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NicoleO1 (California)
Posts: 181
Posted:
Hello all,
I am in the need of HOA based advice. I will try to keep this simple. I am the board, I have missed the passed two meetings due to personal obligations.

There was damaged caused internally to my unit earlier this year from a roof leak due to rain water. This was not the issue. It was determnined the damaged including the flooring would be replaced. 3 bids received lowest one was approved. This was in June and July's HOA meeting. Approved flloring was vynil hybrid, just under 6K

Installation was scheduled 2 months after approval. A few days prior to installation there was questions of if the flooring was an upgrade from the laminate byt the board who approved this. The old flooring was is high end laminate ( damaged ) installed in hybrid vynil water proof as approved per the board via email and in July's executive session.
Flooring was installed after many emails back and forth and threats to check on product. that was approved.

Today I saw the very same board members who approved the almost $6k flooring and other repairs is asking for reimbusement on what they feel is a fair price.. The cost is just under 1K this would be our September board meeting.. 2 months after they approved the just under 6K repairs.

My question. I have yet to recieive a bill from this motion last month. Do you suggest approaching the board and referring the very approval they gave? Legal consult? Small claims. Proving they approved it is easy.. I have emails and a board member who is willing to say he knows they verbally approved this in Julys meeting.

Please advise. I know this is a small amount, but it's the idea that the board who consists of anything but flooring experts would determine months later this is an upgrade.. and back pedal an decision.

RichardP13 (California)
Posts: 3,868
Posted:
The roof should have been the responsibility of the HOA to fix/repair and the homeowner to replace the flooring, possibly through their homeowners insurance.
If the HOA should be involved in would be handled between the insurance companies.
NicoleO1 (California)
Posts: 181
Posted:
ift doesn't work that way. My flooring was damaged due to the neglect of our roof. The roof is 30 years old, 10 past its life according to our audits. Due to this my owners insurance and the associations declined the payment for flooring repairs as this was a direct neglect of the HOA regarding maintenance of the roof.. thsi was not done by prior boards..
NicoleO1 (California)
Posts: 181
Posted:
Saying that.. the HOA did NOT argue the floroing was thier responsibility.. and in fact it was confirmed by the associations HOA atty.
NicoleO1 (California)
Posts: 181
Posted:
Back to the surprise bill though after approving work.. what would you suggest ?
TimB4 (Tennessee)
Posts: 21,062
Posted:
Let me see if I understand this:

1) Roof leak caused flooring damage
2) Association acknowledge responsibility but chose to address themselves vs. through insurance.
3) Board researched and approved floor type and install.
4) 2 days before install the question was raised if the board was replacing or upgrading.
5) Emails between member and board members occurred.
6) Installation of approved floor was done.
7) Board, reconsidering their approval thinks it's an upgrade and sent a bill for the difference between replacement and upgrade.
8) Member went WTF?

As others have said, this is a lesson learned to let the insurance companies handle these issues.

If the original floor was not available, then a comparable product would have been authorized by the insurance. This is what should should have been decided.

My advice, consult an attorney to see how to reply and have the attorney reply for you.

My knee jerk reaction would be that if the Board feels that this is an upgrade, they may remove it and putting in the original or comparable product at their expense. However, we do not know the details, understandings and possible agreements made through e-mails sent in step 5 above. Thus my advice to for the member to consult an attorney. Take all the e-mails and minutes of the meetings surrounding the issue to the attorney.
RichardP13 (California)
Posts: 3,868
Posted:
I see a number of things wrong here. The bidding process should have been done in Executive Session, but the approval should have finalized in Open Session.

It sounds like you're on the Board and the issue is the maintenance of the roof was neglected.

It sounds like they are asking for you to pony up for an UPGRADE? If you had installed a better quality floor, the HOA would not be under any obligation to install an upgraded floor at the association's expense. That is what an HO-6 policy is for.

Unless you can come together on a mutual arrangement, small claims courts is a viable option for you.
NicoleO1 (California)
Posts: 181
Posted:
My concern.. the flooring installed.. was completely on a detailed work order they approved in executive session and email..

