Senate Bill 580
By: Senators Rahman of the 5th, James of the 28th, Anderson of the 43rd, Jones II of the
22nd, Jackson of the 41st and others
A BILL TO BE ENTITLED
AN ACT
To amend Title 44 of the Official Code of Georgia Annotated, relating to property, so as to
increase the minimum amount required for a foreclosure on a lien on a property under the
"Georgia Condominium Act" and the "Georgia Property Owners' Association Act"; to
provide for related matters; to repeal conflicting laws; and for other purposes.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION 1.
Title 44 of the Official Code of Georgia Annotated, relating to property, is amended by
revising subsection (c) of Code Section 44-3-109, relating to liens for assessments and
foreclosures under the "Georgia Condominium Act," as follows:
"(c) Not less than 30 days after notice is sent by certified mail or statutory overnight
delivery, return receipt requested, to the unit owner both at the address of the unit and at
any other address or addresses which the unit owner may have designated to the association
in writing, the lien may be foreclosed by the association by an action, judgment, and
foreclosure in the same manner as other liens for the improvement of real property, subject
to superior liens or encumbrances, but any such court order for judicial foreclosure shall
not affect the rights of holders of superior liens or encumbrances to exercise any rights or
powers afforded to them under their security instruments. The notice provided for in this
subsection shall specify the amount of the assessments then due and payable together with
authorized late charges and the rate of interest accruing thereon. No foreclosure action
against a lien arising out of this subsection shall be permitted unless the amount of the lien
is at least <del>$2,000.00</del> <ins>$20,000.00.</ins> Unless prohibited by the condominium instruments, the
association shall have the power to bid on the unit at any foreclosure sale and to acquire,
hold, lease, encumber, and convey the same. The lien for assessments shall lapse and be
of no further effect, as to assessments or installments thereof, together with late charges
and interest applicable thereto, four years after the assessment or installment first became
due and payable."
SECTION 2.
Said title is further amended by revising subsection (c) of Code Section 44-3-232, relating
to liens for assessments and foreclosures under the "Georgia Property Owners' Association
Act," as follows:
"(c) Not less than 30 days after notice is sent by certified mail or statutory overnight
delivery, return receipt requested, to the lot owner both at the address of the lot and at any
other address or addresses which the lot owner may have designated to the association in
writing, the lien may be foreclosed by the association by an action, judgment, and court
order for foreclosure in the same manner as other liens for the improvement of real
property, subject to superior liens or encumbrances, but any such court order for judicial
foreclosure shall not affect the rights of holders of superior liens or encumbrances to
exercise any rights or powers afforded to them under their security instruments. The notice
provided for in this subsection shall specify the amount of the assessments then due and
payable together with authorized late charges and the rate of interest accruing thereon. No
foreclosure action against a lien arising out of this subsection shall be permitted unless the
amount of the lien is at least <del>$2,000.00</del> <ins>$20,000.00.</ins> Unless prohibited by the instrument,
the association shall have the power to bid on the lot at any foreclosure sale and to acquire,
hold, lease, encumber, and convey the same. The lien for assessments shall lapse and be
of no further effect, as to assessments or installments thereof, together with late charges
and interest applicable thereto, four years after the assessment or installment first became
due and payable."
SECTION 3.
All laws and parts of laws in conflict with this Act are repealed.