Legal Question in Real Estate Law in Illinois

I have not paid homeowner association fees for three years. I've received court papers and they are asking the courts to put a lien on my property. What does this mean for me? The work they had been doing on the property has been terrible. Or they do things that don't need done (i.e. replacing mail boxes) without my input. The mortgage is upside down and I have no plans to sell anytime soon. I'm also in a Chapter 13. With a lien on the property, will they pursue other collection activity? Should I go to the court date? Should I resume making payments?


Asked on 7/07/12, 5:00 am

2 Answers from Attorneys

Henry Repay Law Offices of Henry Repay

You should be speaking with your bankruptcy attorney to best evaluate your course.

As a preliminary matter, the association should be prevented from any adverse action unless they obtained relief in your bankruptcy case. The association should have been listed.

Assuming it has overcome that hurdle, concerning the lien, the association can take further action to acquire the unit, but what it likely will do is to evict you and take possession of the unit.

Also, review the papers more carefully. Placing a lien generally does not involve a court proceeding (unless they are first seeking relief from the stay in your bankruptcy).

Note that these are post-petition obligations, so if you eventually receive a bankruptcy discharge, these fees will not be discharged.

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Answered on 7/07/12, 6:44 am
Walter Palmer Law Office of Walter Palmer

You should always go to a court date. In this situation tell your bankruptcy attorney and s/he can take care of it. The Association is probably looking for a quick, easy, quiet, court date and this will change that. If I remember correctly filing bankruptcy before others establish claims on your swelling protects the dwelling.

A lien establishes a legal right to part of the money from the sale of the condo. It prevents transfer of the title until the debt is dealt with. This means that if the condo (or ant other property) is sold or foreclosed they have a claim on some of the money it is sold for, but not until then.

Sadly, the quality of the work, or lack thereof, does not entitle one to withhold payment. People could get the work done, then claim that, regardless of the actual quality of the work, the work was done badly. "Shoddy" is a judgement call or opinion. Your chance for input is at the meetings of the condo association.

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Answered on 7/07/12, 6:59 am


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