There was NOTHING new or added to the APPROVED order.. the baord themselves decided this was an upgrade.. the flooring is different..
high end laminate.. damaged and removed replaced wth hybrid vynil. There was NO surprises.. and the insurance company for hte HOA or owern woudl not cover the damage due to knwon neglect of the property.. the roof is 30++ years old..
LarryB13 (Arizona)
Posts: 4,099
Posted:
Nicole,

I would advise you to use the alternative dispute resolution processes that are available. Go for arbitration. This board has not got a leg to stand on. They caused the damage through their own willful neglect, they held a meeting where in executive session they made a decision to replace your floor, you agreed to their terms, the work was done, but now they are trying to renege. What is not clear is whether this decision to demand payment from you was made in a regular board meeting or if this is just board members trying to play Scrooge now that the bill is due.

NicoleO1 (California)
Posts: 181
Posted:
I found out as I revived the board packet from last month.. It was made in executive session.. And is part of the minutes.. Yes I have missed the last several meeting due to other.

The note 'minutes read... A discussion was had , iit as decided the flooring installed was an upgrade and the board is asking cents for square foot reimbursement..
MarkM31 (Washington)
Posts: 351
Posted:
Tell them to pound sand.
RichardP13 (California)
Posts: 3,868
Posted:
Quote:
Posted By NicoleO1 on 10/29/2015 7:13 AM
I found out as I revived the board packet from last month.. It was made in executive session.. And is part of the minutes.. Yes I have missed the last several meeting due to other.

The note 'minutes read... A discussion was had , iit as decided the flooring installed was an upgrade and the board is asking cents for square foot reimbursement..

Nicole

As a Board member, you are going to have to take this case on your own. I suspect you have just a Board of three and the decision to have you pay the difference of the upgrade was done while you were away. That happens.

Here is the problem IMO. In California, items that require action MUST be on an agenda or action CANNOT be legally taken. If they followed the Open Meeting Act, you would have known this subject was going to be discuss. As I have said in previous other posts, I don't have a problems with some discussions via emails, BUT the Board on which you serve is taking ACTIONS WITHOUT A MEETING. These are not decisions that should be taking place in Executive Session.

If the root cause of the problem is maintenance of the complex, has it been address and resolved? You bear responsibility for the damages that were caused. If not resolved, remember, El Nino is predicted to be bad in Southern California.

Was the floor installed an upgrade to the damaged floor? You as a Board member, you should know a member would have to pay the difference. If the Board does things on their own, things like this will happen.
KerryL1 (California)
Posts: 14,550
Posted:
Richard is right, Nicole. Was this on the posted agenda for executive session as required in ES? Or Not? If not, they need to do it over again and they need to do it right.

In addition, the ES minutes should state that a motion was made and x voted in favor & x voted against charging you the "extra." Minutes should not say "it was decided."
NicoleO1 (California)
Posts: 181
Posted:
Yesterday I finally got a bill from the HOA for a pretty penny on an amount they feel is above what they approved. Once again, I have emails form the bardo with 3 out of the 4 approving this in it's entirety in July of this year. One of these board members does not support the bill the board majority has decided to provide me. NOTHING has changed since this last post. It's just been months since they approved it and it must of just been recognized they didn't bill yet.

I have consulted my attorney who feels this is not ok. He stated the will submit a letter to the board on my behalf outlining all details including the emails where this was approved. I have email proof that one of the back peddlers said they never saw the bid until after the flooring was done or going to be done. I have an email 6 weeks before installation with that very bid and materials used.. APPROVED by ths it board member, yet she says she never saw it, I have one that approved it and also back pedaled. The final among is near 6K. If they approved the amount, the type and materials used.. With no variance I can not understand how they can bill for something they know nothing about.

No flooring expert looked at my floor before or assessed its value. Prior to removal
I provided 3 bids with all the foot work nothing being done by my HOA...

No flooring expert looked at my replacement flooring to assess it before the board approved it. NOBODY on that board is a contractor and neither is our management company. Shortly after my flooring was installed, the manager emailed the board saying they will discuss this at a meeting to see if it's an upgrade.. This is where it all started... It was from the management company.. It's been stressful and frankly I see this going legal, and I hate that.
Hopefully a letter from an atty is all that is needed. I also have an email from the board members who approved it a few days before installation asking questions one would of asked when reviewing the bid the month before... Saying it an upgrade? It was the very same product they approved, but this seemed to have fallen in deaf ears.

This was approved as it was.

