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  1. #1
    Join Date
    Jul 2007
    Posts
    3

    Default Can HOA Require That a Payment Coupon Be Sent with Payment?

    My question involves business law in the state of: Texas

    I have managed rental properties for almost 20 years. In doing so, I have set up in my property management software numerous recurring payments for HOA fees and mortgage payments. The software will generate the checks which I print and mail monthly, quarterly, bi-annually and annually per the various payment schedules.

    I have NEVER sent payment coupons with these payments, ever. The account information prints automatically on the front of each check in the meo line. It would be cumberson and time consuming to try to match up payment coupon, and for many of the payments, there are no coupons, just an invoice. I have, in almost 20 years, never had any trouble with any of the payments being received and posted correctly.

    Now a new HOA has been misposting my payments (which are sent to some sort of processing center in Phoenix) and most recently sent me a letter saying that my check could not be posted and is being returned.

    Question: Can an HOA mandate the manner in which a payment is sent and mandate that the payment be accompanied by a payment coupon? I suppose I could start remembering to send the coupon for this one account, but I still want to know my rights as a payor.

    Thanks

  2. #2
    Join Date
    Jan 2008
    Location
    Toledo, OH
    Posts
    16,304

    Default Re: Can HOA Required Payment Coupon Be Sent with Payment?

    Can an HOA mandate the manner in which a payment is sent and mandate that the payment be accompanied by a payment coupon?
    Yes, and so can any other organization you need to pay.

    I can't imagine why you would be reluctant to comply, since failing to comply has resulted in much larger inconvenience to you than simply dropping an extra bit of paper into an envelope.

  3. #3
    Join Date
    Jul 2007
    Posts
    3

    Default Re: Can HOA Required Payment Coupon Be Sent with Payment?

    Quote Quoting LawResearcherMissy
    View Post
    Yes, and so can any other organization you need to pay.

    I can't imagine why you would be reluctant to comply, since failing to comply has resulted in much larger inconvenience to you than simply dropping an extra bit of paper into an envelope.
    Hmm, I doubt, for example, that I could require my tenants to send a payment coupon. The JP Court judge would laugh me out of court.

    The reason I am reluctant is because I process a high volume of recurring payments and it would be a hassle trying to keep track of and match up coupons with payments, trying to remember which need a coupon and which don't, which we are even provided coupons for, etc. Not that I can't create a new system to do that, but I only have this one recipient, over 20 years of doing this, saying it's required, so I was wondering if they can do that.

  4. #4
    Join Date
    Mar 2005
    Location
    Michigan
    Posts
    28,789

    Default Re: Can HOA Required Payment Coupon Be Sent with Payment?

    You have a contractual relationship with the HOA, so review your contract and their bylaws.

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