A homeowner was taken aback after receiving a city notice stating he owed a hefty $1 million fine for code violations committed by the previous owner of his foreclosed property.
Denny Dorcey, a skilled craftsman, invested in a foreclosed home ten years ago, transforming it into a reflection of his love for the 1970s. However, Dorcey was blindsided when he received a letter from the city of Oakland Park, claiming he owed over $1 million for minor code violations from before his purchase.
According to the city, the fines stemmed from issues like overgrown weeds and trash in the carport, amounting to $1,097,400 in penalties. This came as a shock to Dorcey, who was assured by the title company at the time of purchase that no liens or fines were attached to the property.
Dorcey learned that the city had recently stumbled upon his file while clearing out old records. Despite his protests about the unaffordable fine, he was advised to negotiate with a collection agency for a potential settlement. Dorcey expressed his frustration, noting that fixing such issues is beyond his expertise as a car and home restorer.
The legality of the city’s claim was questioned, with Denny reaching out to legal experts for advice. Howard Finkelstein, a legal expert, clarified that while governmental bodies are not required to inform new property owners about existing fines, Dorcey’s situation was unique. The foreclosure purged any existing liens or fines once he acquired the property, making the city’s claim invalid.
Upon further inquiry by reporters into the matter, Oakland Park officials quickly reviewed the case. They confirmed that the property was not in compliance at the time of its foreclosure and that they were unaware of the foreclosure proceedings. Following the investigation, the city invalidated the lien and dismissed the million-dollar fines.
Dorcey expressed immense relief and gratitude to those who advocated on his behalf, emphasizing how significantly the resolution impacted his life. With the financial burden lifted, he was able to focus again on his passion for restoring classic cars, proudly showcasing a 1960 Corvette he had recently brought back to life.
This situation highlights the importance of thorough due diligence when purchasing a property, especially one in foreclosure. Prospective buyers are advised to conduct lien searches to avoid any unforeseen issues. Meanwhile, the case underscores a need for cities to more accurately track and communicate active liens during property transactions.
Source: Wsvn