I know that the amount they are asking for is actually low, but it's the principle. If it goes legal does it just go to small claims for non payment or I there something that can be done civil? I feel harassed and the stress of this whole process has been insane. My husband tripped on the old damaged flooring and fell, he wasn't injured but could of been... It was actually proposed by the board to delay flooring installion until next year when the roof was done etc. of course this was kicked out there days before is installation again.
Ideas? It can not be a motion as indicated above, it was not approved with first and second and rather is documents as a "discussion
Amongst the board.
JonD1
Posts: 2,350
Posted:
Nicole just out of curiosity what is the amount your board now expects you to repay the HOA?

If you have faith and trust in your lawyer let them contact the board and then see what their reply might be.

This entire situation seems to have been handled poorly. And am I correct the problematic roof has yet to be repaired?

As to where this might end up impossible to sat at this point. Small claims court would be the least costly any civil action involving you and the board would quickly prove expensive to both parties.

I have to ask just what has been your relationship with the other members of the board been like? Seems to be a hard line taken with a fellow board member to now seek payment for repairs approved to be done at the expense of the HOA after the fact. With ever way this plays out how do you then plan to move forward with your service on this board without a bad taste left in everyone's mouth?

Have you spoken directly to a anyone else on the board and asked them for an explanation? As to their logic and change of heart on this matter?

NicoleO1 (California)
Posts: 181
Posted:
The amount is just short of $1000.

The roof repair has not only not been done, here it is 4 months later.. And no bids.

The board has historically been a group of hard to get alongs. I strive to get along but at the end of the day.. Our board president will do anything not to agree with me. I have one comrade on the board with me who notices this. He is one of the two males on board. Whole th acting president pathetically says anything yes too.. So when I was in a position to present inrformation.. I would have my other comrade do it and present it as his idea.. She'd go along and she has yet to prove me wrong on this method. However this is my won issue , not my comrades. I was told that they board discussed this, ( although once again nobody there is a flooring expert, not contractor ) fan felt the flooring that was placed was an upgrade. Based upon discussion. The bid and work approved have not changed, but thier minds did. Our management company also initeated the idea as stated above.
JohnC46 (South Carolina)
Posts: 14,265
Posted:
One of the problems in a replacement situation is what is a fair replacement? In the case of flooring if I choose a different color, make, etc, could it be considered an upgrade? Like selecting something better than maybe original builder grade. Even just replacing something identical could cost more today than several years ago.

The classic case is I buy a brand new car and as I pull out of the dealer's lot, the car get totaled. The insurance company is not going to pay me what I paid the dealer just a few minutes ago. It is a used car. One insurance company advertises they will do a full replacement for so long a period of time but they are also saying, that is not how typical insurance works.
BobD4 (up north)
Posts: 1,002
Posted:
NicoleO1(Cal)

1- Respectfully, what makes you certain that your pre-existing flooring had been merely "standard", or within contemplation of what the Declarent/common builder had installed at date of construction.

Or else was now defined in a standard unit by-law ?

2- Was there no release of your claim documented in the course of this DIY self-remedy ? I can guess that the whole thing was done as informally as a traffic accident where a victim party later may suffer from the informality of not filing reports . . .

3 You cite that "The roof repair has not only not been done, here it is 4 months later". Do you mean to say that rain water periodically still breaches the roof ? That really would be corporation negligence, just like an ignored but ongoing series of pinhole leaks in water lines.

Respectfully, even if a roof is a decade past its design life or reserve fund lifespan, it MAY not necessarily be negligence without an initial leak. A first-ever failure of some kind, may not be negligence. The visible condition & other indicators may undermine a first even defence.

Or are you saying that your documents or state law make the corporation a guarantor responsible "absolutely", no defence of dilgence.

4 Before you fight this "on principle", you might also consider whether or not the new flooring has revitalized the value of your unit.

It avoided your sucking up alternatively an insurance deductible if you had claimed against your own insurer for some sort of damage caused without involvement by the corporation.

Unfair it is in some ways, but respectfully do you need the hassle over $1,000 ?

BobD4 (up north)
Posts: 1,002
Posted:
erratum above : The visible condition & other indicators may undermine a first eveR defence.
JonD1
Posts: 2,350
Posted:
Thank you Nicole.

