Property Law

Property Law

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Condominium superpriority lien limited by Appellate Division

by Joe Boynton , posted Fri, Jan 20, 2012 11:39 AM

 In a decision that has caused some alarm among those who represent condominium associations,  a panel of the District Court Appellate Division has ruled that the lien for condominium common charges is limited in its priority over a first mortgage to one six-year  period of accumulated common charges. Many practitioners believed – and many still believe – that a condominium association is authorized by G. L. chapter 183A to claim “rolling” liens for successive six-month periods.  The Appellate Division affirmed the trial court in concluding that the General Court intended to limit the so-called “superpriority” to six months, noting that the legislature could have simply given condominium associations priority over mortgages if it had intended that the tactic of rolling liens could be stretched out to its theoretical limit. Interestingly, the mortgage lender did not participate in the case even though it was directly affected by the claim of the unit owner’s organization for lien priority for eighteen months worth of common charges. The case is Drummer Boy Homes Association, Inc. V. Carolyn P. Britton, 2011 Mass. App. Div. 186. An appeal is expected, so stay tuned.

 

You can read the case by clicking here: http://masscases.com/cases/distapp/2011/2011massappdiv186.html

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