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Old 21st May 2011, 22:03   #1 (permalink)
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Site fee debts

We are a small condominium with an established management structure. This year one owner started to run up site fee debts and ignored written billing demands and warnings. When we eventually caught up with him he said he had just sold the property and it was no longer his problem. We checked the Title deeds and transfer had indeed gone through.
The new owner denies any knowledge of the debts, which is probably true.

My question is, who is legally responsible for those debts, the original owner or the new owner?
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Old 22nd May 2011, 07:02   #2 (permalink)
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Re: Site fee debts

i would think the new owner inherited the debts but ask a lawyer to be sure, then if so and your a legally established management structure there is a straightforward legal proceedure for obtaining debts.
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Old 24th May 2011, 10:34   #3 (permalink)
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Re: Site fee debts

Thanks Stuart. This is not the same as a debt registered against the title deeds and I've had differing legal opinions depending on whether we could prove that the new owner had knowledge of the debt. I was hoping we still had a lawyer contributing to the Legal forum but it seems not.
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Old 3rd June 2011, 14:47   #4 (permalink)
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Re: Site fee debts

Jearden,

Every condominium owner of a complex/block shall be responsible for the debts and the fees of the main building which disbursed during his ownership. In terms of this rule, you can't collect the prior fees from the new owners. You need to start execution process or file an action for debt to the former owner.

Hope this helps.
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