In California, can a HOA foreclose on a property to collect delinquent assessment fees even though the first delinquent fee was 6 years delinquent and the second delinquent fee was 5 years delinquent, even though CA Code of Civil Procedure 337 provides a 4 year limitation period for breach of contract?
Hi, my name is XXXX XXX Im researching your answer now.
For your reference, here is a link to DavisSterling; a resource for CA HOA laws.
Thank you. Also, if this helps, the debt exceeds $1800 excluding penalties and interests and is more than 1 year delinquent.
HOA dues or assessments would not be considered a contract action. HOAs are a combination of local government and corporate law. Statute address HOA assessments directly. Give me a minute to look at the statutes.
Ok, HOAs do not foreclose. What HOAs do is put a lien against your property. Then, in another proceeding, the lien holder can request the court forced sale.
Is there a lien on your property?
Yes and it is recorded.
How long has the lien been on the property?
Close to two weeks
Have you disputed the debt with the HOA at meetings or any other formal procedure?
What are the past due fees for?
Do you dispute you owe the debt?
No I think I probably owe the principal
The principal constitutes two missed payments 6 and 5 years ago
I see. Your best bet at this point is to contact the HOA and try to work something out. The lien can stay on the property for twenty years. The HOA has that long to ask the court for a forced sale; makes the title unmarketable.
Sure I understand. Can the HOA use a non-judicial foreclosure to collect the debt?
Let me check.
There are two types of foreclosure in CA; a judicial foreclosure and a nonjudicial foreclosure. The judicial foreclosure is rare in CA and would not apply to you since the debt is not in dispute.
Here is a link to a good resourece for understanding the foreclosure process and the different types of judgments available to plaintiffs.
Thanks. I think the HOA complied with 1367.4(c)
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