Uniform Planned Community Act — Lien for Assessments

Section 5315.0 - Title 68 - REAL AND PERSONAL PROPERTY 68c5315s § 5315.  Lien for assessments. (a)  General rule.-- The association has a lien on a unit for any assessment levied against that unit or fines imposed against its unit owner from the time the assessment or fine becomes due. The association's lien may be foreclosed in a like manner as a mortgage on real estate. A judicial or other sale of the unit in execution of a common element lien or any other lien shall not affect the lien of a mortgage on the unit, except the mortgage for which the sale is being held, if the mortgage is prior to all other liens upon the same property except those liens identified in 42 Pa.C.S. § 8152(a) (relating to judicial sale as affecting lien of mortgage) and liens for planned community assessments created under this section. Unless the declaration otherwise provides, fees, charges, late charges, fines and interest charged under section 5302(a)(10), (11) and (12) (relating to power of unit owners' association) and reasonable costs and expenses of the association, including legal fees, incurred in connection with collection of any sums due to the association by the unit owner or enforcement of the provisions of the declaration, bylaws, rules or regulations against the unit owner are enforceable as assessments under this section. If an assessment is payable in installments and one or more installments are not paid when due, the entire outstanding balance of the assessment becomes effective as a lien from the due date of the delinquent installment. (b)  Priority of lien.-- (1)  General rule.-- A lien under this section is prior to all other liens and encumbrances on a unit except: (i)  Liens and encumbrances recorded before the recording of the declaration. (ii)  (A)  Mortgages and deeds of trust on the unit securing first mortgage holders and recorded before due date of the assessment if the assessment is not payable in installments or the due date of the unpaid installment if the assessment is payable in installments. (B)  Judgments obtained for obligations secured by any such mortgage or deed of trust under clause (A). (iii)  Liens for real estate taxes and other governmental assessments or charges against the unit. (2)  Limited nondivestiture.-- The association's lien for assessments shall be divested by a judicial sale of the unit: (i)  As to unpaid common expense assessments made under section 5314(b) (relating to assessments for common expenses) that come due during the six months immediately preceding the date of a judicial sale of a unit in an action to enforce collection of a lien against a unit by a judicial sale, only to the extent that the six months' unpaid assessments are paid out of the proceeds of the sale. (ii)  As to unpaid common expense assessments made under section 5314(b) other than the six months' assessment referred to in subparagraph (i), in a full amount of the unpaid assessments, whether or not the proceeds of the judicial sale are …

Showing excerpt. Read full text on official source →