Highland Lakes Country Club & Community Association, Plaintiff-Appellant v. Robert Franzino, Defendant-Respondent

Summary

The Supreme Court of New Jersey held that the association’s recorded covenants and bylaws give clear notice that a purchaser is liable for arrears of prior owners, that any lien created by those covenants is extinguished by a foreclosure sale, and that the underlying debt remains enforceable. The Court reversed the Appellate Division and reinstated the trial court’s judgment in favor of the association. Justice Wallace dissented, arguing the bylaws are ambiguous and should be construed against the association.