This month in Collections Corner, we will return to an issue we first addressed in our December 2017 Newsletter - reporting delinquent homeowners Community Association debt to the credit bureaus (enclosed). To briefly recap the contents of that letter, our office became aware of a company advertising services to report delinquent homeowners on behalf of a community association. Our office conducted research and identified a few issues that lead us to recommend not reporting delinquent homeowners. For example, federal laws for credit reporting impose investigation obligations on the creditor who provides the information, opening new avenues for delinquent homeowners to sue a community association. Additionally, we are not swayed that reporting delinquent homeowners actually increases the efficiency of collections.
Over the years, many clients have asked our office to provide guidance concerning homeowners' requests for reasonable modifications and/or accommodations under the Federal Fair Housing Amendments Act of 1988 (the "FHAA"). And, more recently, as you may have seen in the news, there is a significant increase in the use of emotional support animals ("ESAs") to assist people with managing their disabilities which has left many of our clients wondering how to comply with the law while still enforcing pet policies and other related covenants and rules.