HOA did not put lien against the Homeowner for non-payment of dues; Homeowner said she was advised by her attorney not to pay them because the home was "under contract". But the bank has foreclosed on the property (no word about any buyer). Can the HOA still put a lien on the property. against the bank, and now send dues payment notices to the bank?
No. If the foreclosure sale has occurred and title has passed to the lender, that extinguishes the pre-existing obligation BUT F.S. 720.3085 (2)(c) provides that the lender is obligated to pay the association 12 months past due assessments or 1% of the mortgage amount, whichever is less, after taking title:
"(c) Notwithstanding anything to the contrary contained in this section, the liability of a first mortgagee, or its successor or assignee as a subsequent holder of the first mortgage who acquires title to a parcel by foreclosure or by deed in lieu of foreclosure for the unpaid assessments that became due before the mortgagee's acquisition of title, shall be the lesser of:
1. The parcel's unpaid common expenses and regular periodic or special assessments that accrued or came due during the 12 months immediately preceding the acquisition of title and for which payment in full has not been received by the association; or
2. One percent of the original mortgage debt.
The limitations on first mortgagee liability provided by this paragraph apply only if the first mortgagee filed suit against the parcel owner and initially joined the association as a defendant in the mortgagee foreclosure action. Joinder of the association is not required if, on the date the complaint is filed, the association was dissolved or did not maintain an office or agent for service of process at a location that was known to or reasonably discoverable by the mortgagee."