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Originally Posted by Dolores
On Wednesday I am going to try for our condominium to approve it in an assembly. We want it to apply retroactively. We will tell you if we get away with it. Actually, it is not retroactive because the fee only applies if the case gets sent to a lawyer. We will be sending cases to a lawyer after the measure is approved (we hope).
The idea is to make the life of the manager simple, by instating measures that encourage condominium owners to keep their finances with the building up to date.
In the past the building administration did not want to send cases to legal because it cost between 10-25% of the revenues, but if the delinquent person is billed, then the load is off the building and the incentive is there to proceed legally.
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We are having the same problem in our building. We have interviewed several lawyers who want to charge between 10,000RD and 80,000RD just to start the case. This is to collect a debt of around 100,000RD. And if the delinquent owners don't pay, the lawyer fees would continue to add up to continue the case. Not one of the lawyers mentioned that the legal fees could be collected from the delinquent owners. For this reason the owners are hesitant to start legal proceedings.
If you don't mind, let us know how the meeting goes.