As I had suspected there existed some "tension" in your relationships with other board members.

I would like to have a chance to review the calculations the board worked through in determining your now due share of these costs.

I would agree with Bob and the possible costs of litigating this matter through the courts.
Here the going rate is $250-$300 per hour.

My concern the faulty roof has not yet been addressed. To cover the expense of repairing the floor damage before making the needed repairs to the failed roof is operating at a level of ignorance quite commonly found today.

IF this matter finds its way to court I would require your attorney address with the court the needed roof repairs and make them part of any resolution.

NicoleO1 (California)
Posts: 181
Posted:
No this has not revitalized the value of my unit My flooring was about 6 years old, I cost me $5000. This reaplcement is $5600 or so, less with some work they didn't have to do.

The board approved this, in this amount, 1 month after its installed back pedaled. My attorney says its redicuous let alone having proof of a board member who approves things without reviewing materials, then changed minds.

I am thinking a letter from the atty is a place to start. I was advised not to pay it... And there is some concern about the calculation willy nilly with no foundation of the cost, or explanation on the demand letter. There is concern there has been been no contractor from the get go. Also... Home insurance would not replace my flooring, I tried that initially. They felt based on age of roof, and lack of replacement the HOA its negligent and will not pay for a leak due to lack of maintenance by the HOA. The HOA insurance same thing. Denied claim based on above finding.. It's been ar eye opener.

ALso $1000 may not be a lot to you, it is to me, I will graciously accept a payment if you feel tis' not that much just saying".
RichardP13 (California)
Posts: 3,868
Posted:
Nicole

Correct me if I am wrong. You stated that you have emails fro 3 of the 4 Board members approving the bill.

There are two thing potentially wrong here. If, this wasn't an emergency, no vote can be taken by email. If, for some reason, this was an emergency, ALL Board members must content in writing and the vote MUST be unanimous and more importantly, that vote must be put into the minutes of the next Board meeting.

The vote and the bill at this point are VOID.
NicoleO1 (California)
Posts: 181
Posted:
Actually, the while the board did approve this via email it was also looked at during our meeting that month. IT was approved at that same meeting. I know I have focused on the email approval, that is because the bid was attached to it and reviewed by the board at that time, it was also brought in and reviewed at that very months meeting. So that is why it is confusing. I have an attorney reviewing the case, and he initial response it that it doesnt' sound like the board knows what they are approving, having second thoughts on previously approve items and that if it had to go to small claims ( which I don't want it to ) more than likely would win. Saying that makes me concerned about the other bids that have been approved.. Who approves something without looking at the details? Has second thought after the work is approved and completed then sends a demand letter for said money owed?
NicoleO1 (California)
Posts: 181
Posted:
Happy New you a to you all too!
GenoS (Florida)
Posts: 4,276
Posted:
Happy New Year to you, too, Nicole!

Do you have a copy of the minutes from that meeting? That would be icing on the cake.
NicoleO1 (California)
Posts: 181
Posted:
You know I do!! I have copies of everything.
It's really a shame that I have had this happen. It really makes me be a tad concerned about decisions moving forward and how much this group pays attention to anything?? . Horrible way to learn a lesson, horrible way to stress another board member out. I have shared my story with others in our complex who also have work pending from HOA damage leak... I dont' want anyone else to be a victim of the back peddling board, and moving forward I will ask for it in writing that the board will not come back and ask for any addiotnonal monies on a bid , action already approved if it affects me again and neighbors advised the same. This isn't confidential as it's my issue.. My bill.. I am freely sharing so it wont' happen again
BobD4 (up north)
Posts: 1,002
Posted:
NicoleO1(Cal) :

Respectfully, if you did NOT execute an arms-length agreement with the corporation to privately settle by installing whatever was installed without further contribution by you, don't be too surprised if now they do not want to pay more than the statutory minimum. That statutory minimum may be a non-upgrade.

You didn't answer some questions above, but did you sign a release of your legal claim yet ?

What might look poor is an "insider" - victim getting made whole again with more than the statutory minimum.

Looking wider, a typical scenario is victims forced to claim directly to their own insurer for upgrades & contents, having to suck up that deductible or chase the source of the loss for it, and generally go through aggravation. You're at least getting the aggravation.

