Ruling helps condos collect delinquent fees
Condominium associations were handed a significant weapon late last week in the battle to collect rent directly from tenants whose landlords have stopped paying maintenance fees.
In a significant development in condo law and a boon to struggling associations, a Florida appeals court has upheld a ruling allowing a court-appointed representative to collect rents from all tenants living in units subject to foreclosure by associations in so-called blanket or master receiverships.
The ruling, attorneys said, validates more than 20 other such receiverships approved over the past four months by circuit courts in Miami-Dade and Broward counties and clears the way for more condos to use the legal tool to significantly boost collections.
When the condo market crashed, many speculators were caught in units they could not afford and could not sell. Instead, many rented them out. Now, grossly underwater, many have stopped paying their mortgages and their associations fees.