As you know, Condominium and Community Associations are not-for-profit corporations, which are funded (nearly entirely) by the collection of assessments from its members. However, we are now faced with a crisis which is affecting every sector of the economy, rendering owners not necessarily unwilling, but unable to pay their share. This creates a difficult situation for Associations who still have ongoing obligations to their owners and must collect assessments to fund those projects. During the Covid-19 crisis, we are here to help Boards find the delicate balance that will keep the Association running, while taking into account the obstacles unit owners are facing.
As we try to navigate the ever-changing landscape of shelter-in-place and court closures, we feel it is necessary to reiterate to our Boards that while the court process may be stalled due to closures, it has not stopped. The Association's obligation to collect assessments continues, as Boards cannot forego assessments under Illinois law. Additionally, the Association still has to meet its financial obligations and if it ceases collecting assessments, it may not be able to do so in the long-term.
However, we also understand the struggle for unit owners and, again, it is about balance between the interests of both sides. There are steps Boards can take, such as sending a collection notice rather than a statutory demand notice as an initial letter; offering extended payment plans; or temporarily waiving late fees, which can assist those owners who are impacted by Covid-19.
Some common questions we've heard recently from Boards include: Do we continue to collect assessments at the same rate as before or do we offer a reduction? Do we still charge late fees? Should we offer extended payment plans to all owners or on a case-by-case basis? We are here to help you answer these questions and more. Contact us today at email@example.com or (630) 326-4930 with any questions you may have and together we can work towards a solution.