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AllgemeinG (California)
Posts: 7
Posted:
I'm a treasurer at the association for three years and worked with three presidents. I mentioned in another post earlier. The new president came on board and the first thing he wanted to do was to ask HOA to fix his whole floor damaged by flooding caused by a clogged sewer line. Among the 5 Board members, 3 voted to pay 3/4 of the bill. He insisted that he was the president and he was the only one to make decision. He was pissed off because I and another Board member argued that the Board should vote for a decision. The management company was with us and followed the voted result.

After that, the president tried to kick me and another board member out of the board. He spread rumors about me and the previous president stealing money and I did terrible jobs. He didn't request any files or documentations to review and just created those false statements. He refused to sign checks and then told people that I didn't write the checks to vendors. He also blamed the errors the property manager did to me. Even the property manager admitted it was her faults. He said I was against him. So he brought a petition to ask owners to vote me out of the board.

He quoted his friend, a former president's email to the property manager:

"XXX is the President and the rest of the committee must follow his instructions, this is why we vote for him.We do not want that everybody in the committee make decisions, because is going to be confusion and difficult, we need one person to be responsible.
As a President, he has to have more authority than the rest of the committee.
If one of the members want to make some recommendations I am sure that Sergio will welcome and he will give the final decision."

Even though the other 3 board members and the property manager are with me, I'm worried that he might get enough votes to kick me out. I don't care whether to stay in the board. I do care all those rumors and false statements he told people in the community. I don't want my neighbors to think I am a bad person.

I have some questions and I really need your help how I can deal with this situation.

1. Is there a law a regulation saying how many votes he needs to kick me out?
2. How can I proof to other owners who don't understand financial reports or don't bother to review any files that he's spreading rumors and creating false statements against me?

I will try to talk to other owners and get support from them.

Thanks a lot.

GlenL (Ohio)
Posts: 5,491
Posted:
If you are a duly elected Board member then the only way you can be removed from the Board is by a recall vote of the homeowners. Now if he gets enough votes from your fellow Board members he can remove you from the position of treasurer just as he can be removed from the position of president. At the next Board meeting when you give the treasures report, mention that there are unfounded rumors going around about the state of the Associations finances and you would like the Board to hire an audit of the HOA's books to put the scurrilous rumors to rest.

Studies show that 5 out of 4 people have problems with fractions
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Glenn is right.

If you were elected to the BOD by the owners, then only the owners can remove you from the BOD.

If you were appointed to the BOD (like to fill a vacancy) by the BOD, then the BOD can remove you from the BOD via a majority vote of the BOD to do so.

If you were elected to the position of Treasure by the BOD, then the BOD can remove you from that position via a majority vote of the BOD to do so. Even then the vote just removes you for the Treasures position, not from the BOD You are still on the BOD.

Hope this helps.

StanP1 (South Carolina)
Posts: 1
Posted:
After reading the previous post, I decided I simply HAD to post a narrative of MY previous experience.

Several years I ago my dad and I jointly purchased my condo. For tax reasons, we put it in HIS name. At the time of purchase I never in my wildest imagination thought I would EVER want to serve on the board of directors so the thought never occurred to me. However, over the next few years, I became aware of the fact that we had a "strong arm" BOD who were only interested in doing what THEY wanted to do. To make matters worse, of the 76 units in our complex, three of the board members owned 23 units between them! (Our complex was once apartments and when they were "converted" to condos they original owner sold them off fast at "firesale prices"). So you can see how difficult it is for someone "new" to run for the board because they have "23 votes" between them the moment you walk in the door of the annual meetings. I understand there is "potentially" enough votes to beat them, but you ALL also know how HARD it is to get people TO the annual meeting much less mobilize them against something like this! (We also have a majority of our complex that is "investor owned" and most are simply content to "get their rent check every month" and not get involved"!

Anyway, at one point there were two spots on the board (outside of the President and his 2 "yes men") that came up for re-election. I spoke with an attorney friend of mine because my dad was then in the early stages of Alzheimers and I had "Power of attorney" for him with my sister (who lives out of state). She said she didn't have ANY problems with me running for the position because 1) The unit was originally bought WITH my father FOR me and 2) I paid the mortgage every month. So armed with my "Power of Attorney" I submitted a "resume" for my candidacy (which is sent to residents) and at the annual meeting I was "duly elected" to be on the board.

