I am president of our small, 15 home, senior community HOA. One of the homes has been in foreclosure and the lender is getting ready for a Sheriff's Sale. So, our HOA has been named as a defendent in the "Complaint for Deed of Trust Foreclosure in REM". The Defendant's "Interest" column for our HOA is striked out (---- ) indicating that we have no interest in the foreclosure. Four other individuals are also in the list with interest as "Intestate Successors". The HOA is owed arount $320.00 in arrears dues but this is so small that we are willing to skip the collection of this amount. We do not intend to put a lien against any sale. We also do not want to be blindsided by a lawsuit against the HOA. Question 1: Can you site any cases where an HOA was sued to recover mortgage loan losses for one individual home? Ours is a rather typical Protective Covenants and no one is signator to the mortgage loan. The property has lost value since it was purchased in 2010. Question 2: Is it considered "not a good idea" or "bad legal process" for me to contact the Plaintiff lawer and try to understand their intent? My goal would be to work with them.
DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.
The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service.