We are having trouble with our HOA the financial statements, when we are looking in the general ledger saw the homeowners paid the late charges but the management company cut the check out to them for the late charges that they received from our homeowners.
Real Estate Attorney
In theory, the late fees initially belong to the HOA. But the HOA could have signed an agreement with the management company to pay the late fee, or some portion of the late fee, to the management company for their services in collecting delinquent assessments. You would need to review the management agreement to confirm whether or not the management company is acting in accord withthe contract with the HOA.
This answer is for general purposes only, and it does not create an attorney-client relationship.