Would make the association board liable for specified costs and a civil penalty of $1,000 if the association fails to comply with collection procedures prior to recording a lien.
Current Status: Pending
FindHOALaw Quick Summary:
Existing law limits the authority of the governing documents to regulate the use of a member’s separate interest.
This bill would add Civil Code Section 4755 to prohibit the governing documents from imposing restrictions on a member’s use of public roads.
Existing law requires that an association provide a member making an assessment payment a receipt, upon request, that indicates the date of payment and the person who received it and to provide a mailing address for overnight payment of assessments in the annual policy statement.
This bill would amend Civil Code Section 5655 to require the association to notify the members by certified mail, return receipt requested, of a change of a person authorized to receive payment of assessments within 60 days of the change.
Existing law provides that assessments, including the costs of collection, late charges, and interest, are a lien on the member’s separate interest when the association records a notice of delinquent assessment and follows a specified process, including providing the owner of record a specified notice, at least 30 days prior to recording a lien upon the separate interest. Existing law requires that an association that fails to comply with these procedures recommence the required notice process, prior to recording a lien, and bear the cost of recommencing the notice process.
This bill would amend Civil Code Section 5690 to make the association board liable to the member for the reconveyance fee and any costs of the member associated with the association’s failure to comply with the collection procedures prior to recording a lien, along with a civil penalty of $1,000.
**AB-2439 was amended on June 18, 2026 to require the association to notify the members through individual notice, rather than certified mail, of a change of a person authorized to receive payment of assessments:
(d) If the person or entity authorized to receive payments of assessment on behalf of the association changes, the association shall notify members through individual notice by one of the following methods within 60 days of the change:
(1) Electronic delivery for any member who has opted into that method of delivery for receiving general notices from the association.
(2) First-class mail, evidenced by a certificate of mailing, for any member who has not opted into electronic delivery of notices from the association.
(e) If after sending an individual notice pursuant to subdivision (d), a member has failed to pay two consecutive assessment payments, the association shall send a second notice by certified mail with return receipt requested.
(f) The association shall maintain records confirming that individual notices were distributed, pursuant to subdivisions (d) and (e). If a member requests proof of the delivery, the association shall provide it at no charge to the member.
(g) An association shall also make a reasonable effort to post a physical copy of the notice distributed pursuant to subdivision (d) in the association’s common areas.
**AB-2439 was amended on June 29, 2026 to limit the civil penalty to the 3rd failure within a 5-year period:
from the California Legislature's website
Related Topics
- Payment Plans
- Assessment Lien Enforcement (Generally)
- Partial Payments
- Priority of Payments
- Assessment Lien Release
- Notice of Delinquent Assessment (Assessment Lien)
- Decision to Record Assessment Lien
- Pre-Lien Letter
- Annual Policy Statement
- Late Charges & Interest
- Collection Fees & Costs
- Member Right to Dispute Charges
- Duty to Pay Assessments
Related Statutes
- Civil Code Section 5720. Limitations on Foreclosure of Assessment Lien.
- Civil Code Section 5690. Procedural Noncompliance.
- Civil Code Section 5675. Notice of Delinquent Assessment (Assessment Lien).
- Civil Code Section 5673. Decision to Lien for Delinquent Assessments.
- Civil Code Section 5670. Pre-Lien Dispute Resolution.
- Civil Code Section 5665. Payment Plans; Requirements and Limitations.
- Civil Code Section 5660. Pre-Lien Notice; Requirements.
- Civil Code Section 5655. Priority of Assessment Payments; Receipts; Overnight Payment.
- Civil Code Section 5650. Debt of Owner; Assessments, Late Charges, Collection Costs, Interest.
- Civil Code Section 5600. Duty to Levy Assessments.
Related Case Law
- Diamond v. Superior Court
(2013) 217 Cal.App.4th 1172
[Assessment Collection; Notice Requirements] A HOA must strictly adhere to the statutory lien and foreclosure notice requirements in order to perfect an assessment lien and foreclose on a homeowner’s property.
- Huntington Continental Townhouse Association, Inc. v. Miner
(2014) 230 Cal.App.4th 590
[Assessments & Collection; Partial Payments] An association is required to accept partial payments made by a delinquent homeowner and allocate them in accordance with Civil Code Section 5655, even after the association has recorded an assessment lien.
