Legal Question in Real Estate Law in Florida
Dear Sirs
I have a question about what takes precedence...
Over several years a previous owner (PO) of property amasses several thousands in association assessments...
The Home Owners Association (HOA) filed several liens over three years with the last lien on property dated Mar 2010 against (PO) for 10k
The current owner (CO) who foreclosed on (PO) received their judgment Jun 2010 and is subsequently issued a deed Jul 2010.
The (HOA) files a lien against (CO) Nov 2010 for the same 10k although 8 months have pass since the last lien.
The (CO) was plaintiff in a appeal of the original foreclosure judgment and defendants were (PO) and (HOA). The case was heard Jun 2011 and a judgment was in favor of plaintiff for relief of all unpaid assessment prior to their ownership up to Jun 2010, but allowed assessment, fine, fee, and interest in the amount of 5k from Jul 2010 to Apr 2011. The court specifically stated the (HOA) is estopped from collecting unpaid assessment from the previous owner against plaintiff's proposed buyer.
I am trying to buy this property and the (CO) and title company is tell me the lien of Nov 2010 is still current and the title/deed is not free and clear of encumbrances. I told them the appeal dated Jun 2011 addressed this and I said the title is UN-encumbered and can be sold to me.
My question is this...is the lien dated Nov 2010 nullified by the Jun 2011 appeals decision?
3 Answers from Attorneys
Without reading the decision, I would say not necessarily. The wording may have only relieved the prior owner, not the property.
Not sure what the appellate court said but here is the Statute that governs assessment liens: 718.116 Assessments; liability; lien and priority; interest; collection.�
(1)(a) A unit owner, regardless of how his or her title has been acquired, including by purchase at a foreclosure sale or by deed in lieu of foreclosure, is liable for all assessments which come due while he or she is the unit owner. Additionally, a unit owner is jointly and severally liable with the previous owner for all unpaid assessments that came due up to the time of transfer of title. This liability is without prejudice to any right the owner may have to recover from the previous owner the amounts paid by the owner.
The order says that "the HOA is estopped from collecting unpaid assessment from the previous owner against plaintiff's proposed buyer" however, what does it say about the lien? Is it still enforceable against subsequent purchasers? The original owner. You should really consult with an attorney as soon as possible.
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