We moved out of our condo that was in default and is pending foreclosure by the bank. We paid pour dues as long as we lived there. we moved out and informed the bank and the association that it is now vacant. we haven't paid dues since moving out as we dont live there any more and the bank is taking the property. we received a collection letter for the dues that were billed after we moved. I wrote a letter to the association and the collector that we moved out in April and they want payment for dues after we vacated. we cant pay these dues as we have utilities at our rental house that we live in now. we already filed for bankrupcty while we lived in the condo and continued to pay the dues while in residence. What can we do now that we dont own the condo anymore
You own the condo until the foreclosure. Leaving it does not take you off the Deed. Getting a discharge in bankruptcy and surrendering the condo does not get you off the Deed. This is why the are contacting you. However, they should not be trying to collect.
You filed Bankruptcy to get rid of debt and gain a "Fresh Start" but the creditors won't leave you alone even though you told them you filed! Here is what you should do! 1
Record the Communication
When you file Bankruptcy you are protected by a statute called the "Automatic Stay". Section "362" of the Bankruptcy Code is a 15 page statute that basically says that 1)No entity or person; 2) may commit any overt act (i.e. do anything) to; 3) gain possession or control of...4) property of the estate. All of your property is part of the bankruptcy so if someone violates your rights and communicates with you after you filed the case make sure you write down all of the information you can get from them. Name, real address and mailing address, website, corporate name and phone number and anything else your attorney needs to sue them!2
Check and Make Sure they are Listed!
Next, and before you contact your attorney, check the mailing matrix and especially Schedule F to make sure the creditor is listed! If the creditor is not listed then let your attorney know. The creditor will probably have to be added to the case!3
If the Creditor is Listed
If the creditor is listed write down a summary of the communication. Did the creditor threaten you? What did they say? Did you tell them you had filed Bankruptcy and did you give them the case number? How did all of this make you feel? Once you provide all of this information to your attorney they may have a basis to sue the creditor to enforce your rights! You spent a lot of time, effort, money and emotional capital to finally decide to file Bankruptcy. DO NOT allow abusive collection agencies or creditors take away the relief you felt during or after the case ended. Make a record and determine your rights!
The same facts will support an action under section 524 of the bankruptcy code, the “Discharge Injunction”.
Disclaimer: This answer does not constitute legal advice. I am admitted in the States of New York, New Jersey and Massachusetts only and make no attempt to opine on matters of law that are not relevant to those three States. This advice is based on general principles of law that may or may not relate to your specific situation. Facts and laws change and these possible changes will affect the advice provided here. Consult an attorney in your locale before you act on any of this advice. You should not rely on this advice alone and nothing in these communications creates an attorney client relationship. The opinions expressed herein are those of the author only and the fact that he has worked as an Assistant District Attorney; State Supreme Court Clerk; Special Assistant United States Attorney (Hawaii); Assistant Cornell University Counsel or Judge Advocate, United States Marine Corps should not be relied upon to assume that these statements reflect the policy of these organizations.
As I understand the bankruptcy laws, you were able to discharge overdue condo association fees that were due at the time you filed your bankruptcy (assuming a Ch. 7 and that you received a discharge). However, if you still own the condo, (and regardless of whether you are in possession) you have ongoing liability for condo dues until the foreclosure takes your name off the title. This is similar to being able to discharge a past due utility bill, but after filing you have ongoing liability for utility bills. There is some debate about this as the bankruptcy laws are a bit vague, but you very well may have further liability. See if some bankruptcy lawyers chime in on this for more ideas.
