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DeanA
Posts: 5
Posted:
Has anyone had experience with a director that shows their bias? I am a director and board executive; another director has bent the rules when it comes to residents that are his supposed friends while being inflexible or suggesting punitive actions against those that are not his friends.

We had a recent incident at a clubhouse gathering which the director was present. He told or suggested that a resident leave while a former resident who was causing the issue was not asked to leave. He identified the former resident as a friend. The excuse for non-action by the director was he was "not wearing his director hat that night.

This was brought to the board and afterwards the other director asked for all the emails I received when I asked the residents for their accounting of the incident. When I told him I would not share those without asking the sender fr their permission he stated that he would get them himself as they were all close friends except for one resident whom he added a mild derogatory description.

In my opinion, this director showed his bias in this email that went to 2 board members and as part of the HOA record puts the HOA in some legal jeopardy should any opinion, vote or business with any of these residents not be completely objective and fair.

Would be appreciated if othes could comment as I feel this must be dealt with to avoid a potential legal problem but I also don't want to over react.

During this same board meeting we did have to explain about the proper behavior a director needs to maintain with residents, vendors and especially volunteers. He has a pattern of not understanding limitations, especially if he can do something to win favor with residents. Our by-laws allow for the removal of an officer without cause or notice, which I have discussed with the other directors. So we have a potential remedy and given this recent show of bias I wanted to better understand how others might view this before suggesting we remove him.

Appreciate your input
SheliaH (Indiana)
Posts: 6,964
Posted:
Did the board game a formal vote to investigate the matter? If so, was a specific person or persons appointed to lead the investigation? If so, and You were one of them , you must share that information with your colleagues (all of them) and have no right to withhold that information.

What should have happened is for the investigators to meet in person with the witnesses to testify as to what they saw, minus the namecalling. They could then prepare a written statement and after all information has been gathered, the board could determine what happens. To keep things fair, the board should appoint homeowners who weren't There and don't have beef with the director or either resident. Perhaps the association attorney could supervise the investigation.

There probably needs to be another executive session where this can be disci. This time you need to call the other director on his behavior. Don't get personal - present factual information and ask for a vote to censure that director. If the director is also an officer, you could remove him from that position.

You won't be able to remove him from the board - the homeowners have to do that through voting him out at the next election of recall. Or he may get really missed off and resign. HOwever, that might lead to an us vs. Them situation,so the board will need to focus on association issues and continue to try and treat everyone fairly.

If it is not right do not do it; if it is not true do not say it. Marcus Aurelius
GeorgeS21 (Florida)
Posts: 3,808
Posted:
Shelia, my understanding is that some bylaws and states allow removal of board members by board vote - can't put my fingers on where I saw this, though.

To the OP - this sounds like politics. IMO a director witnessing an altercation is obviously not directly acting as a board member - unless it is a board meeting, or some official meeting.

If you wanna get rid of the guy, post what your Bylaws say about removal of a director - you'll get more informed advice that way.
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Dean

As George said. The Director was not functioning in an role as a Member of the BOD. Thus I say it is none of the BOD's business.
DeanA
Posts: 5
Posted:
Appreciate the comments. To clarify, our covenants do allow for removal of an officer without cause or notice. This individual is the HOA VP. It would take a vote to remove a director which is not being considered at this time.

My concern is that by stating his bias in an email to two other HOA executives and that email possibly could be considered board business and open to members that it has created some legal jeopardy, his votes or actions could be questioned as being biased.

Both our convenants and NC law require us to apply rules and actions equally to all home owners. He has already shown some bias in his attitude toward some residents and bending the rules for some others; nothing significant thus far, not something that could be well documented but a pattern.

I am concerned his email has put us in a corner, perhaps a written warning would suffice. I personally feel he should not be permitted to vote or be involved with any residents that he signaled his bias toward in the email so any decisions going forward could not be challenged and we show the board took action to prevent bias.

