Delinquent Condo Common Fee Statute of Limitations

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C.B. from New Haven County writes:

Dear Mister Condo,

Is there a statute of limitations for collecting outstanding condo fees?

Mister Condo replies:

C.B., common fees should be collected as they come due to the association. The association has by-laws in their declaration that outlines what happens when a unit owner does not pay those fees in a timely fashion. The traditional remedies are late fees, followed by collection fees, and ultimately repossession of the unit through a foreclosure liquidation. That being said, if no action is taken against a delinquent unit owner, it is possible that the association could wind up being shortchanged because a unit owner files for bankruptcy protection and the uncollected common fees in arrears go beyond the 9 months that the state of Connecticut grants as a super lien on the condominium unit. In other words, if 24 months of fees are owed and the unit is foreclosed, the association is only guaranteed 9 months of fees plus reasonable attorney fees at the settlement. The remaining amount is up for grabs and is usually written off as mortgages and other liens against the property are settled. I am not aware of any statute of limitations when it comes to when the association can take action against a delinquent unit owner. The reality is that if the association is paying attention to common fee collection, there is no reason action shouldn’t be taken as soon as possible against a delinquent unit owner. Good luck!

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