed, we generally send a lien notification letter to the delinquent homeowner advising him or her that a lien has been filed against the property and; further, if he or she fails to remit payment in full or contact our office to negotiate an agreeable payment arrangement, we will proceed with filing of lawsuit to obtain a judgment against the person, which is in addition to the lien against the property. Lawsuits of this nature are typically filed in the District Court (as long as the principal amount sought is under $30,000.00. If the amount sought is $30,000.00 or over then the lawsuit must be filed in Circuit Court). Further, we file the complaint under affidavit which means the accounting is signed under oath by the custodian of records for the Community, i.e., generally the management company.

Once a lawsuit is filed with the Court against the current or prior owner (hereinafter referred to collectively as "owner"), the owner must be personally served with the summons and complaint. Service can sometimes take time to complete if the owner evades service. After being served, however, we often see an increase in the communication between the delinquent homeowner and our office which allows us to work out payment terms and avoid a costly trial for the Community.

We have been asked on numerous occasions recently to give guidance to our community association clients about disputes that arise with and between their members. Communities throughout Maryland, and across the country, grapple with these questions every day. Resolving disputes within a community association can be one of the most daunting tasks facing members of the Board of Directors or property managers. It can be a confusing process to the lay person and oftentimes is not as cut and dry as we legal practitioners would like. How a Board or property manager handles the first steps toward enforcement of a community's governing documents and dispute resolution can mean the difference between a functioning community and a dysfunctional one, between upholding and protecting the covenants, which in turn protect property values, and selective enforcement and losing the right to enforce. But what, exactly, do you do? 

On May 8, 2018, Brian Fellner, Esq. and Craig Zaller attended the CAI Advocacy Summit in Washington D.C., along with approximately 50 other CAI Members from across the Country. At the Summit, CAI representatives met with various politicians and/or their Legislative Correspondents to address three issues that affect our communities at the federal level. 

COLLECTIONS CORNER

Reminder- Voicemail Office Policy

This month we are highlighting the current Nagle & Zaller policy with respect to leaving voicemail messages for delinquent homeowners. As you may be aware, in 2016 our office formally adopted a policy on leaving messages based on cutting-edge case law emerging from courts around the county at that time. We want to remind you of our policy and the reasons why we implemented it a few years ago. Further, a couple new cases have been decided on this issue since 2016 that have reaffirmed the need to manage how and when we leave voicemail messages for delinquent homeowners.