By and large, a board and management company can expect payment from residents for monthly fees to be received on time and in full. These all-important funds keep day-to-day operations moving forward without delay. There are situations, however, that arise which can offset the balance sheet. Circumstances run the gamut but in the end, monies that can’t be collected end up costing a whole lot more than the losses they represent.
The most common excuse given is that the person simply can’t afford to make the payment whether it is true or not. In these cases unit owners will ask for patience, and offer an excuse as to why they are unable to pay, which most recently has been the economy.
It is true that the economy has played a major role in not only late payments but the ability for some people to make their payments at all. This is due, in part, to high jobless rates.
Sometimes though it isn't the economy or a medical emergency that spurs a unit owner into not paying their fees.
According to Pamela Jonah, an attorney with Goodman, Shapiro & Lombardi, LLC, based in Dedham, Massachusetts, every so often a unit owner will withhold the payment of common fee in response to an alleged grievance against the board.