57-8a-301. Lien in favor of association for assessments and costs of collection

(1) (a) Except as provided in Section 57-8a-105 an association has a lien on a lot for:
            (i) an assessment;
            (ii) except as provided in the declaration, fees, charges, and costs associated with collecting an unpaid assessment, including:
                  (A) court costs and reasonable attorney fees;
                  (B) late charges;
                  (C) interest; and
                  (D) any other amount that the association is entitled to recover under the declaration, this chapter, or an administrative or judicial decision; and
            (iii) a fine that the association imposes against a lot owner in accordance with Section 57-8a-208, if:
                  (A) the time for appealfn1 described in Subsection 57-8a-208(5) has expired and the lot owner did not file an appeal; or
                  (B) the lot owner timely filed an appeal under Subsection 57-8a-208(5) and the district court issued a final order upholding a fine imposed under Subsection 57-8a-208(1).
     (b) The recording of a declaration constitutes record notice and perfection of a lien described in Subsection (1)(a).

(2) If an assessment is payable in installments, a lien described in Subsection (1)(a)(i) is for the full amount of the assessment from the time the first installment is due, unless the association otherwise provides in a notice of assessment.

(3) An unpaid assessment or fine accrues interest at the rate provided:
      (a) in Subsection 15-1-1(2); or
      (b) in the declaration, if the declaration provides for a different interest rate.

(4) A lien under this section has priority over each other lien and encumbrance on a lot except:
      (a) a lien or encumbrance recorded before the declaration is recorded;
      (b) a first or second security interest on the lot secured by a mortgage or trust deed that is recorded before a recorded notice of lien by or on behalf of the association; or
      (c) a lien for real estate taxes or other governmental assessments or charges against the lot.

(5) A lien under this section is not subject to Title 78B, Chapter 5, Part 5, Utah Exemptions Act, Part 5, Utah Exemptions Act.

(6) Unless the declaration provides otherwise, if two or more associations have liens for assessments on the same lot, the liens have equal priority, regardless of when the liens are created.


Enacted 2011, ch. 355.  Amended 2013, ch. 95 eff. May 14, 2013; 2014, ch. 116, eff. May 13, 2014.


 

FN 1.  The Time for Appeal of Fines.

  • The "time for appeal" if the owner does not timely request a hearing is 180 days after the day on which the time to request an informal hearing expires, which is 30 days after the day the owner receives notice that the fine is assessed.  Thus, because written notice by an association to its members is effective when mailed if addressed to the member's address shown in its current records, the time for appeal is 210 days after the day that the association mails notice to the owner that the fine is assessed.  (See footnote 1 to Section 57-8-37 and 57-8a-208).
  • The "time for appeal" if the owner does timely request a hearing is 180 days after the day the owner receives a final decision from the management committee.  Thus, the time for appeal is 180 days after the day the management committee mails notice to the owner of its final decision (or 180 days after the hearing if the management committee gave the owner its final decision at the hearing). 

See Section 57-8-37(5) for condos and 57-8a-208(5) for community associations (noncondo HOAs).

CounselOurHOA.com
HOA resources and laws annotated
CounselOurHOA.com
HOA resources and laws annotated