Legal Question in Real Estate Law in Florida

I have a quick question as it relates to mediation resulting in a court order in an HOA in Florida and Florida's Statute 720.

My question is?

If an homeowner goes into mediation with a HOA Board in Florida and come to an settlement agreement regarding how assessments are being charged for their clubhouse for 2012.

After the mediation we all signed an settlement agreement on how to charge assessments for our clubhouse. It went to a Judge and the Judge signed the agreement and it became part of the HOA documents in the form of a Judgement.

Now the HOA Boards says they don't have to follow the court order that we all agreed upon and sign by the Judge.

The reason that the HOA Board give is the Florida Statue HOA's 720 states the following below and we don't have to follow what we agreed on in mediation and the court:

In Florida HOA Statute 720 it says the HOA Board has to prepared a budget for the coming year. It states the following:

"The association shall prepare an annual budget that sets out the annual operating expenses. The budget must reflect the estimated revenues and expenses for that year and the estimated surplus or deficit as of the end of the current year."

We went into mediation ordered by the court from a suit I filed and the HOA Board and I came up with an agreement with the mediator regarding assessments for the clubhouse. The clubhouse is under construction and is being build in three phases. After each phase is completed the assessment would be so much each month for each phase when completed. The Judge signed off on the agreement and it was filed and became part of our documents.

Months later when the board was planning the budget they disregarded the court agreed settlement and make the assessment the full amount even thought the clubhouse is not fully completed. Only phase 1 is completed at this time however they are charging the full amount. This is not what the settlement said to do.

What takes precedent in a situation such as this, The Statute or The Court Order that everyone agreed too.

Thanks,

Stephen


Asked on 1/30/12, 12:49 pm

2 Answers from Attorneys
David Slater David P. Slater, Esq.

The Court order unless it is unclear or ambiguous.

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Answered on 1/30/12, 1:52 pm
Philip Duvalsaint Philip A. Duvalsaint, PLLC

I'd have to agree with Mr. Slater. The court was well aware of Fla. Stat. 720 and probably considered it. You can file a motion (after paying a reopen fee) to enforce the order/settlement agreement. If there is an attorney's fee provision (and there almost always is in these settlement agreements) you can probably get an attorney to take the case on at little or no cost to you.

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Answered on 1/31/12, 11:48 am


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