Texas Ct. Says Judgment for Foreclosure of Lien Must Include “Order of Sale.”

by | Dec 15, 2014 | Case Decisions, Ownership and Transfer of Interest

Texas Appellate Court decision (November 26, 2014)

In this case, a homeowners association brought suit against a homeowner member of the association to collect unpaid assessments, late fees, attorney fees, and to foreclose on the homeowners separate interest in the association. The homeowner did not respond to the association’s complaint so the court entered a default judgment in favor of the association but the trial court judgment did not grant the association “an order of sale.” Without that additional order, the association could not complete a foreclosure sale of the separate interest.

Following an appeal by the association, the appellate court ruled that, absent exceptions that did not exist, a judgment for the foreclosure of a lien must be accompanied by an order of sale. The failure to include such an order, renders the grant of the foreclosure meaningless as, without an order of sale, there can be no actual foreclosure.

See case decision: Woodglen_Home_Owners_Ass’n_v