Again, appreciate the feedback. This director has caused a number of issues but an over reaction is not good for the community

Thanks
AugustinD
Posts: 5,144
Posted:
Quote:
Posted By DeanA on 08/17/2020 4:53 AM
Appreciate the comments. To clarify, our covenants do allow for removal of an officer without cause or notice. This individual is the HOA VP. It would take a vote to remove a director which is not being considered at this time.
Do your HOA's/Condo's governing documents allow the board to remove a director by a vote of the Board?
DeanA
Posts: 5
Posted:
No, the board can remove an officer with a simple majority vote by the board but he would remain a director. A 66 2/3 % vote by the community is needed to remove a director, he would have voting rights but his oversight of HOA activities would be reduced to next to nothing. He has caused some additional issues and would be advised to resign as it would be best for everyone.

I should mention that the majority homeowner is a national builder. The declarant turned over the community to the owners last year and this builder purchased most of the undeveloped lots. They have 3 seats on the board while the community has 2.

Thanks for responding

JohnC46 (South Carolina)
Posts: 14,265
Posted:
Quote:
Posted By DeanA on 08/17/2020 10:58 AM
No, the board can remove an officer with a simple majority vote by the board but he would remain a director. A 66 2/3 % vote by the community is needed to remove a director, he would have voting rights but his oversight of HOA activities would be reduced to next to nothing. He has caused some additional issues and would be advised to resign as it would be best for everyone.

I should mention that the majority homeowner is a national builder. The declarant turned over the community to the owners last year and this builder purchased most of the undeveloped lots. They have 3 seats on the board while the community has 2.

Thanks for responding


Are you saying you are still under Declarant control? Sounds like you are.
DeanA
Posts: 5
Posted:
It is a little confusing as the community has had 4 declarants, all but one went bankrupt and one went to jail. All before my time and never disclosed before we bought a home.

Currently we have no declarant, the builder purchased the undeveloped lots and became the majority voter through that purchase. They've been good partners and will be out of here by next year. They were in favor of removing him as an officer but we collectively decided it would be best to have a formal discussion with him during a working sessions of the board last week and see if he would change his behavior.

Apparently this director (also a resident) did not like what was said during the board meeting and in the email sent the following day is where he displayed his bias regarding other residents involved at an incident. I feel this puts any vote he has cast or any decision he was a part of into some jeopardy.

It is understood that as a resident directors can have friends and not like some other residents. The open display of bias to other board members is the main concern

Thanks
DeanA
Posts: 5
Posted:
Just to answer this post, the concern is not so much the behavior at the incident but rather if expressing bias to two other board members puts board actions in jeopardy. in writing

Thanks
KerryL1 (California)
Posts: 14,550
Posted:
I really don't know, but it does not seem to see that a director's email remarks criticizing an owner to two other directors can jeopardize the whole Board. How many are on your board, btw. If three are not a quorum, it is not Board "business."

Even if three are a quorum in your HOA, what is the concern? Defamation? I have to say, I'm a little lost.

I'm also puzzled about why you emailed some residents for their accounting of the clubhouse incident? Did the rest of the Boar ask you to email them? Sorry I'm kinda dense here.
ND (PA)
Posts: 792
Posted:
Seems a little extreme to seek to remove him as an Officer after what seem like a couple of minor situations. If you do try and remove him as an Officer, that's all the Board can do on their own, but it won't remove him as a Board Member . . . where he will still be a decision-maker.

I suggest just calling him out on his actions and request that he be unbiased in his actions and decision-making. You could threaten further action if he continues doing what he is doing. But when it comes to decision-making, all things are a Board decision. Other Board Members' votes should be able to easily defeat his vote (if it is contrary to what is proper), thus negating his position on decisions.

But if what he is doing is continually putting things into a precarious position, then you can work to remove him from his Officer position, and then from the Board completely.
ND (PA)
Posts: 792
Posted:
Seems a little extreme to seek to remove him as an Officer after what seem like a couple of minor situations. If you do try and remove him as an Officer, that's all the Board can do on their own, but it won't remove him as a Board Member . . . where he will still be a decision-maker.

I suggest just calling him out on his actions and request that he be unbiased in his actions and decision-making. You could threaten further action if he continues doing what he is doing. But when it comes to decision-making, all things are a Board decision. Other Board Members' votes should be able to easily defeat his vote (if it is contrary to what is proper), thus negating his position on decisions.

But if what he is doing is continually putting things into a precarious position, then you can work to remove him from his Officer position, and then from the Board completely.

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