Waiving of Late Fees by Board Members
The waiving of late fees by board members should be approved only in rare circumstances because it is standard procedure for attorneys who are challenging collection actions by associations to investigate all collection records that would be helpful to prove that the association has violated its own collection policy and / or has participated in an act of discrimination, If an attorney can find such evidence which includes the waiving of late fees for other owners, a court is likely to reverse all of the collection actions commenced by the association and require it to pay all of the attorney's fees incurred by every debtor who has been treated differently. The reasoning is simply that every homeowner is required to be treated equally, If late fees are waived for one, they should be waived for all. If the collection process is even slightly defective, a court is likely to make the association start the process over. The lesson is clear. Late fees should not be waived unless an error has been made, or the association is willing to accept the consequences.
San Diego HOA Management