I have a simple legal question that I hope somebody on this forum will be able to answer. Colorado laws will be apply, if this is something that varies from state to state.
Is there a minimum limit on the time period between when a bill is issued (or mailed) and the due date on which payment is required?
A bill from my homeonwers association was dated the 19th, but was
postmarked the 23rd, and is due on the 1st. I received the bill on the
27th, meaning if I send a payment on the 29th (the first business day
after receiving the bill) it probably won’t be received until after the
bill is due. This bill was the first notice, not a reminder to pay
something I already knew about, etc.
I’ll do my best to pay the bill on time, I am not looking for a way to avoid payment,
just for a way to encourage my HOA to set a more reasonable due date.
I tried looking through some of the Colorado laws online, but I didn’t
find anything useful because I don’t know the legal terms I should be
searching for, or what section of the law these things might be
defined in. I looked through the consumer protection and uniform code
sections, but didn’t see anything that seemed appropriate. If nobody
knows the exact answer, then hints on getting me to the right places
will be appreciated.
Is it not the case that the payment terms are defined on opening up the account and that the customer willingly enters into a contract to pay under whatever terms are stipulated?
I’ve always been under the assumption that so long as the postmark on the payment’s envelope is before, the due date, they legally can’t harass you–for just the reason you specify: slow mail.
This is the case with US Taxes, no? Besides, aren’t there a lot of contests that specify you have to claim your prize with a SASE postmarked by “the first of July” or something?
Tripler
But like lucwarm says, what are the consequenses, if any?
Ah, thanks lucwarm, I should have mentioned this, as it is what prompted my questioning: there is a $15 late fee. If the bill is due on the 1st, but the late fee kicks in on the 15th or something, then that isn’t too bad, but this is a new thing the HOA are doing (sending these bills) so I don’t have any list of terms or conditions or anything, just what is written on the bill (I was informed they would be sending the bills, but no details).
And kirk, yes, I too receive bills that are “due upon receipt,” which is different, as I can pay those when I receive them, whenever that is, and I’m not late unless I fail to pay past some future date. I think my electric bill is this way, and “some future date” is defined.
Tripler, yes for some things such as US Taxes the postmark is what is important, and that is well known. I am positive that I heard several years back about a new law that credit card companies are required to accept the postmark as the payment date as it effects late fees, and the date they receive the payment as it effects finance charge calculations, but I don’t know if that rule is nationwide (US), or only in some states. I also don’t know if such a law would apply to other bills.
My basic question is: What is to prevent a company from sending bills so close to the due date that it is nearly impossible to avoid a late fee?
Bills are frequently tallied, printed with one date for severals days of preparations and mailed one to three days later. Letters mailed after pick up time on Friday are not processed and dated until the following Monday.
Every business likes to get their receipts in and deposited early to take advantage of the “float.” Another reason for businesses preference for debit cards over credit cards.
I doubt that any court would enforce such a contract. For one thing, it’s unconscionable.
For another, there is a principle that compliance with the terms of a contract is excused if the other party makes compliance impossible.
Lastly, there is a principle called “good faith and fair dealing” which means a lot of things, but it basically applies the “don’t be a jerk” rule to contract law.
There are probably no state or local laws on the subject. What you are looking for is the documents that spell out the association’s right to charge you in the first place. There are usually by-laws, for instance. You should contact them and ask to see the documents. One cannot simply invent a late fee–it must come from a contract or a statute, and it cannot be a penalty. In other words, it must be reasonably related to some element of loss that the person charging the fee may suffer.
So the association should be able to provide you with documents spelling out the time periods in question and permitting the late fee. My approach would be to contact them, act confused, and ask them to explain where all of this stuff comes from. If they can’t explain and document it, ask why you should pay it.
Good luck.
We got home from visiting my parents on December 27th. There was a bill for Mr. Armadillo in the mailbox for next quarters’ student fees from the university, due in three days, on January 1st. School, and thus all the administration and cashiers office staff, is out of session until January 7th.:dubious: