Bankruptcy Law Questions? Ask a Bankruptcy Lawyer.
In Florida, I have $2000 of past due HOA legal fees on a rental propery. If I file Chapter 13 bankruptcy, will the automatic stay stop additional fees being added to these fees.
Response 1: Yes. See 11 U.S.C. Section 362(a):
Am I correct that the proposed repayment plan would then allow for repayment of this past due bill? I understand that I will be responsible for HOA fees post petition.
Response 2: Yes, that is correct.
Does anything change if the HOA filed a motion for a lein or has demanded rent payment from my tenants? Response 3: No. Of course, once the bankruptcy case is filed, the Automatic Stay would operate to stop any HOA action against you, your property, or demand to your Tenants.