January 5, 2017

Washington Court of Appeals Issues Redemption Act Opinion

The Washington Court of Appeals recently issued a published opinion regarding the application of the Washington Redemption Act (RCW 6.23).  The Court's opinion holds that "a condominium owner occupying the condominium as a residence at the time of a judicial foreclosure of a condominium lien has the right to possession during the redemption period, with no obligation to pay for the value of the occupation."  The Court's opinion also notes that "nonjudicial foreclosure of the assessment lien is not subject to the right of possession."

Foreclosing a lien for unpaid condominium assessments is always a difficult decision.  My office is available to help your association evaluate and pursue its collection remedies in that situation.

January 2, 2017

Washington Court of Appeals Rules in Favor of Association in Collection Dispute

The Washington Court of Appeals ruled in favor of a Camas homeowners association’s actions concerning board membership and delinquent assessments in a recent unpublished opinion.  The Court's opinion begins by stating that “[w]e afford great deference to an organization’s interpretation of its Bylaws, and will only invalidate an interpretation if it is arbitrary and unreasonable …. [H]omeowners associations must be given room to interpret and apply their own governing documents.”  The opinion points out that the association unsuccessfully attempted to elect board members every year and that in the absence of a quorum the association was permitted to allow an appointed board member to serve out the unexpired portion of a term until a quorum could be reached and a proper annual election could be held. The Court's opinion concludes that the association’s board is properly constituted and that the association has the power to collect assessments and record liens.