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Ellen
Ellen, Lawyer
Category: Legal
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Experience:  25 years of experience helping people like you.
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The question is regarding a Florida condominium association.

Resolved Question:

The question is regarding a Florida condominium association. I purchased the unit on 12/10/10 the title agent paid off the liens for the building association and got their estoppel letter for the current dues. But did not pay off the past due association dues for the master association which were 5 years in arrears. The master association did not record a lien on the unit. Now the association wants me to pay over $6,500 in past due association fees. I purchased title insurance from Chicago title. What is my responsibility and the association's responsibility per Florida laws chapter 718 and 720?
Submitted: 5 years ago.
Category: Real Estate Law
Expert:  Ellen replied 5 years ago.
Welcome to JustAnswer,

So sorry to hear of this dilemma. I am a Florida attorney.

Please review the title policy that you received from Chicago Title, Look at Schedule B2. Please tell me whether any of the Schedule B2 exceptions were deleted in your policy
Customer: replied 5 years ago.
There is no mention for the master association on schedule B2 and no exceptions were deleted.
Expert:  Ellen replied 5 years ago.

Unfortunately you appear liable for the past Association fees. They are a lien on the condo..

In Florida it is not necessary that a claim of lien be filed in order for the Association to have a lien on the property for Association fees. Had your schedule B2 exception regarding 'taxes or assessments not shown by public record' been deleted, your owners title insurance policy would have provided coverage. You may want to contact the attorney that represented you at the closing and inquire why he did not insist that your B2 exceptions be deleted.


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Customer: replied 5 years ago.
I bought this unit from a bank after it was foreclosed on. I heard there is a limitation as to how much an association cancollect from a new owner. The limitation I think was 1% of the old mortgage or the lesser of 6 or 12 months of assocciation dues. Can you please verfify if I am correct or not?
Expert:  Ellen replied 5 years ago.
The limitation only applies to the lender. If the actual seller was the lender, you may have an action against the lender for failing to clear the title

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Customer: replied 5 years ago.
Your answer does not make any sense. If the lender's liability was limited when they took possesion how can the association dues now be unlimited when I take posesion from the lender? Also there is not a schedule B2 in the title policy. Do I need a commitment letter?
Expert:  Ellen replied 5 years ago.
Sorry for the delay -- I was off-line

Your answer does not make any sense. If the lender's liability was limited when they took possesion how can the association dues now be unlimited when I take posesion from the lender?
This is exactly my point. Foreclosed and then resold the property to you, the lender should have had the lien released prior to conveying title to you.

Also there is not a schedule B2 in the title policy

All policies have the schedule -- look at the inside cover of your policy.

Do I need a commitment letter?
I am not clear what you would need a commitment letter for if you already own the house


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