HB 2609 Summary

• Requires associations to pursue civil action for unpaid assessments before foreclosure, and allows garnishment of monies or property as prescribed in Title 12, Chapter 9, Article 4.

• Restricts association foreclosure rights to situations where an owner is delinquent for one year or owes $1,200 or more in assessments, excluding collection fees, attorney fees, and late charges.

• Prohibits associations from designating or converting attorney fees and costs into assessments against property, and requires separate judgment entry before liens can be enforced for fees, charges, and penalties not related to regular assessments.

• Requires associations to accept partial payments from owners without refusal and mandates payment application priority: first to assessments, then late payment charges/interest, then collection fees, then attorney fees, then other fees and penalties.

• Applies the same lien and foreclosure restrictions to both condominium associations (Section 33-1256) and planned community associations (Section 33-1807).