Good suggestions from some commenters above, if you read them carefully.
NicoleO1 (California)
Posts: 181
Posted:
No I did not sign any waiver except if the flooring is to have further damage form leaks until the roof is replaced. That is all. However, the flooring is water resistant.. And garuantedd not to sustain damage per manufacturer policy. However the arms lengthy agreement you are talking about I am sharing with other owners who have been victim of a poorly maintained roof this year.

I am not sure how a board can agree upon installation of the presented item.... Then change thier mind after it was installed.. That is what happend.. I have bonfied proof of this. Now, if the board made an error and not only approved this not once but twice.. Then change their mind. I am going to go with the advisement of my atty at this point.. Small claims of not what kind of board back pedals after few months later and installing of approvied large scale item like this?

Discussing the few board members regarding this had proven to be a bit interesting. I am not allowed to vote obviously, but there was a lot of discussions regarding this and our management input.
NicoleO1 (California)
Posts: 181
Posted:
Quote:
Posted By NicoleO1 on 01/01/2016 9:19 AM
No I did not sign any waiver except if the flooring is to have further damage form leaks until the roof is replaced. That is all. However, the flooring is water resistant.. And garuantedd not to sustain damage per manufacturer policy. However the arms lengthy agreement you are talking about I am sharing with other owners who have been victim of a poorly maintained roof this year.

I am not sure how a board can agree upon installation of the presented item.... Then change thier mind after it was installed.. That is what happend.. I have bonfied proof of this. Now, if the board made an error and not only approved this not once but twice.. Then change their mind. I am going to go with the advisement of my atty at this point.. Small claims of not what kind of board back pedals after few months later and installing of approvied large scale item like this?

Discussing the few board members regarding this had proven to be a bit interesting. I am not allowed to vote obviously, but there was a lot of discussions regarding this and our management input.

While this may be an odd issues, there are discussions already of possibly billing back owners on damage from current leaks based on what the board feels is "appropriate" and not". I have not voted on any such action, but it is possibly going to be looked soon. Mind you, none of us are contractors, neither are our management co. I would think that it officially decifer if this is an HOA issue vs. a owner issue we'd have some sort of specialist in the area take a look. Much like plumbing we never know really who the faulty party is until the plumber looks and sees the source of the issue. What often has appeared to be an owner had turned out to be a communal pipe for example.
BruceS3 (Florida)
Posts: 33
Posted:
While I live in Florida I am curious about one thing. Are you all talking about a condominium or a home in a development? The key word being HOA.
BobD4 (up north)
Posts: 1,002
Posted:
Quote:
Posted By NicoleO1 on 01/01/2016 9:26 AM
Posted By NicoleO1 on 01/01/2016 9:19 AM
No I did not sign any waiver except if the flooring is to have further damage form leaks until the roof is replaced. That is all. . . . While this may be an odd issues, there are discussions already of possibly billing back owners on damage from current leaks based on what the board feels is "appropriate" and not". . . .

NicoleO1 :

May the Gods help us when volunteer Directors start deciding what is "appropriate". . .

If your jurisdiction empowers a Standard Unit by-law format for whatever your type of community might be & how its master insurance policy treats units, such is an opportunity to reduce inconsistency, accusations of cronyism, unfair treatments etc . A yardstick for insurable loss.

It is also a way to slope-shoulder insurance burdens if lawful, validly enacted & properly worded.

That I saw repeatedly, where Boards take what is hopefully the lawful opportunity to "lower the standard" but uniformly & consistently. And after giving current owners the fullest notice to upgrade their own private insurance coverage for what used to be "base unit" but which has now been by-lawed into an "upgrade".

But otherwise an "Insurable loss by insurable loss" response - without such standard yardstick - respectfully just invites disagreements & conflicts. . . .
NicoleO1 (California)
Posts: 181
Posted:
I guess I am confused by what you are saying.

First and foremost. My own insurance company was contacted. They came out, inspected and flat declined the claim because the reason is the HOA neglected to maintain a roof that is 10 years beyond its life and is leaking like a sieve.

I then contacted the HOA insurance who essentially said the same thing. Rain water from a poorly maintained roof is the issue of the and not a valid claim due to neglect and improper maintenance.
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Do read the Headline News article about ice dams concerning HOA not responsible for damages caused by such. I find that to be quite a reach.
NpS (Pennsylvania)
Posts: 4,216
Posted:
Quote:
Posted By JohnC46 on 01/10/2016 11:56 AM
Do read the Headline News article about ice dams concerning HOA not responsible for damages caused by such. I find that to be quite a reach.


