Our long-time client, a condominium association in Milwaukee that historically faced heavy delinquency issues, was unable to fund its expenses due to very heavy delinquency rates. Among the expenses the association could not fund were its legal expenses. The association owed more than $30,000 in legal fees and costs, but had twice that in collections. The association was unable to make regular payments on their expenses due to a lack of cash flow. The Husch Blackwell Condominium & HOA Law Team agreed to take on all delinquent unit owner accounts for the association on an alternative fee basis. With HB’s aggressive collection approach, the association not only collected enough to cover all past and current legal expenses, but was also able to start funding other projects within six months.

Lesson: Do not leave money on the table. By not following a collection policy, the association sets a bad example and delinquencies can snowball out of control. Have a collection policy, follow it and hire legal counsel knowledgeable in collections.

A collection attorney who specializes in condominium law can best pursue all the remedies allowed the association under the governing documents and state law.