Equity Experts Contract 2020


EQUITYEXPERTS.ORG MIDWEST, LLC COLLECTION AGREEMENT

 

This Agreement,  effective , by and between EQUITYEXPERTS.ORG, MIDWEST LLC, [hereafter “Collection Agent”] located at 6632 Telegraph Rd #339, Bloomfield Hills, MI 48301 and [hereafter “Association”].

Association is owed assessments, together with other fees and costs, which may be secured by their interest in the Unit. Association and Collection Agent agree that for any unit address referred to collection, Collection Agent will attempt to collect all amounts due and all amounts that become due, including the fees and cost incurred to collect on any account until the full balance is paid, pursuant to the following terms and conditions:

  1. ACCURACY: Association represents that it has maintained true and accurate records, ledgers and notes for each Within 30 days of signing this agreement, Association must provide collection agent a list of all delinquent unit addresses within the community and provide periodic updates of this information as requested by Collection Agent. Association shall promptly reply to requests for verification, validation or clarification of records and/or for additional documentation or supporting information. If Association is unable to validate any charge, Collection Agent will have the authority to settle the account without payment of un-validated amounts, or return the file to Association, at which point, the Termination and Damages provisions, listed below in this agreement, will apply. In addition, both parties will provide monthly updates to the other, including updates of the incurred collection fees and costs that have been charged on each unit.
  2. AUTHORITY: Under the terms of this agreement and in accordance with the Association governing documents, Association must refer all delinquent accounts to Collection Agent, in accordance with their policies, unless otherwise agreed by the Association authorizes Collection Agent to undertake any lawful means to collect on accounts. By referring an account, Association authorizes Collection Agent to initiate legal action on Association’s behalf through their attorney partners, including, but not limited to; liens, lawsuits, foreclosures, and judgment enforcement actions. Association will receive prior notice of these actions. Under this agreement, the term “account” is defined as a unit address. If the owner changes on any account, Collection Agent shall have continuing authority to collect on that account. If state law or governing documents require direct board approval for any action, Association agrees to seek required approval at the time they refer the account and provide Collection Agent with prompt approval response. If Association does not want Collection Agent to take any action, Association must notify Collection Agent in writing. Any request to delay or defer any action may result in Association paying all deferred fees and costs incurred by Association through that date. In accordance with applicable law, Association will add the fees and costs charged to Association to the debtor’s account. If Association does not adjust the individual unit owner ledgers to include Collection Agent fees and costs, they agree that only Collection Agent will issue ledgers or account statements while the account is in collections.
  3. PAYMENTS: Collection Agent has the exclusive right to collect and receive payments on accounts that have been referred to them, including payment of its fees, unless contradicted by state law, in which case, payments will be applied in accordance with state law. Association will promptly forward any payments received to Collection Agent. Association will not engage in any collection activities on these accounts, will not retain any attorney or authorize any other person to collect these accounts, and will not make any agreement for the settlement of these accounts without Collection Agent’s prior consent. A violation of this paragraph will be considered a termination pursuant to the Termination and Damages provision outlined below in this agreement. Collection Agent has the authority to retain payments received after a notice of termination, to be applied towards any invoices that are outstanding more than thirty (30) days. Once all outstanding invoices have been paid, payments will be forwarded back to Association. Partial payments on any account will be apportioned between the parties, first to any direct costs paid by Collection Agent, and then by pro rata percentage, or, in accordance with applicable law. If Association’s governing documents require specific payment application procedures that may contradict this provision, it is their obligation to provide those requirements to Collect Agent prior to signing this agreement. Unless otherwise directed by Association, Collection Agent has the authority to approve payment arrangements up to 12 months on pre-judgement accounts, and the discretion to approve payment arrangements that they determine are appropriate on post-judgment accounts.
  4. COMMUNICATIONS: Association agrees that Collection Agent has the authority to communicate with their management agent, if any, regarding accounts The Management Agent, if any, must provide Collection Agent with a direct point of contact for an active member of the board to communicate on matters relating to Collection Agent’s power of attorney, this agreement, and any matters requiring board authority.
  5. LIMITED POWER OF ATTORNEY TO COORDINATE LEGAL REPRESENTATION: Association authorizes Collection Agent to coordinate the use of legal counsel, to act on Association’s behalf when, necessary, to draft and file liens, lawsuits, foreclosures, or other Association also authorizes Collection Agent to act as Association’s authorized representative in communications and dealings with such attorneys, in accordance with state law.
