Hurricane, UT asked in Real Estate Law and Collections for Utah

Q: Remedy for a frivoulous claim that clouds title

HOA FOr a condo put a cloud on title for past due hoa fees that were in dispute and outside of the statute of limitaitons.

THis caused a sale to fail. What remedies can we seek against the HOA owner?

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1 Lawyer Answer
Brian Craig
Brian Craig

A: Quiet title, slander of title, and wrongful lien against real property are potential causes of action in a situation where an improper lien is placed on real property. Injunctive relief and money damages, along with attorney fees, may be recoverable with improper liens.

In slander of title cases, attorney fees may be recovered as special damages if the fees are reasonably necessary to remedy the disparagement of the plaintiff's title. The Utah Supreme Court has held that a claim for slander of title requires proof of four elements: (1) publication of a slanderous statement, (2) the statement must be false, (3) the statement must be made with malice, and (4) the statement must cause special damages to the plaintiff. Neff v. Neff, 2011 UT 6, ¶ 79, 247 P.3d 380, 400–01 (Utah 2011).

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