DAYTONA BEACH, Fla. (Legal Newsline) – A condominium complex in Florida will have to face a class action lawsuit after publicizing the names of every tenant who was behind on payments.
The Fifth District Court of Appeal on June 12 ruled against Salt Springs Resort Association, which posted a list of more than 100 names and the amounts they owed on what is alleged to be a “deadbeat list” prohibited by Florida law.
Plaintiff Latheresa Williams is trying to prove the complex’s actions violated the Florida Consumer Collection Practices Act.
The court said for the FCCPA, which prohibits the posting of deadbeat lists to collect debts, to apply, the payment obligation must arise from a consumer out of a money, property, insurance or services transaction which is primarily for persona, family or household purposes.
“The purchase of a condominium is unquestionably a property transaction, and Williams alleged her condominium purchase was of residential property for personal, family, or household reasons,” Judge Dan Traver wrote.
The condo association’s bylaws require Williams to pay annual assessments, so the obligation to pay those arose from the purchase of her unit, the court ruled. The decision overturns a successful dismissal argument from the defendant.
“Williams has sufficiently alleged that her condominium assessment arises out of a consumer transaction to purchase property, and that her ongoing obligation to pay assessments is a ‘consumer debt’ under the FCCPA,” Traver wrote.