Jun 21, 2009 1:26 pm US/Eastern
Condo Associations Fight Back Against Deadbeats
MIAMI (CBS4) ―
Condo associations have come up with a variety of schemes to fight back against unit owners who have stopped paying their monthly association fees.
At least associations in two condos, The Collins on Miami Beach and Island Place in North Bay Village, are using shame as a weapon by posting the names of the owners who are behind in their fees on a list displayed in a common area.
At another condo in North Miami Beach one of the board members started having cars belonging to owners who hadn't paid their fees towed if they were found parked in guest spots or other unauthorized spaces.
In Hialeah, the association of another condo, where 44 or the 96 units are in foreclosure, closed the pool.
Not only is the situation frustrating for associations, but also for the owners who pay their fees on time and then must make up the difference for owners who have stopped paying.
"The frustration people have, it leads to terrible animosity," said Bill Raphan, the state's assistant condo ombudsman.
In some cases the owners who have been paying their fees on time can't afford the increase created by those who have stopped paying. When this happens the association doesn't receive the money it needs to maintain utlities and other services. As a result in some condos trash has piled up, and water and lights have been shut off.
At the 310-unit Mirassou Condos in Miami-Dade County, roughly a third of the units are bank-owned or in foreclosure. Earlier this year, county officials shut off water to the entire building because the condo's association bounced a check and failed to pay a $109,000 past due bill.
After the county turned off the water, residents allegedly tampered with the meter to keep it running illegally. Eventually the association and the county worked out a payment plan and the water was turned on again.
(© 2009 CBS Broadcasting Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)
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