1010 Lake Shore Ass’n v. Deutsche Bank National Trust Co.

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Defendant Deutsche Bank National Trust Company, as Trustee for Loan Tr. 2004-1, Asset-Backed Certificates, Series 2004-1, purchased a condominium unit at a judicial foreclosure sale in 2010. On March 27, 2012, plaintiff 1010 Lake Shore Association mailed defendant a demand for payment of the unit’s assessments for common expenses. After defendant filed its answer, plaintiff moved for summary judgment arguing there were no questions of material fact on the amount owed or defendant’s failure to pay the assessments. Based on section 9(g)(3) of the Condominium Property Act (Act, 765 ILCS 605/9(g)(3) (West 2008)), plaintiff asserted that the lien against the property for the prior owner’s unpaid assessments had not been extinguished because defendant failed to pay the assessments accruing after it purchased the unit at the judicial foreclosure sale. Defendant responded that it could not be held liable under section 9(g)(3) of the Act for unpaid assessments that accrued before it purchased the unit at the judicial foreclosure sale. Following a hearing, the trial court granted summary judgment for plaintiff, and awarded plaintiff possession of the property. On appeal, defendant contended that the trial court misconstrued section 9(g)(3) of the Act, arguing that a purchaser of a condominium unit at a foreclosure sale is only required to pay the common expenses that accrued following the sale. The appellate court affirmed the trial court, with one justice dissenting. Finding no error in the majority's judgment, the Supreme Court affirmed. View "1010 Lake Shore Ass'n v. Deutsche Bank National Trust Co." on Justia Law