Not much to go on in the article other than this: "It’s a curious area of the law. Although the water has come from the outside and entered your unit, the courts have ruled the result of ice dams is, essentially, a force of nature for which the association is no more responsible than mosquitoes or ants getting into your unit in the summer."

Sikubali jukumu. Read all posts at your own risk.
RichardP13 (California)
Posts: 3,868
Posted:
Quote:
Posted By NicoleO1 on 01/10/2016 10:47 AM
I guess I am confused by what you are saying.

First and foremost. My own insurance company was contacted. They came out, inspected and flat declined the claim because the reason is the HOA neglected to maintain a roof that is 10 years beyond its life and is leaking like a sieve.

I then contacted the HOA insurance who essentially said the same thing. Rain water from a poorly maintained roof is the issue of the and not a valid claim due to neglect and improper maintenance.

Do you see what you have here? It's a lawsuit.

Now the problem.

Since your insurance said the HOA should pay, BUT they declined due to someone being negligent.

NOW, you need to find a lawyer that will take this case. The problem could be, IF you were on the Board, then you would be considered part of the problem. In the case, you really would be suing yourself.

I am really shocked to see the HOA insurance deny the claim. I have seen much worst cases that they have settled.

What should have happened, in theory, is HOA insurance takes cares of the roof and the bare cost of your flooring. You r insurance picks up the cost of the upgrade. But now, the HOA insurance is saying the association is guilty of maintenance negligence. Who is responsible for the maintenance, the Association, through its BOD, which YOU happen to be a member of. Your only hope might be that you were all for making sure preventive maintenance was done and IT IS IN WRITING.
KerryL1 (California)
Posts: 14,550
Posted:
Nicole, doesn't your property mgr. try to collect on common Area insurance claims? In our HOA, Owners don't contact HOA insurance, our HOA does via our PM.

Put another way: has the HOA insurance ONLY been in contact with you? and in writing? Or has your HOA instance rep contacted your HOA via your PM or perhaps the board prez?
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Maybe this has all been covered but I say Nicole should have filed against her own insurance company and they subrogate with the HOA insurance company. What am I not understanding?
RichardP13 (California)
Posts: 3,868
Posted:
Quote:
Posted By JohnC46 on 01/10/2016 2:13 PM
Maybe this has all been covered but I say Nicole should have filed against her own insurance company and they subrogate with the HOA insurance company. What am I not understanding?

She did file with her insurance company, who filed against the HOA insurance. Both said NA DA.

Sounds like the HOA insurance is saying the association was negligent in its maintenance. How much responsibility, as a Board member, does the OP have?

That is the question.
BobD4 (up north)
Posts: 1,002
Posted:
Quote:
Posted By NicoleO1 on 01/10/2016 10:47 AM
. . . My own insurance company was contacted. They came out, inspected and flat declined the claim because the reason is the HOA neglected to maintain a roof that is 10 years beyond its life and is leaking like a sieve.

I then contacted the HOA insurance who essentially said the same thing. Rain water from a poorly maintained roof is the issue of the and not a valid claim due to neglect and improper maintenance.

To try to simplify :

NicoleO1 complains centrally that her other Board members are repudiating part of a private settlement compensation to her for flooring damage. She says she has not signed a waiver releasing the corporation from her right to be made whole again.

Sidebar private compensation was made necessary when the corporation's own master insurer :

1- understandably refused to function like a reserve fund to literally repair the roof. That is the insured corporation's funding obligation from day 1. No surprise at all.

2- But as to any victim's unit damage or also common element damage suffered from water penetration - albeit from alleged lack of roof maintenance - the master insurer we are told has further refused to compensate victims. She says the master insurer claims that its duty direct & indirect is somehow voided by what it claims is the corporation's negligence. Check the terms.

3- Lawful & contract-compliant or not in #2, we are told that the master policy dispute/denial of coverage is chain-link being set forth by NicoleO1's own upgrade/contents insurer to allegedly reject any claim to it by NicoleO1 about the leak damage. However shaky may/may not be # 2 as to damage claims, # 3 sounds very shaky.

