Payment Plan Meeting in Texas HOA

Question:

URGENT: An owner is requesting an in-person “official hearing” to plead their case. We sent them a certified letter telling them they were behind 3 years in dues and gave them the option of paying it in full or requesting a payment plan. They are not asking for the payment plan to be sent to them, which would divide the amount they owe by equal amounts over a year. They want an in-person meeting, not a meeting by email. We are not sure if we even have to have an “in-person official meeting” with them as it’s not related to fines or liens at this time, we just want them to pay their dues or request a payment plan by a particular date (we gave them 26 days to pay in full or request a payment plan and make the first payment with the signed agreement also within 26 days) or we said we would impose liens, fines, late charges, etc). We did give them the amounts to be paid if they opt for the payment plan in the letter. So our questions are do we need to have an “official meeting” to discuss delinquent dues and if so, does it need to be in person? Thank you! P.S. We thought that ‘official meetings’ only apply to fines and liens.

– Tammy

 

Answer:

Hi Tammy,

Texas law currently does not address this. However, your governing documents might. Check your bylaws and CC&Rs to confirm the proper procedure for offering a payment plan. Your board may agree to meet with the homeowner, usually done in executive session, to discuss the plan. It is still best to consult a lawyer, though.

 

Disclaimer: We are not lawyers. The information provided on this website does not constitute legal advice.

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