Davis-Stirling: Partial Payments Reducing Assessments Must Be Accepted

  The Court of Appeals affirms, in Huntington Continental Town House Ass. v. Miner, that a homeowners’ association is required by the Davis-Stirling Common Interest Development Act to accept partial payments from an owner of a separate interest when the owner is delinquent in paying assessments. Continue reading

Davis-Stirling: Partial Payments Reducing Assessments Must Be Accepted

  The Orange County Appellate Division concludes in Huntington Continental v. JM Trust that the Davis-Stirling Common Interest Development Act compels a homeowner’s association to accept and apply partial payments that reduce delinquent assessments owed, but not any other amounts due such as late fees, interest, attorney fees, and costs. This is true even if an action has been commenced to foreclose the lien since there is nothing in the Act precluding the acceptance of partial payments of delinquent assessments once litigation has commenced. Continue reading

Davis-Stirling: Foreclosure Notice Requirements are Strictly Construed

  The Sixth Appellate District holds that the pre-foreclosure notice requirements of the Davis-Stirling Common Interest Development Act must be strictly construed to create a valid lien. Only valid liens may be recorded and subsequently foreclosed by the association. The case is Diamond v. Superior Court (Casa Del Valle Homeowners Association). The notice and procedural requirements can be found in Civil Code sections 1367.1 and 1367.4 and are summarized here.  Continue reading

Davis-Stirling: Only Members Have a Right to Attend Meetings

  The Davis-Stirling Common Interest Development Act, found at Civil Code sections 1350 et seq., governs common interest developments. Civil Code section 1363.05(b) provides that “[a]ny member of the association may attend meetings of the board of directors of the association . . . .”  Subdivision (h) of that section provides that “[t]he board of directors of the association shall permit any member of the association to speak at any meeting of the association or the board of directors, except for meetings of the board held in executive session.” Continue reading

Unpaid HOA Assessments: Your Rights Under Davis-Stirling

  Under the Davis-Stirling Common Interest Development Act the amount of any unpaid association assessment, plus the reasonable costs of collection, late charges, and interest, constitutes a debt of the owner. After complying with notice requirements an association may record a lien for delinquent assessments against the property of an owner. The lien may then be enforced through the nonjudicial foreclosure process applicable to powers of sale in mortgages and deeds of trust. Continue reading