  6. LIMITED POWER OF ATTORNEY TO CONTRACT WITH MANAGEMENT AGENTS: Association authorizes Collection Agent to contract with its Management Agent to provide services necessary to facilitate the collections This is including, but not limited to, providing access to accounting records and property details, preparing required documentation for legal action, coordination with resale agents as it relates to property transfers, and any other services that relate to the collection of the account. All fees and costs for these services will be incurred by Association at the time the services are performed and added to the delinquent unit owner’s account. The current fee schedule for these services will be provided upon request and are available in the client access on our website.
  7. LIMITED POWER OF ATTORNEY TO CONTRACT WITH PROPERTY PRESERVATION AGENTS: Association authorizes Collection Agent to sub-contract with property preservation agents on Association’s behalf, for inspecting any delinquent property that has been foreclosed or abandoned. Equity Experts will report the findings of the property preservation agent to Association to make determinations based on the property’s conformance to the Association governing All fees and costs for the property preservation actions will be incurred by Association at the time the services are performed and added to the delinquent unit owner’s account. The current fee schedule for these services will be provided upon request and are available in the client access on our website.
  8. LIMITED POWER OF ATTORNEY TO CONTRACT WITH RESALE PROCESSING AGENTS: Association authorizes Collection Agent to sub-contract with resale processing agents on the Association’s behalf, to prepare and provide resale documentation for accounts turned over to Equity Experts. All fees and costs for the resale processing agents will be incurred by Association at the time the services are performed and added to the delinquent unit owner’s The current fee schedule for these services will be provided upon request and are available in the client access on our website.
  9. MORTGAGE FORECLOSURE ACCOUNTS: If foreclosure sale occurs (hereafter “a Mortgage Foreclosure Account”), and the purchaser at the foreclosure sale is not an owner-occupied purchaser, the Mortgage Foreclosure Account will remain in collections. Collection Agent will have continuing authorization to commence or continue collections against the new unit owner, until the account is paid in Association shall not provide any ledger or statement of account, without verifying and including the amounts owed to Collection Agent at that time. If such statement is provided without these amounts, this will be considered a termination, subject to the Termination and Damages provision in this agreement below.
  10. UNSECURED ACCOUNTS: Collection Agent, may collect on former unit owners that have lost their homes to foreclosure for amounts owed at the time of Equity Experts will be compensated on these accounts by retaining (50%) fifty percent of the assessment balance, in addition to any collection fees and costs. Collection Agent will be responsible for advancing all direct costs of legal action on these accounts, including filing and service fees, if they determine legal action is appropriate. If association does not want Equity Experts to pursue former owners, they must notify Equity Experts within seven (7) days from notice of unsecured file opening, and Equity Experts will return the file in exchange for payment of all outstanding invoices within thirty (30) days.
  11. FEES APPROVED: By signing this agreement, Association acknowledges that it has reviewed all schedules for the services described in this agreement and affirms that the activities listed and the fees and costs incurred by to Association, including interest up to the statutory rate on all unpaid amounts, are costs of collection owed by Association at the time each action occurs and explicitly authorized by the board of directors and the Association’s governing Association also explicitly approves all fees and costs charged to Association by other agents contracted by Collection Agent on Association’s behalf, as listed in this agreement. Association affirms that it is authorized to add all fees and costs to each delinquent unit owner’s account and understands that while Collect Agent may defer the payment of these fees and costs during the collections process, they become an obligation of the association at the time each action occurs. Association is responsible for complying with any and all regulations or accounting procedures required in order to properly reflect these fees and costs as a liability of the Association.
  12. INDEMNIFICATION: 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 are based, in whole or in part, upon any actions, inaction, errors, omissions or unlawful acts taken by Association or their designated management agents, including any violation of this agreement, or that the fees and costs charged by Collection Agent to Association were not authorized by Association or by their governing Collection Agent will hold Association harmless and indemnify Association against any obligation, damages, and settlement costs incurred as a result of Collection Agent’s violation of state or federal law. If legal action is taken against both Collection Agent and the Association or its management agents, Collection Agent is authorized, but is not required to, select and retain legal counsel of their choosing to represent all parties, unless Association or its Management Agent notify Collection Agent in writing of their intention to select separate counsel.
  13. UPDATES: Collection Agent may, at any time, update this agreement, including, but not limited to, the attached Collection Agent will notify Association of any updates. Such notification may be any notification that provides the reasonable expectation that Association, or its Management Agent, has received such notice, including but not limited to, email, or posting the updates to our website. Any changes will become effective within (30) days and no additional signature will be required. If Association notifies Collection Agent within (30) days that they do not accept the changes, the Agreement will be terminated, and the Termination and Damages provisions will apply.