4 But wasn't /isn't NicoleO1's complaint only that she is being short-changed by her fellow Board members' change of mind ?

If she has not signed a waiver, her claim against her corporation is presumably intact for either failure to maintain & comply with insurance or possibly if it has ignored indicators of roof failure.

( NicoleO1's own insurer's denial is disturbing, whether or not she is on the Board now. Worth getting a grip on her own policy's contents, get some legal advice or insurance advice from her broker.

This "circularity" of loss - merely slope-shouldering loss circularly within the victims' community - illustrates why in jurisdictions like mine condo master insurers are pressured to waive subrogation against individual owners ( Most declarations provide such here). But in owner policies such might not waive subrogation back against condo corporations, a vexing issue. . . )
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Quote:
Posted By RichardP13 on 01/10/2016 2:57 PM
Posted By JohnC46 on 01/10/2016 2:13 PM
Maybe this has all been covered but I say Nicole should have filed against her own insurance company and they subrogate with the HOA insurance company. What am I not understanding?


She did file with her insurance company, who filed against the HOA insurance. Both said NA DA.

Sounds like the HOA insurance is saying the association was negligent in its maintenance. How much responsibility, as a Board member, does the OP have?

That is the question.

Richard

Not to reread it all, but I thinks Nicole's insurance company said no so she went after the HOA's insurance company. I do not think her insurance company did anything but say no to her. Had that been me, my lawyer would be after my insurance company or if the end result was not worth it to me ($$$$$) than at least I would change insurance companies and be sure the next one covered me.
RichardP13 (California)
Posts: 3,868
Posted:
Quote:
Posted By JohnC46 on 12/27/2015 4:09 PM
One of the problems in a replacement situation is what is a fair replacement? In the case of flooring if I choose a different color, make, etc, could it be considered an upgrade? Like selecting something better than maybe original builder grade. Even just replacing something identical could cost more today than several years ago.

The classic case is I buy a brand new car and as I pull out of the dealer's lot, the car get totaled. The insurance company is not going to pay me what I paid the dealer just a few minutes ago. It is a used car. One insurance company advertises they will do a full replacement for so long a period of time but they are also saying, that is not how typical insurance works.

Solution is GAP insurance
RichardP13 (California)
Posts: 3,868
Posted:
John

According to Nicole, she contacted first her insurance, and then the HOA insurance.

As the owner of a management company, the first thing I do when taking on a new property is fill out an HOA Responsibility checklist, which is a two page excel spreadsheet identifying HOA/Owner responsibilities based on a thorough review of their CCRs.

When Nicole's call would have come in, I would have had her first contact her insurance company. I would send her a copy of the HOA declaration page for the HOA insurance along with the agent's name and phone number. If both insurance companies refused payment, then the HOA attorney would have been brought in to mitigate.

I have been doing this since 2011 and have NEVER had to bring an attorney in to litigate these types of matters.
NicoleO1 (California)
Posts: 181
Posted:
I can see more than a few have not read this entire thread.

#1 MY own insurance will not cover the cost of replacment of flooring because this is the fault of a neglected roof.

#2 The HOA insurance will not cover this as it is due to a neglected roof.

NO I was no ton the baord when this was suppose to be replaced. Etc..

The flooring was replaced and paid for but the HOA. I have proof of approval. The flooring was installed. NO ISSUE there.

Last month I got a bill form our HOA indicating that after my flooring was installed the baord felt it was an upgrade and damanded a partial reimbusment. THIS IS THE ISSUE. I have my case, bids and proof of approved bids being reviewed by my own atty as a favor. He feels they are in the wrong and with further investigation I will present his findings at our next baord meeting.
NicoleO1 (California)
Posts: 181
Posted:
I can see more than a few have not read this entire thread.

#1 MY own insurance will not cover the cost of replacment of flooring because this is the fault of a neglected roof.

#2 The HOA insurance will not cover this as it is due to a neglected roof.

NO I was no ton the baord when this was suppose to be replaced. Etc..

The flooring was replaced and paid for but the HOA. I have proof of approval. The flooring was installed. NO ISSUE there.

