Notices Matter: How Property Managers Can Protect Condominium Liens
By: Audrey Loeb
Even where a condominium corporation is legitimately owed money, a lien can be challenged if the owner is not given clear and consistent notice of the debt being secured.
The key issue is not perfection, but fairness. Courts generally expect owners to understand what charges form the basis of a lien. When lien notices, cover letters, statements, or other correspondence contain inconsistent or contradictory information, the corporation's ability to enforce its lien may be at risk.
Common Notice Issues
- Different documents refer to different arrears amounts;
- Communications identify charges that are not included in the lien;
- Later correspondence contradicts earlier notices; and
- Owners are left unclear about what debt is actually being secured.
Best Practices for Property Managers
- Keep All Communications Consistent Ensure notices, demand letters, and account statements describe the same arrears and amounts.
- Clearly Identify the Basis of the Lien Owners should be able to easily determine which charges are being secured.
- Avoid Contradictory Statements Do not state that a charge is excluded from a lien if the corporation may later rely on it.
- Review Documents Before Registration A final review can identify inconsistencies before they become costly disputes.
Conclusion
A condominium lien can be undermined not only by issues with the underlying debt, but also by unclear or inconsistent notice. While perfection is not required, clarity and consistency are essential. Careful review of all lien-related communications is one of the most effective ways for property managers to protect a corporation's security rights.