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CCR's Interpretation - Can a husband and wife be on the board of directors at the same time

Started by DonnaB1710 replies • 2419 views

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DonnaB17 (Florida)
Posts: 2
Posted:
This is in our CCR's:
Declaration: Article III, Section 2. Voting Rights. …Class A Members shall be entitled to one (1) vote for each Unit in which they hold the interest required for membership in Section 1. When more than one person holds such interest or interests in any Unit, all such persons shall be Class A Members, and the vote for each Unit shall be exercised as they, among themselves, determine; but in no event shall more than one (1) vote be cast with respect to any Unit.
Can someone interpret this from our CCR's? Can a husband and wife co-owners for a Townhouse community with units be on the board of directors at the same time? I live in Florida and the statue 720 is silent on the issue. "It states that the Bylaws would control. Most homeowners' association bylaws do not contain a prohibition against co-owners simultaneously serving on the board. Rather, what you will usually see is a provision that states that only property owners (and sometimes their spouses) can serve on the board. In such a case, a husband and wife could sit on the board at the same time." This is from the Florida Condo and HOA Law Blog. Please clarify.
FredS7 (Arizona)
Posts: 927
Posted:
PROBABLY that excerpt concerns voting by the association for members of the board. If so, it says nothing whatever about who can be a member of the board.

Personally I think it inadvisable for both husband and wife to be on the board, and I would vote against one of them if it came up in my association. HOWEVER often there is a shortage of people to run for the board.

SheliaH (Indiana)
Posts: 6,964
Posted:
It looks to me like there's one vote per unit, period. If the unit is owned by more than one person, they have to decide among themselves who casts the vote. Therefore, if you have a husband and wife who co-own the unit, only one of them get to serve (as co-owners, they can't cast half a vote to equal one).

Our Bylaws have similar language and we remind people of this when we send out proxies for our annual meeting. You could ask your association attorney to clarify - any time you want legal advice, this is what you should do. In this case, it would appear one of them will have to step down and the other serve (or vice versa - or they both step down and you get someone else.)

If it is not right do not do it; if it is not true do not say it. Marcus Aurelius
KerryL1 (California)
Posts: 14,550
Posted:
I usually agree with Sheila, but this time, as Fred hints, all your CC&R is saying is that there only is one vote per unit by members (Owners) This is solely about elections when ALL h'owners may vote. Generally they're voting for directors or sometimes to amend their governing documents. It's just like ours. It has nothing to do with WHO may serve on the Board.

Who may serve on the Board is an entirely different topic. Qualifications are generally found in your Bylaws (but maybe your Articles) which might say members of the board of directors must be owners of record. There may be a few other qualifications. So co-ownrs could both serve on the board and vote IN THAT CONTEXT, when ONLY the Board votes as board meetings---not all units. The trouble here is that nowadays only one owner's name may appear as an LLC or trustee. Then one might argue the owner whose name isn't on record may not serve on the Board. This actually has been discussed a few times on this forum.

RichardP13 (California)
Posts: 3,868
Posted:
Donna

The qualification for a Board member would be found in the Bylaws, not the CCRs. Even though the CCRs say each unit get but one votes, unless the Bylaws specifically say differently, co-owners may serve on the Board at the same time. Currently, I represent a Board that both the husband and wife serve on the Board.

I don't agree with the policy as each unit may have a 1/100 vote in an association election, that same unit has a 40% voting share in the affairs of the association, sometimes as high as 67% if only a Board of three.
JohnC46 (South Carolina)
Posts: 14,265
Posted:
I agree with others. Though I personally do not like it, a husband and wife could serve together on the BOD unless the Bylaws specifically/directly say otherwise.
DouglasK1 (Florida)
Posts: 2,046
Posted:
As another data point, our bylaws don't even require directors to be members. I assume that was put there by the developer to cover the case while he was still in control, but we've never changed it. I have a hard time seeing a non-owner getting elected anyway.

As others have said, unless prohibited by your governing docs or state law, co-owners can be on the board. It's up to the members at the election to decide if they actually want that.

Escaped former treasurer and director of a self managed association.
DouglasK1 (Florida)
Posts: 2,046
Posted:
I looked into this a bit further. Assuming yours is a condominium association governed by Florida Statute 718 rather than an HOA governed by 720, this could apply:


In a residential condominium association of more than 10 units or in a residential condominium association that does not include timeshare units or timeshare interests, coowners of a unit may not serve as members of the board of directors at the same time unless they own more than one unit or unless there are not enough eligible candidates to fill the vacancies on the board at the time of the vacancy.

Paragraph 718.112 from http://www.leg.state.fl.us/Statutes/index.cfm?App_mode=Display_Statute&URL=0700-0799/0718/0718.html

Escaped former treasurer and director of a self managed association.
DouglasK1 (Florida)
Posts: 2,046
Posted:
Sorry about the addn'l posts, no edit function here.

I see from the OP you reference FS 720, are you sure you fall under than rather than 718? I'm not aware of any coowner restriction in 720.

Escaped former treasurer and director of a self managed association.
DonnaB17 (Florida)
Posts: 2
Posted:
Yes, we are a Townhouse Community and fall under the 720 Statue. I found that information from the Statue 718 for condos. Couldn't find any information on the 720 Statue.
JanetB2 (Colorado)
Posts: 4,219
Posted:
I personally do not agree with two from one unit on BOD for reasons stated by Richard above ... it gives too much voting power to one unit and not really fair and equitable. I would recommend the HOA try to change bylaws to implement similar verbiage as what FL has for Condos as noted in this article:

"The Florida Condominium Act specifically provides that while any unit owner is eligible to serve on the board (subject to certain instances in which individuals are disqualified, such as financial delinquency), co-owners of a single unit may not serve as members of the board of directors at the same time. However, co-owners may serve at the same time if they own more than one unit.

As with most rules, there is an exception. Co-owners of a single condominium unit may also simultaneously serve on the board if there are not enough eligible candidates to fill all vacancies on the board at the time of the election to fill a vacancy."

http://www.floridacondohoalawblog.com/2016/01/articles/qa/can-husband-and-wife-serve-on-the-board-at-the-same-time/

Maybe at some point FL will change the HOA Statute to have similar language, but until then this would be an option.

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