One of the primary methods of bringing homeowners into compliance with neighborhood statutes is by fining homeowners for violating the community’s covenants.
Florida Statutes are very clear on how an association can levy fines against a homeowner, which include limits on the number of fines. The statutes also allow for attorney fees to be charged in the collection process.
You could even have a lien placed on your house by the association, creating thousands of dollars of costs to homeowners.
Here is one such case where a homeowner racked up nearly $1,000 in fines – just because he put his yard waste out on the wrong day.
The new law that goes into effect will cost unprepared associations thousands of dollars in assessments if they don’t follow the very specific rules outlined in HB 1203.
The attorneys at The Orlando Law Group represent more than 100 communities in Central Florida. If you live in Orlando, Winter Garden, Altamonte Springs, Kissimmee or anywhere throughout Central Florida, The Orlando Law Group is ready to help you.
What happens today?
Florida Statute 720.305 outlines the laws that apply to associations today.
First, the association can levy a $ 100-a-day fine if a homeowner does not fix the violation, although that fine cannot exceed $1,000 unless the board documents specifically allow for fines over that amount. It can also suspend a homeowner from any community amenities, such as a swimming pool or playground.
If the case is taken to court or collections, the losing party has to pay “reasonable attorney fees and costs” to the winning party.
Furthermore, it is not just the fines or the legal fees. It is also interest on the fines, which there are no statutory caps and is governed by the community documents. Refusal to pay a fine can really start adding up depending on the interest rate.
To fine or suspend a homeowner, the association must provide notice to the homeowner 14 days in advance for a hearing about the violation and the possibility of fines and suspension. Once the committee makes its decision, the homeowner has just five days to pay the fines or it will be delinquent.
There are many more nuances to this procedure, but it has been standard operating procedure for some time.
Provide records timely or the fine is waived
The new law, which takes effect July 1, gives a homeowner with delinquent fines a method to possibly get its fines waived – if the association doesn’t follow statutes.
The first thing a homeowner will do to fight back is to request – in writing – a “detailed accounting” of any amount the homeowner owes the association. The law does not clearly define what a “detailed accounting” should entail, so we believe this means everything that has to do with the fine to be safe.
The danger is that the new law requires those records to be delivered to the homeowner in 15 days. If not, all fines that have been levied against that homeowner that are 30 days past due are waived.
The good news is there are safeguards
One of the common steps homeowners do when they are not satisfied with their association is to file multiple records requests. Many times, this is done simply to see if they can trip up an association into making a mistake.
Thankfully, the legislature saw this as a potential issue and took steps to prevent that from happening here.
The law limits the number of times a homeowner can request the detailed accounting of their fines to once every 90 days.
In addition, the law also says fines can only be waived if they “are more than 30 days past due and for which the association has not given prior written notice of the imposition of the fines.”
That seems to ensure that if the association provides written notices, the issue of fines being waived may not be an issue.
What to do now?
For all associations, procedures to provide a detailed accounting record of any fines must be developed immediately. Hopefully, when a request is submitted on July 1, an association will be prepared to quickly process the request, run a report, and send it to the homeowner.
Also, the association should make every effort to collect the email and physical addresses of all homeowners in the community, especially owners that do not live in the community, like owners of investment properties or Airbnb homes.
This language is not clear on what constitutes written notice. As such, we fully believe legal battles will be had if the association sends written notice to an address that is not used by the owner. The owner could say they were not notified of the fines as they didn’t receive the notice. Of course, the association will say it sent the notice and the fines should remain.
In many cases, it will be up to the judge to decide.
The attorneys at The Orlando Law Group can help association board members and managers in Orlando, Waterford Lakes, Altamonte Springs, Winter Garden, Lake Nona, St. Cloud, Kissimmee, and throughout Central Florida.
If you have questions about anything discussed in this article or other legal matters, give our office a call at 407-512-4394 or fill out our online contact form to schedule a consultation to discuss your case. We have an office conveniently located at 12301 Lake Underhill Rd, Suite 213, Orlando, FL 32828, as well as offices in Seminole, Osceola and West Orange counties to assist you.
The articles on this blog are for informative purposes only and are no substitute for legal advice or an attorney-client relationship. If you are seeking legal advice, please contact our law firm directly.
Last Updated on June 17, 2024 by The Orlando Law Group