My first board meeting there were several "issues" voted on that I disagreed with and expressed my opposition to them for what I felt were concerns that were NOT in the best interest of our association. I was "voted down" on these matters, but I was at least "documented" in our minutes (in a 4-1 vote) that I was opposed. The following meeting, the President stated that one of our "residents" had expressed a "concern" about my the "legitimacy" of my "Power of Attorney". (You have to be an "owner" to run for the board). So they requested that I provide a "copy" of my POA to them so they could "allay the resident's concerns". (That is "bull$$$T"! They never had an actual complaint). They just used that a "ruse" against me. I asked why they didn't check my POA BEFORE I ran? They couldn't give a good answer. To make a long story short......their attorney "allegedly" examined my POA and saw that it was a "joint power of attorney". It said that my father authorized Me AND my sister to act in his behalf in whatever way we deemed prudent. The attorney said it SHOULD have said ME AND/OR my sister. Not doing so meant that I couldn't legitimately run for the board without my SISTER's approval! So without contacting me about their concerns they send a letter out to residents stating that I had a "legitimacy problem" in serving and they would have to have a special election to replace me. I was STUNNED! I had no way of disseminating the TRUTH out to residents because THEY had the "mailing list". Our By-Laws state that you can only remove a "director" with a vote of 75% of our membership. But our membership as a whole have no CLUE what our By-Laws state. They ASSUME that the Board is simply "doing their job". All that honestly had to happen was that I had to get my sister to write a 1 page letter "authorizing" her "permission" to act on HER behalf in this matter!

The only "recourse" I would have technically had was to file a "civil suit" which at the time I couldn't afford to do NOR did I have the "time" to deal with a lawsuit. Ironically, the board's side would have been funded by me and the rest of the HOA.

Since that time, my dad has passed and now I am a LEGITIMATE owner of my unit! But I guess what rankles me MOST is that these guys could do what they "damn well pleased" without ANY legal accountability. I don't think I am alone on this type of "abuse" of HOA By-Laws. I am in South Carolina. But does anyone know if there isn't something that can be done to protect/defend consumer interests like mine from this wanton abuse? (Maybe even the State Attorney General's office?) Seems that one of the BIGGEST problems is that MOST of the attorneys that work with HOA's have NO CLUE about the in's and outs of HOA law! Most of them are simply "real estate attorneys" who are "hired guns" to "send collection notices" or occasionally send out "legal looking, strong arm letters" regarding resident "violations" of the By-Laws!
JeanneK3 (Maryland)
Posts: 562
Posted:
Stan:
Check the South Carolina laws on HOAs and Condos. I did and was amazed that your state had one of the fairest dispute resolution mechanisms written in law that I've ever seen. I don't quite remember it exactly but I do believe the state will fine a board for improper conduct.
Jeanne
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Stan

You were not the owner. If the Bylaws say owners only then you did not qualify to be on the BOD.

Bye bye Stan.

JohnC46 (South Carolina)
Posts: 14,265
Posted:
Jeanne

You must be confusing SC with another state. SC has no rules and regulations for anything other then high rise condo buildings (SC Horizontal Property Act). SC Articles of Incorporation for a Non Profit Corporation continually refers to unless the Bylaws say otherwise which basically says the Bylaws rule.

I know of no right of appeal, arbitration, etc. in SC. It is abide by the Bylaws or go to court.

CarolR11 (Colorado)
Posts: 2,563
Posted:
Allegemine,
Why does the former pres. refer to a "committee" in the email to the PM??? What is this committee??? And while it's usually true, depending on your bylaws, that the prez "supervises" Committees, the Committee itself votes and the majority wins.

Glen and John46 are right about the ways you can be removed from the board versus the way you can be removed from the office of treasurer.

Why did the Board appoint the president? If the majority of your board (total is 5?) is on your side, why don't you directors just vote the president out of his office??? It seems like it's time for you to read your HOA's bylaws.

Anyway, the president should not have voted on the floor issue because it's a conflict of interest--it only benefits him. The rest of the Board should have asked him to recuse himself (not vote).

As for the rumors, do try to get support from other owners. If worse comes to worse and the president's lies are provable, and the owners do vote you off the Board, you can sue the prez for defamation of character--both libel and slander, it sounds like. But You probably don't want to take such action.
MicheleH1 (Florida)
Posts: 14
Posted:
Quick note about the power of the president: I am the president of my association and as presidents we actually have less power than the other board members as we only get to vote in the event of a tie. Check your docs. I believe it is that way all over.
CarolR11 (Colorado)
Posts: 2,563
Posted:
Hi Michelle, While it's true that Roberts' Rules of Order discusses the president not voting so as to remain impartial, small boards (12 or fewer) usually do permit the president to vote. I don't believe I've seen on this forum cases when the president doesn't vote.

