Sec. 209.0063. PRIORITY OF PAYMENTS. (a) Except as provided by Subsection (b), a payment received by a property owners' association from the owner shall be applied to the owner's debt in the following order of priority:
(1) any delinquent assessment;
(2) any current assessment;
(3) any reasonable attorney's fees or reasonable third party collection costs incurred by the association associated solely with assessments or any other charge that could provide the basis for foreclosure;
(4) any reasonable attorney's fees incurred by the association that are not subject to Subdivision (3);
(5) any reasonable fines assessed by the association; and
(6) any other reasonable amount owed to the association.
(b) If, at the time the property owners' association receives a payment from a property owner, the owner is in default under a payment plan entered into with the association:
(1) the association is not required to apply the payment in the order of priority specified by Subsection (a); and
(2) in applying the payment, a fine assessed by the association may not be given priority over any other amount owed to the association.
Added by Acts 2011, 82nd Leg., R.S., Ch. 1282 (H.B. 1228), Sec. 2, eff. January 1, 2012.
Amended by:
Acts 2021, 87th Leg., R.S., Ch. 951 (S.B. 1588), Sec. 15, eff. September 1, 2021.
Structure Texas Statutes
Title 11 - Restrictive Covenants
Chapter 209 - Texas Residential Property Owners Protection Act
Section 209.003. Applicability of Chapter
Section 209.004. Management Certificates
Section 209.0041. Adoption or Amendment of Certain Dedicatory Instruments
Section 209.0042. Methods of Providing Notices to Owners
Section 209.005. Association Records
Section 209.00505. Architectural Review Authority
Section 209.0051. Open Board Meetings
Section 209.0052. Association Contracts
Section 209.0056. Notice of Election or Association Vote
Section 209.0057. Recount of Votes
Section 209.0059. Right to Vote
Section 209.00591. Board Membership
Section 209.00592. Voting; Quorum
Section 209.00593. Election of Board Members
Section 209.00594. Tabulation of and Access to Ballots
Section 209.006. Notice Required Before Enforcement Action
Section 209.0062. Alternative Payment Schedule for Certain Assessments
Section 209.0063. Priority of Payments
Section 209.0064. Third Party Collections
Section 209.0065. Credit Reporting Services
Section 209.007. Hearing Before Board; Alternative Dispute Resolution
Section 209.008. Attorney's Fees
Section 209.009. Foreclosure Sale Prohibited in Certain Circumstances
Section 209.0092. Judicial Foreclosure Required
Section 209.0093. Removal or Adoption of Foreclosure Authority
Section 209.0094. Assessment Lien Filing
Section 209.010. Notice After Foreclosure Sale
Section 209.011. Right of Redemption After Foreclosure
Section 209.012. Restrictive Covenants Granting Easements to Certain Property Owners' Associations
Section 209.014. Mandatory Election Required After Failure to Call Regular Meeting
Section 209.015. Regulation of Land Use: Residential Purpose
Section 209.016. Regulation of Residential Leases or Rental Agreements