Civil Code Assessments & Liens

§5735

Assignment of Collection Rights

Chapter 8 · Assessments and Assessment Collection · Assessment Collection

Text current as of 2026-07-07 · Last amended by AB 805, eff. 2014-01-01

The code says CIV §5735

(a) An association may not voluntarily assign or pledge the association’s right to collect payments or assessments, or to enforce or foreclose a lien to a third party, except when the assignment or pledge is made to a financial institution or lender chartered or licensed under federal or state law, when acting within the scope of that charter or license, as security for a loan obtained by the association.

(b) Nothing in subdivision (a) restricts the right or ability of an association to assign any unpaid obligations of a former member to a third party for purposes of collection.

(Added by Stats. 2012, Ch. 180, Sec. 2. (AB 805) Effective January 1, 2013. Operative January 1, 2014, by Sec. 3 of Ch. 180.)

How courts have read this

No case law is mapped to this section yet. As decisions are added, they’ll appear here.

Cited by (1)

§4775

Official text · leginfo ↗