overriding board decision

Started by JoanneA • 3 replies • 2185 views

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JoanneA (Florida)
Posts: 19

Posted:

Can a board just elected override a board decision the previous year when it pertains to money issues? The old board refused to pay a vendor for incompetency and poorly done work and the new board wants to pay the vendor anyway. Can this be challenged by a homeowner?

JanetB2 (Colorado)
Posts: 4,219

Posted:

Hi Joanne:

Do you know if potentially they are going to pay the vendor rather than possibly incur legal fees? How much was the vendor owed? If the vendor is threatening to file a lawsuit, how much would that cost?

If the vendor performed work, was paid, and the work was poorly done then the HOA potentially could sue the vendor for a refund. If the vendor performed work and was not paid, then the vendor potentially could file a lawsuit against the HOA for failure to pay for services rendered.

If you are the homeowner you may want to insure the exact circumstances before challenging. If you are on the board and a homeowner is challenging, then you may want to explain why the vendor is being paid so the homeowner understands the reason. Generally, being up front with owners leads to mutual understanding and avoids challenges.

TimB4 (Tennessee)
Posts: 21,059

Posted:

Joanne,

Any Board may override any decision of a previous board.

Existing or newly enacted contracts can even be canceled, providing they follow the cancellation policy in the contract.

Usually when this happens its because of new eyes looking at a situation or that the Board was elected for the specific purpose of overturning a policy or to change a procedure.

Tim

SusanW1 (Michigan)
Posts: 5,202

Posted:

The HOA is probably being sued - or at least threatened with a lawsuit - and this board is settling instead.
There may even be a lien on the HOA affairs.

How much are we talking about, here?

Was the job "signed off"? i.e. accepted as completed?

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