North Carolina § 47F-3-115 - Assessments for common expenses.

§ 47F-3-115. Assessments for common expenses.

Except as otherwise provided in the declaration, until the association makes a common expense assessment, the declarant shall pay all common expenses. After any assessment has been made by the association, assessments thereafter shall be made at least annually. Except for assessments under subsections (c), (d), and (e) of this section, all common expenses shall be assessed against all the lots in accordance with the allocations set forth in the declaration. Any past-due common expense assessment or installment thereof bears interest at the rate established by the association not exceeding eighteen percent (18%) per year. For planned communities created prior to January 1, 1999, interest may be charged on any past-due common expense assessment or installment only if the declaration provides for interest charges, and where the declaration does not otherwise specify the interest rate, the rate may not exceed eighteen percent (18%) per year. To the extent required by the declaration: Any common expense associated with the maintenance, repair, or replacement of a limited common element shall be assessed against the lots to which that limited common element is assigned, equally, or in any other proportion that the declaration provides; Any common expense or portion thereof benefiting fewer than all of the lots shall be assessed exclusively against the lots benefitted; and The costs of insurance shall be assessed in proportion to risk and the costs of utilities shall be assessed in proportion to usage. Assessments to pay a judgment against the association may be made only against the lots in the planned community at the time the judgment was entered, in proportion to their common expense liabilities. If any common expense is caused by the negligence or misconduct of any lot owner or occupant, the association may assess that expense exclusively against that lot owner or occupant's lot. If common expense liabilities are reallocated, common expense assessments and any installment thereof not yet due shall be recalculated in accordance with the reallocated common expense liabilities. History (1998-199, s. 1.) NORTH CAROLINA COMMENT Subsection (e) has been modified to clarify that any expenses incurred by the association as the result of negligent or intentional acts or omissions by an owner or anyone who is present with the express or implied consent of the owner may be asserted by the association exclusively against the owner's lot. This section applies in its entirety to planned communities formed prior to January 1, 1999.