Skip to main content

Condo fees applied to wrong acct by property mgr & owners account ends up in collection. Is she responsible for attorney fees?

Red Bank, NJ |

Home owner's association used services of an attorney to collect delinquent condo fees from the owner. It is later discovered that fees were paid but applied to the wrong account in error by the property management. Homeowner then ends up overpaying due to collection activities and attorney fees. Once this is discovered does the attorney still have the right to collect a fee from the home owner and keep it once she is informed of the error? Thank you.

+ Read More

Attorney answers 1


Usually, when an HOA hires an attorney to collect on delinquent HOA fees, the cost of hiring the attorney is placed on the homeowner's ledger, and this extra cost becomes part of the total amount that the attorney seeks from the homeowner. However, the attorney can only pursue the homeowner for what the homeowner owes the HOA, which, yes, probably includes attorneys fees. The homeowner would not owe anything directly to the attorney. Therefore, if there is a possibility that you are due a refund or credit of attorneys fees, you would need to pursue that credit from the HOA, not the attorney. And then the HOA can go and hope to get a refund from the attorney for work done based on the HOA's error.



I believe the attorney collected fees directly from me by forcing the bank to pay her first when I was refinancing the property. She was aware of the errors at the time and demanded her fee regardless.