Confidentiality: Both parties agree to treat all information provided by each other as strictly confidential and shall not disclose proprietary information to any third party.

Succession: This Agreement is binding on and inures to the benefit of the parties and their respective successors and assigns.

Integration: This Agreement constitutes the entire agreement between the parties and supersedes any prior oral or written representation(s) and agreement(s), if any.

 

Termination & Damages: (1) Either party may terminate this agreement for any reason; (2) except as indicated in the other sections above in this agreement, a termination is permitted only upon 30 days prior written notice by either party, which terminates and release the parties with no further obligation to each other, except Association’s Obligation        to           pay           all            fees            and             costs      owed                           to          Collection Agent. Collection agent may require direct notification of termination from the a board contact to ensure they are aware of consequences of termination, as outlined in this section. (3) If either party commences legal action against the other pursuant to this Agreement, the action will constitute a termination and each party shall be solely responsible for their own legal fees and court costs incurred in such an action, regardless of whether any party is considered to be a prevailing party. Neither Association nor Collection Agent will be entitled to an award of its attorney's fees and other costs against the other, notwithstanding any contrary agreement or authorization of law, which are waived.

Severability: If any provision of this Agreement is deemed invalid or unenforceable, such provision shall not affect or make this agreement unenforceable and shall be interpreted as valid to the extent permitted by law.

Governing Law: This Agreement shall be construed in accordance with, and be governed by, the laws of the state in which Association is located.

 

IN WITNESS, WHEREOF the parties have executed this agreement.

EQUITYEXPERTS.ORG CALIFORNIA, LLC          ASSOCIATION:

Mnovak Sig    

By: Michael Novak,                                       By:

President                                                         Board Member

AUTHORIZATION OF COLLECTION FEES AND COSTS

 

Association authorizes Equity Experts to charge the fee(s) listed in Schedule A and Schedule B, below, together with all costs advanced or incurred by Equity Experts to Association who will add these amounts to the account of the delinquent Unit and to the Unit Owner(s). Interest may accrue on all unpaid fees below, up to the maximum statutory rate.

 

STANDARD EQUITY EXPERTS COLLECTIONS FEES

*Interest may be charged on any unpaid fees and cost, up to the maximum rate authorized by law as a cost of collection. This is separate and distinct from any interest charged on Association assessments, pursuant to their governing documents, to the delinquent owner account, which Equity Experts may collect for Association, pursuant to their authorization.

Set-up & Compliance Package

$270.00, or 30% of principal balance

at referral, whichever is greater.

Pre – Lien Notification

$ 0.00

Prepare Certificate of Lien, Draft to Unit Owner and Record the Lien.

$395.00 + actual costs

Prepare Release of Lien, Draft to Unit Owner and Record the Release of Lien.

$100.00 + actual costs

Property Analysis Review

$250.00

Chain of Title Verification

$50.00

Stage 1 Outreach and Skip Tracing

$350.00

Stage 2-4 Outreach

$100.00 per stage

Enforcement Evaluation and Analysis

$650-$1250.00

File Maintenance

Varies by installments: $0 - $100

Association Foreclosure

Varies: $1,500.00-$4,500.00 (Est.)

Post Foreclosure Set-Up / Compliance

$500.00

Post Foreclosure Lien Preparation, Recording and Release

$500.00

Post Foreclosure Account Payoff Statement

$400.00

Post Foreclosure Monitoring and Outreach

$595.00 (monthly)

Bankruptcy: Chapter 13 Plan Review and Monitoring (fee charged 2x annually)

$150.00

Bankruptcy: Prepare & File Proofs of Claim

$150.00

Bankruptcy: Notice of Payment Change

$150.00

Bankruptcy: Response to Notice of Final Cure

$100.00 + attorney fees

 

FEES CHARGED BY EQUITY EXPERTS DURING LEGAL ACTION, OR BY OUR ATTORNEY PARTNERS FOR LEGAL ACTION

 

Pre-Legal Audit, Referral and Authorization

$750.00

Attorney Fees

Varies

Judgment Enforcement

$500.00 + all direct costs

Tenant Rent Interference Letter

$195.00

Utility Suspension Letter(s)

$195.00

Utility Suspension Servicing

$350.00 + direct costs

 

 

Acknowledged:                         Association:


By:

DURABLE LIMITED SPECIAL POWER OF ATTORNEY

 

 

I, ,

 

In my capacity as the    of

 

  (the “Association”),

 

Association hereby appoints EQUITYEXPERTS.ORG MIDWEST, LLC, through its Officers and Managers, to be the duly authorized Collections Agent of the Association and to act as its Attorney in fact (herein titled "my attorney"), being the true and lawful agent and attorney of the Association in any action taken by them on behalf of the Association.

 

EQUITYEXPERTS.ORG MIDWEST, LLC is authorized to collect the Delinquent Association Assessments, interest, late fees, costs of collection, attorney’s fees and costs, and any other debts relating to any Delinquent Unit Owners Association Assessment files forwarded to Collection Agent and to take any lawful action, whatsoever, which the Association might take in regard thereto, including drafting and recording liens against property within the Association, contacting debtors having delinquent Association Assessments, filing claims with any Court, collecting such accounts, selecting and retaining legal representation for the Association in any action to collect a debt or to enforce any lien, and managing, directing and communicating with such legal representatives, alone or in cooperation with the Association.

This power of attorney shall be governed by the laws of the state where Association is located and shall be effective from and after the date of execution hereof.

 

Reproductions of this executed original (with reproduced signatures and the certificate of acknowledgment) shall be deemed to be original counterparts of this limited power of attorney.

 

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Document name: Equity Experts Contract 2020
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September 8, 2020 9:21 pm EDTEquity Experts Contract 2020 Uploaded by Patrick Sullivan - [email protected] IP 50.105.100.135