CHARGE $300 FOR ESTOPPEL LETTER? ANOTHER SCAM!

An Opinion By Jan Bergemann
President, Cyber Citizens For Justice, Inc.

Published January 2, 2024

As soon as Senator Jonathan Martin filed SB 278 (Estoppel Certificates) the community association management industry screamed bloody murder. They are afraid that they may no longer get $300 for a job they are already getting paid for.

Especially lobbyist Mark Anderson, the executive director of Chief Executive Officers of Management Companies (CEOMC), vehemently opposed this bill in interviews to the media. This group, falsely claiming that they are representing associations, has the most to lose if this bill would be enacted. So far they are getting paid $300 for a job they are already getting paid for.

Anybody who takes longer than 10 minutes -- on already paid time – to finish an ESTOPPEL LETTER must have already violated FS 718.111(12)11.b.(Condominiums) or FS 720.303(4)(j)2. (Homeowners’ Associations).

Statutes already require each association to have a current accounting for each unit/home with the actual balance due ready at any time. All what’s left to do is adding the name and address and the balance due into a form letter waiting in the computer.

Charging $300 for a work they have already being paid for is just another scam to fleece homeowners and condo-owners.

Mark Anderson is claiming that the other owners will have to pay for the estoppel letter if the seller isn’t charged for it any longer. As usual, Mark Anderson is wrong! These “other owners” are already paying the CAM (accountant) for the job needed to prepare an ESTOPPEL LETTER.

He obviously hopes that legislators, most of them unfamiliar with community association politics, will be scared by his statements, not wanting to burden owners with more cost -- and will kill the bill.

Millions of homeowners and condo-owners can only hope that our legislators will look at the facts and finally enact some financial relief for the owners of property in community associations.

The $300 the CAMs are charging in the moment is just the topping of a cake created to add more and more “EXTRAS” to the original cost quoted on PAGE 1 of the contract!

FS 718.111(12)11.b. A current account and a monthly, bimonthly, or quarterly statement of the account for each unit designating the name of the unit owner, the due date and amount of each assessment, the amount paid on the account, and the balance due.

FS 720.303(4)(j)2. A current account and a periodic statement of the account for each member, designating the name and current address of each member who is obligated to pay assessments, the due date and amount of each assessment or other charge against the member, the date and amount of each payment on the account, and the balance due.