Michigan Statewide Rule
Michigan HOA & Condo Fine Authority
Key Facts
- Condo fine statute
- MCL 559.206
- Due process required
- Notice + hearing before any fine
- Dollar cap
- None: set by the bylaws
- Unpaid fines
- Enforceable via MCL 559.208 lien
- Non-condo HOA
- Fine power from declaration only
Summary
The Michigan Condominium Act lets associations levy fines, but only after due process. Under MCL 559.206 a condo association may impose late charges and, after notice and a hearing, levy fines as authorized by the bylaws. There is no statutory dollar cap. Non-condo HOAs draw fine power from their declaration.
559.206 Default by co-owner; relief. Sec. 106. A default by a co-owner shall entitle the association of co-owners to the following relief: (a) Failure to comply with any of the terms or provisions of the condominium documents, shall be grounds for relief, which may include without limitations, an action to recover sums due for damages, injunctive relief, foreclosure of lien if default in payment of assessment, or any combination thereof. (b) In a proceeding arising because of an alleged default by a co-owner, the association of co-owners or the co-owner, if successful, shall recover the costs of the proceeding and reasonable attorney fees, as determined by the court, to the extent the condominium documents expressly so provide. (c) Such other reasonable remedies the condominium documents may provide including but without limitation the levying of fines against co-owners after notice and hearing thereon and the imposition of late charges for nonpayment of assessments as provided in the condominium bylaws or rules and regulations of the condominium.
Full Breakdown
MCL 559.206 authorizes "the levying of fines against co-owners after notice and hearing thereon and the imposition of late charges for nonpayment of assessments as provided in the condominium bylaws or rules and regulations of the condominium." The statute sets no fixed dollar limit, the amount is governed by what the bylaws authorize, but it conditions any fine on advance notice and a hearing. Available remedies also include an action for damages, injunctive relief, and foreclosure of the lien, and a prevailing party may recover costs and reasonable attorney fees if the documents so provide. Non-condominium HOAs have no general Michigan fining statute, so a planned-community HOA's fine power comes from its recorded declaration and MCL 450.2101 et seq.
Violations & Penalties
Condo fines require advance notice and a hearing under MCL 559.206; there is no statutory dollar cap, only what the bylaws set. Unpaid fines roll into the foreclosable assessment lien under MCL 559.208. Non-condo HOA fine power flows from the declaration.
Frequently Asked Questions
Can a Michigan condo association fine me without a hearing?
Is there a maximum HOA fine in Michigan?
What happens if I don't pay a condo fine in Michigan?
Sources
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