Last month I got a bill form our HOA indicating that after my flooring was installed the baord felt it was an upgrade and damanded a partial reimbusment. THIS IS THE ISSUE. I have my case, bids and proof of approved bids being reviewed by my own atty as a favor. He feels they are in the wrong and with further investigation I will present his findings at our next baord meeting.
NicoleO1 (California)
Posts: 181
Posted:
I can see more than a few have not read this entire thread.

#1 MY own insurance will not cover the cost of replacment of flooring because this is the fault of a neglected roof.

#2 The HOA insurance will not cover this as it is due to a neglected roof.

NO I was no ton the baord when this was suppose to be replaced. Etc..

The flooring was replaced and paid for but the HOA. I have proof of approval. The flooring was installed. NO ISSUE there.

Last month I got a bill form our HOA indicating that after my flooring was installed the baord felt it was an upgrade and damanded a partial reimbusment. THIS IS THE ISSUE. I have my case, bids and proof of approved bids being reviewed by my own atty as a favor. He feels they are in the wrong and with further investigation I will present his findings at our next baord meeting.
RichardP13 (California)
Posts: 3,868
Posted:
Nicole

I am assuming you reside in a condo, therefore what the HOA was required to pay for the flooring was standard flooring, not an upgrade. You HO-^ policy should have covered the upgrade, that is one of the purposes of the policy.

Has the roof been fixed?

Were any of the current Board members around while the roof was being "neglected"? If so, I would have your attorney discuss litigation on behalf of "other" owners who might be or soon to be in your same boat. They may be personally responsible if the insurance company has said in writing that the damage was caused by actions they took or not took to properly maintain the roof.

I also wonder why, if the insurance knows you aren't properly maintaining your building, why are they continuing to insure your HOA and take your money? Something doesn't sound right.
KevinK7 (Florida)
Posts: 1,343
Posted:
I think everyone is missing the main issue here. It isn't about whose insurance pays what or who neglected what and when, or what is standard versus what is an upgrade. The main issue is this: the HOA agreed to an action, paid for the service, and then after all was said and done decided they spent too much and demanded a refund. It doesn't make a difference if this was a higher quality flooring material than what was previously installed. The HOA agreed to the new flooring.

Think of it this way. You cannot hire a company yourself, sign a contract for a service, and then afterwards tell that company you need a refund for the amount you believe you overpaid.

In my opinion, the HOA has no leg to stand on. They can argue all those other points but a contract is a contract. You may have to fight this one in court because if the board is demanding repayment for their buyer's remorse, then I wouldn't put it past them to take other dubious actions
GenoS (Florida)
Posts: 4,276
Posted:
I think KevinK7 summed it up well. The board wants to un-ring the bell.
NicoleO1 (California)
Posts: 181
Posted:
Quote:
Posted By KevinK7 on 01/11/2016 5:03 PM
I think everyone is missing the main issue here. It isn't about whose insurance pays what or who neglected what and when, or what is standard versus what is an upgrade. The main issue is this: the HOA agreed to an action, paid for the service, and then after all was said and done decided they spent too much and demanded a refund. It doesn't make a difference if this was a higher quality flooring material than what was previously installed. The HOA agreed to the new flooring.

Think of it this way. You cannot hire a company yourself, sign a contract for a service, and then afterwards tell that company you need a refund for the amount you believe you overpaid.

In my opinion, the HOA has no leg to stand on. They can argue all those other points but a contract is a contract. You may have to fight this one in court because if the board is demanding repayment for their buyer's remorse, then I wouldn't put it past them to take other dubious actions

YOU GOT IT!!

I read this thread and was just shaking my head.. Somehow my who story got changed around! SOme pay little to no attention to the real issue and some it up with what they think tis' all about.. Kinda like my board did!
RichardP13 (California)
Posts: 3,868
Posted:
To the OP

If this had been a regular homeowner in your community, would this have been handled in this manner? The association's obligation as per their insurance policy, if it would have paid out, would be to replace the floor with standard and have the homeowner paid for the upgrade either out of their pocket or through their insurance.

Maybe someone told them they erred. It wouldn't be the first time a Board changed their decision, nor will it be the last. The OP is responsible for the upgrade.

The HOA would have a leg to stand on, because, as Nicole stated, the Board improperly voted on the issue by email, when it wasn't an emergency. I think it's called a do-over.

There are many more issues, but that will do for now.

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