Results 1 to 10 of 11

Hybrid View

  1. #1

    Default Re: Can HOA Reappropriate Money Intended for Monthly Dues

    Thanks for the reply... but I have to challenge the legality of your management company's policy of what order things are paid for, specifically would that policy hold up in court.

    If it went to court, wouldn't a judge invalidate that policy?

    The reasoning is this: I give money using the memo line to specific what the money is to be used for if they cash it, which is only to go towards monthly dues. If the management company doesnt agree to that, then they have the right to say "we cant abide by your wishes" and send me the money back, and allow me to make monthly payments instead.

    What this mgmt company did was apply my money it to fines, thereby penalizing me for attepting to pay dues in advance, by denying me the privilege of being notified that each fine was not removed (as they led me to believe). So instead of disputing one fine, I now have 4 fines to dispute, some which are too late to dispute since if you pay them then it's like an acknowledgement of guilt and acceptance of the fine.

    It's like paying the city money property taxes in advance whereas the city instead decides to use the money to prepay all speeding tickets I might get before the property taxes are due.

    Or it's like sending a check to my internet company for internet, and finding out they decided to apply the payment to a cable tv promo that I didnt want or sign up for. Generally the person paying has the right to decide where their money is put towards, right?

    So management companies can have all the crazy policies they want, but would that type of policy be upheld in court?

  2. #2
    Join Date
    Jun 2006
    Location
    Massachusetts
    Posts
    24,521

    Default Re: Can HOA Reappropriate Money Intended for Monthly Dues

    Let's just clarify.

    You wrote in the memo box, Monthly dues ONLY? Or you wrote, Monthly dues?

  3. #3

    Default Re: Can HOA Reappropriate Money Intended for Monthly Dues

    I'm pretty sure it said monthly dues ONLY. Is there a difference?

    Previous cases like this...how does the judge rule on them? Any precedents for this situation?

  4. #4
    Join Date
    Sep 2005
    Location
    Behind a Desk
    Posts
    98,846

    Default Re: Can HOA Reappropriate Money Intended for Monthly Dues

    The memo section is where you write notes for your own benefit. It's not a space where you can jot whatever you want and somehow bind the recipient of the check to your unilateral conditions. The recipient of the check must be aware of any conditions in order for them to be binding.
    Quote Quoting Blair v Brownson, E2004-00817-COA-R3-CV (Tenn. Ct. App., Feb. 22, 2005), emphasis added
    The defendants contend that the notation made by Mr. Brownson in the memo section of his earnest money check, in which he wrote the sale was "contingent on getting financial [sic]," was a term of the oral agreement. We find that it was not... [The plaintiff] testified that when he made the notation on the check and handed it to [the defendant], he asked, "Is this okay?" However, there is nothing in the record indicating that he directed her attention to the notation or attempted to discuss it with her. In rendering its judgment from the bench, the trial court found as follows:

    that notation on the check — First of all, it isn't very clear as to what exactly it means. So that's a problem there. The evidence that I've heard, I would find that that was not discussed and agreed by the parties. So there was no discussion and agreement about that, or, at least, no agreement, and very little, if any, discussion at all.

    We find that the evidence does not preponderate against the trial court's finding that this so-called contingency was not a term of the oral contract.

  5. #5

    Default Re: Can HOA Reappropriate Money Intended for Monthly Dues

    Interesting case...ok so I understand this court ruling establishes that the memo field can't be used as a binding agreement of where the money goes. That binding agreement would be in writing in an associated contract.

    But in this case the HOA memo stated that the HOA monthly dues comes to "$XXXX" for the year if paid as a one time lump sum.

    So anybody who pays that exact amount given in response to the memo ("$XXXX") should be assure their money would go to the fees that the memo stated, right? Would anybody pay in advance for bogus violations when they have the right to contest them and have their account balance applied to the hoa fees stated in the memo? Of course not.

    If a customer sends a check to the electric company with the electric bill, then I dont think the electric company has the right to apply that money to anything other than the electric bill in question, regardless of the memo field.

    That said, what would my chances be if this issue went before a judge? I'm sure this has happened a lot... business applying money to purposes other than what the customer intended.

    1. Sponsored Links
       

Similar Threads

  1. Disputing Debts: Fraternity Demands Unpaid Dues
    By kwoody in forum Debts and Collections
    Replies: 3
    Last Post: 11-03-2013, 08:18 PM
  2. Debt Collectors: Unpaid Fraternity Dues
    By MikeOU22 in forum Debts and Collections
    Replies: 2
    Last Post: 12-29-2012, 03:16 PM
  3. Debt Collectors: Can I Be Sued for Unpaid Fraternity Dues
    By letmebe in forum Debts and Collections
    Replies: 4
    Last Post: 07-23-2010, 11:40 AM
  4. Debt Collectors: Unpaid Fraternity Dues
    By dnwilliams in forum Debts and Collections
    Replies: 2
    Last Post: 04-25-2009, 07:24 AM
  5. Debt Collectors: Collection of Unpaid Dues
    By Dirtypants in forum Debts and Collections
    Replies: 9
    Last Post: 02-14-2009, 02:06 PM
 
 
Sponsored Links

Legal Help, Information and Resources