Georgetown, TX asked in Foreclosure for Texas

Q: Does an HOA violation survive a foreclosure under Texas law if no lien was filed

There was no fine issued.

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1 Lawyer Answer
John Michael Frick
John Michael Frick
Answered
  • Frisco, TX
  • Licensed in Texas

A: It depends on the language of the applicable Declarations, deed restrictions, and HOA rules. A lien impresses an obligation, such as a fine, on the property itself and gives a new Buyer notice of that obligation. But that obligation exists notwithstanding the recording of a lien. A fine imposed for a violation pre-foreclosure remains a legal obligation of the owner of the property before the foreclosure, but does not transfer to the new owner after the foreclosure because the new owner was not responsible for the violation. So the old owner could be sued by the HOA for the fine, but the new owner could not.

But, if the violation continued after the foreclosure, the HOA could impose a new fine against the new owner for the continuation of the violation. The old owner could still be sued by the HOA for the fine imposed pre-foreclosure, while the new owner could be sued by the HOA for the new fine assessed post-foreclosure for the same continuing violation.

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