During the recent OBA webcast on Oklahoma homeowner association law, I was asked the following questions:
Q - A governing document says that interest may be charged for delinquent assessments, but does not specify an amount. What amount can be charged.
A - If the governing document is silent on an interest rate but does state that one may be charged on delinquent assessments, the default interest rate for written contracts is 6%. 15 OS 266
Q - Can attorney's fees be tacked on the amount claimed owed for late assessments in a demand letter before litigation or added to a lien when there is no litigation and attorneys fees are not provided for in the governing document?
A - If the declaration is silent on the issue of the HOA collecting attorneys fees as costs of collection, and no other governing document cites the ability of the HOA to collect these expenses, it is unlikely the HOA may properly collect these costs without them being liquidated by a court.
Matthew L. Winton, Oklahoma homeowner association law attorney
