Association Legal Authorization
We, the board of directors of __________, hereinafter “Association”, authorize and direct Equity Experts to initiate the action stated on page 1 of this authorization package, including, if necessary, to retain and manage the services of an attorney to complete such action. Association has authorized Equity Experts to select an attorney from a list of authorized attorneys. The attorney shall be authorized to take any legal steps that, in the opinion of the attorney, are necessary and proper and that are consistent with the governing documents for your Association and State law. By providing this authorization, we represent and affirm that the proposed legal actions are permitted by and have been approved in conformance with our Association governing documents and the law of the State where Association is located.
We understand that Equity Experts is not our attorney and is not acting in that capacity. We also understand that Equity Experts is not a party to any legal or foreclosure proceedings approved by the board and is acting as a collection agent on behalf of the association pursuant to our terms and conditions authorized by the board or through their agent.
All costs and expenses of these actions, not including counter-claims or appeals will be advanced by Equity Experts, and incurred as a cost to Association, who has the right to impose these costs on the delinquent owner. Any proceeds received from any source will be applied first, to reimburse Equity Experts for any cost or expenses they have advanced. Any remaining proceeds shall be remitted to Equity Experts to disburse to the Association. Costs and expenses incurred will continue to be deferred by Equity Experts until paid by delinquent owner or until a termination event occurs.
Below is a breakdown of the fees and costs that may be charged, as described above, in the approved action Please be advised that additional fees and costs may be added, as necessary, during the pendency of the proceedings. Please be advised that the principal balance indicated below may also be subject to change per your State’s statute of limitations.
Association Principal Balance: $__________
Collection Costs: $__________
Attorney Fees: $__________
Court Costs: $__________
By signing this authorization, the association is acknowledging that they have received and reviewed Equity Expert’s Legal Action Memo. After careful consideration, the board requests that collection agent continue legal action for the property listed above.
The association will hold Collection Agent harmless and indemnify Collection Agent against any obligations, damages, and settlement costs arising out of any complaints or claims made by a Unit Owner, mortgagee, city, state, or federal regulatory body or agency that arises from this action. Collection Agent will hold Association harmless and indemnify Association against any obligation, damages, and settlement costs incurred as a result of Collection Agent’s gross negligence in its performance of the requested action only. This cause supersedes the indemnification clause included in the collection agreement between the parties as it relates to the legal action on this account.
By signing this document below, I hereby confirm that I have read and understand the terms contained in this authorization; I understand and agree with the terms listed herein, and I have the authority to sign this form on behalf of “Association”.
Authorized Representative, __________
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Document Name: Association Legal Authorization
Agree & Sign