Are you saying that your bylaws prohibit the president from voting except to break or make a tie?? Is your Board really large?
MicheleH1 (Florida)
Posts: 14
Posted:
We have a 5 member board. And we are in Florida. Perhaps it's diff where you are but here presidents do not vote unless there is a tie. (or unless there is a vote that requires a unanimous decision)
BruceF1 (Connecticut)
Posts: 2,535
Posted:
Quote:
Posted By MicheleH1 on 06/13/2013 7:54 PM
We have a 5 member board. And we are in Florida. Perhaps it's diff where you are but here presidents do not vote unless there is a tie. (or unless there is a vote that requires a unanimous decision)

If the president is also a director, that is, a board member, then the president also has the right to vote unless your bylaws specifically state otherwise. It is also possible that you may be in violation of your state's laws regarding corporations by not allowing the president to vote except in certain circumstances.

"If the presiding officer is a member of the assembly or voting body, he has the same voting right as any other voting member." (Robert's Rules, 11th ed., p. 53)

Many people get confused over officers and directors. In most cases, it is a single person holding two positions. Officers have no vote on the board of directors, but all directors are entitled to vote. The president, being a member, is entitled to vote as a director. What the president may not do, is vote twice: once as a member and again as the president in order to break a tie (Robert's Rules, 11th ed., p. 407).

While it is customary, in order to preserve the appearance of impartiality, for the chair (president) to vote last (or not vote at all unless the vote would affect the outcome), there is no legal requirement that he/she do so.

You cannot deny any board member (including the president) the same rights to which all other members of the assembly (board) are entitled. Namely, the right to attend meetings, make motions and nominations, participate in debate, and vote.
MikeS1
Posts: 521
Posted:
I thought that usually that it was the members (owners) that voted a board member out. Our bylaws state that if anyone collects enough signatures on a bard member recall petition (10% of total number of homes), that a special meeting may be held where the members (not the board members) vote to recall the Officer/Director.
CarolR11 (Colorado)
Posts: 2,563
Posted:
Mike, please read some of the earlier replies from Glen & John46; they are correct. Homeowners generally do NOT vote for nor recall officers.
CarolR11 (Colorado)
Posts: 2,563
Posted:
Mike, please read some of the earlier replies from Glen & John46; they are correct. Homeowners generally do NOT vote for nor recall officers.
MikeS1
Posts: 521
Posted:
That's news to us. We just went through this process and I've seen this occur in two other communities in Virginia with the same scenario. . Our docs are very specific about the subject and the members definately vote to recall the board member. If the board members get to vote out one of the other board members, I can just imagine what the politics here.
BruceF1 (Connecticut)
Posts: 2,535
Posted:
Quote:
Posted By MikeS1 on 06/14/2013 10:01 AM
That's news to us. We just went through this process and I've seen this occur in two other communities in Virginia with the same scenario. . Our docs are very specific about the subject and the members definately vote to recall the board member. If the board members get to vote out one of the other board members, I can just imagine what the politics here.

I think you are getting confused with regard to "board members" (directors) and "officers." They are two different positions, although one person may hold a position as an officer and as a director (board member). This is a common area of confusion.

Generally speaking, homeowners elect directors (board members). The board then elects the officers, who are often the same individuals who are also board members. In many instances, the president and vice-president must be a board member (director), but often the secretary and treasurer do not have to be directors. The bylaws of some associations are sometime written this way for practical reasons.

Generally speaking, a homeowner may remove a board member, but may not remove an officer. On the other hand, the board may remove an officer, but not a board member. In those situations where an officer must be a board member, if the homeowners decide to remove the board member, that individual is also removed as an officer since that person no longer meets the requirements to hold that office.

It can get confusing. One has to read and thoroughly understand their bylaws to see how it affects their own association.
CarolR11 (Colorado)
Posts: 2,563
Posted:
Mike, please read Glen's John46's and especially Bruce's replies. Homeowners can indeed recall directors (if they elected the director in the first place).

As Bruce notes, if the homeowners successfully vote to recall a director, who also is an officer, that recalled director certainly no longer is an officer. In rare cases, the Board might reappoint the person to that vacant office (if the bylaws permit a non director to serve in that particular office), but to do so when h'owners clearly don't want the person to serve the HOA doesn't seem wise.

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