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I transferred title to my son on a condo I owned, Prior to…

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I transferred title to...

I transferred title to my son on a condo I owned, Prior to transfer there were no liens or judgements but I was behind on HOA payments. Now a year and a half the HOA is pursuing him for the HOA payments I didn't pay and attorney fees they incurred pursuing me even though they did not pursue me until after the transfer of title had occurred. i see a statute in Oregon that says the Grantee may be liable for assessments that were owed before the transfer but I need to know if he would be liable for the attorney fees even thug they never contacted him until now.

Lawyer's Assistant: What steps have you taken so far? Have you prepared or filed any paperwork?

No

Lawyer's Assistant: Have you talked to an Oregon lawyer about this?

No

Lawyer's Assistant: Anything else you want the lawyer to know before I connect you?

This all happened today. They are trying to make him pay $8000., $3000. in late HOA fees from when i owned it and the rest attorney fees and late fees incurred after I sold him the unit. He has paid the HOA fees on time every month since he acquired it.

Submitted: 4 months ago.Category: Real Estate Law
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Answered in 27 minutes by:
3/19/2018
Real Estate Lawyer: Loren, Lawyer replied 4 months ago
Loren
Loren, Lawyer
Category: Real Estate Law
Satisfied Customers: 38,805
Experience: 30 years of real estate practice experience.
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Thank you for using JA. I am Loren, a licensed attorney for over 30 yrs., and I am here to help.

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Real Estate Lawyer: Loren, Lawyer replied 4 months ago

I am sorry to hear of your dilemma. I realize how frustrating this is for you and I hope to provide you information which is accurate and useful, even though it may not be the news you were hoping to get. I just ask that you not shoot the messenger.

Yes, the unpaid assessments follow the title to the unit. If the bylaws provide for the collection of attorney fees to be included, as well, then those will owed by the current owner too.

He can try to see if he can negotiate a settlement or borrow the money to satify the debt and release the lien.

I am sorry. I wish I could tell you otherwise, but I do not want you spinning your wheels.

If (and only if) you are completely satisfied that your question is answered professionally and accurately, even if not the answer you were hoping to get, please remember to leave a favorable rating (click 5 stars in the rating section on this page). It is the only way that I am credited by JustAnswer for answering your question.

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Customer reply replied 4 months ago
Thank you, ***** ***** fine. I do hope to hear from you this afternoon if possible because my son is trying to figure out how to handle these people. He is a CPA with excellent credit and we don't want the HOA to be able to damage his credit using this issue.
Real Estate Lawyer: Loren, Lawyer replied 4 months ago

Do you see my answer?

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Real Estate Lawyer: Loren, Lawyer replied 4 months ago

Are you still online with me?

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Customer reply replied 4 months ago
Hi, yes I’m unclear as to why something that didn’t exist prior to the transfer of title would be owed by my son. To be very clear there were no judgments or liens against the property upon the transfer the only thing that was owed were the HO a fees that I was delinquent on. I can understand it does need to be paid and went with the property but had they pursued him and talk to him about the situation instead of immediately pursuing me and with an attorney he would have paid them he did not get that opportunity so why would he be responsible for attorney fees that were accrued because of their pursuit of me after the title was transferred. The statute that I see in Oregon law says that the grantee would be liable for anything old at the time of conveyance but not afterwards
Real Estate Lawyer: Loren, Lawyer replied 4 months ago

The lien of the Association is automatic and the bylaws control what the owner is liable for.

As I said, it follows the title to the unit.

That is why when title insurance is obtained in the transfer of a condo the title company will require a letter from the association stating what is unpaid.

Again, I am sorry to be the bearer of bad news.

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Customer reply replied 4 months ago
I appreciate your time but I’m afraid you’re not really catching what I’m saying there was no lien when the trite title was transferred. Oregon statute ORS 94.712 which refers to Lots but is also applicable applicable to condominiums says that the grantee is liable for unpaid assessments at the time of the grant or conveyance.
Customer reply replied 4 months ago
Not after
Real Estate Lawyer: Loren, Lawyer replied 4 months ago

The lien automatically attaches. It is part of the title before it would show on a title report. That is why you need a paid assessment letter from the Association when you acquire a condo to get title insurance.

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Customer reply replied 4 months ago
I do not have a copy of the bylaws and the HOA has not referenced anything g e veto that one statute. Are you saying that ALL condos in Oregon have a bylaw that allows an innocent buyer to be responsible for attorneys fees acrurd long after he purchased the unit? And even though he was never given an opportunity to pay the fees before lawyers were hired?
Real Estate Lawyer: Loren, Lawyer replied 4 months ago

I am saying that the unpaid assessments and any other fees can be reduced to a lien on the unit even if the owner who did not pay has transferred. Whoever owns the unit when the lien attaches will owe the money.

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Customer reply replied 4 months ago
There is no Lien on the condo
Real Estate Lawyer: Loren, Lawyer replied 4 months ago

I think we are having a communication problem.

I am going to opt out of your question and open this up for other professionals. You do not have to stay online for the question to be active, or rate this question yet as it would then discourage others from answering. Should a professional pick it up, you should be alerted via email and/or SMS (text message) unless you actively disable these features.

There is no need for you to reply at this time as this may "lock" your question back to me, thus inadvertently delaying a response from someone else.

My apologies for any inconvenience and good luck.

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