Lobeck & Hanson assists our Association clients in the collection of assessments for common expenses. After the Association or its management has made its attempt to collect a past due assessment (often with the warning letter that if payment is not received by a deadline, the matter will be turned over to the attorneys and that then additional fees and costs will be due) the matter is referred to this firm.

We then prepare and send to the client a Claim of Lien and at the same time send a letter to the unit owner, advising that the lien is being filed and that a foreclosure action will be commenced if full payment is not received within 30 days. That full payment is calculated in the letter and includes interest, costs, attorneys fees and any authorized late fee. If the owner does not pay within 30 days, we would then seek authorization from the Association for the foreclosure action. Typically, the owner will pay upon being served with the foreclosure action, if not before.

It is important that an Association be diligent in collecting delinquent assessments. Otherwise, delinquent assessments can pile up on a unit and be lost through a mortgage foreclosure or bankruptcy. In assessment collections, our goal is always to recover all costs and attorneys fees incurred by the Association, as well as the assessments, interests and late fees, using the clear entitlement to such collection under the state law and most governing documents.