Collecting HOA/COA Assessments from Tenants

As a Property Manager in the Fort Myers, Florida area, we have had many issues lately in the collecting of owner assessments.  We all know that the majority of these issues are due to the poor economy.  But that doesn't meant that it doesn't hurt your condominium, homeowner, or cooperative association.  Assessment collection is integral to the upkeep of your association and must be collected to keep your home looking and operating the way it is suppose to.

But did you know that the Florida legislation recently added a new weapon in the arsenal of Homeowner and Condominium Associations collecting delinquent accounts? Yes, it’s true; Associations now have the power to collect some of those desperately needed assessments from the Tenants of unit owners who are behind on their HOA/COA fees!

Florida Statute §720.3085(8) & §718.116(11) states, if the parcel is occupied by a tenant and the parcel owner is delinquent in paying any monetary obligation due to the association, the association may demand that the tenant pay the association the future monetary obligations related to the parcel. The demand is continuing in nature, and upon demand, the tenant must continue to pay the monetary obligations until the association releases the tenant or the tenant discontinues tenancy in the parcel. A tenant who acts in good faith in response to a written demand from an association is immune from any claim from the parcel owner.

The purpose of this law is to prevent owners, from neglecting their obligation to the association, while collecting rent from a tenant residing within the association. This law requires the Association to notify the tenant in writing of the demand for the assessment which demand will specifically state that it is an ongoing or continuing obligation and that if the tenant fails to pay the applicable portion of the rent to the Association to pay the assessment then due, the Association has the right, under the new statute, to evict the tenant from the property.

With this new mechanism Associations have another avenue to seek collection. This can be a very positive method of collecting fees from defaulting owners. Tenants do not wish to be evicted from their premises and as long as the Association agrees to protect the tenant from backlash from the owner, most tenants will readily cooperate with the Association in this collection effort.

J Brooks & Associates, Inc. is a full service HOA, Condominium, Cooperative and Master Community Association property management company servicing all of Fort Myers, Naples, Bonita Springs, Cape Coral, and all of Lee, Collier, Charlotte, and Sarasota Counties.

When searching for a professional property management company to manage your Association, consider us,J Brooks & Associates, Inc. We will do more than exceed your expectations.