Board Member Requirements

Started by DawnL6 • 27 replies • 329 views

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DawnL6 (South Carolina)
Posts: 226

Posted:

A member on our board of directors was a former physician,who relinquished his license to avoid trial in 2015.
The lady that works inour office was a former real estate agent whose license was also relinquished for misconduct never to practice real estate in the state again.
Should the board of directors run a background check prior to seat?

MelissaP1 (Alabama)
Posts: 13,836

Posted:

The only requirement for Board member or even member, is to be an owner. Name is on the lease. A board member does have to be voted on. Some HOA's require must be in "good standing" with no owed dues/assessments.

You don't even have to be able to walk and chew gum to be a HOA member if your name is on the title.

So stop trying to dig up the "dirt" on the people. It's not very flattering. When the tears flow that dirt turns to mud...

Former HOA President

DawnL6 (South Carolina)
Posts: 226

Posted:

Thank you Melissa p.what about an owner that had bought 2 units years ago and sold those units and name is not on title at deeds office now,not showing him the owner?

DouglasK1 (Florida)
Posts: 2,046

Posted:

Is there anything in your governing documents about director requirements? Unless those docs or state law have prohibitions, then I don't think the association can impose arbitrary requirements. Most of the limitations I've seen have to do with convicted felons, not people who have lost business licenses.

Escaped former treasurer and director of a self managed association.

MelissaP1 (Alabama)
Posts: 13,836

Posted:

I meant not LEASE. I meant TITLE. You can find out by the Tax office who may own the place. Although they are not always most up to date. There can be a few months difference due to filing time lines.

If your still developer controlled, that is different. May not have to be an owner/member. That is another can of worms.

No one says a criminal charge prevents you from being on the board if you qualify. That is being an owner and voted in.

Former HOA President

DawnL6 (South Carolina)
Posts: 226

Posted:

Yes..I thought u meant title..it shows he sold both units a few years back but now is not on title as owner.

DawnL6 (South Carolina)
Posts: 226

Posted:

And is not married,I don't believe.the purchaser paid expected amount as to reasonable pricee

DawnL6 (South Carolina)
Posts: 226

Posted:

If no requirements are in place,would you personally want a professional licensee whose license was relinquished for misconduct to serve on the board?could this be a potential liability?

DawnL6 (South Carolina)
Posts: 226

Posted:

If no requirements are in place,would you personally want a professional licensee whose license was relinquished for misconduct to serve on the board?could this be a potential liability?

CathyA3 (Ohio)
Posts: 6,299

Posted:

Homeowners can vote for whomever they want, for whatever reasons they want. If your bylaws are silent about requirements for serving on the board, then homeowners themselves can decide that they won't vote for anyone whose past conduct suggests possible trouble in the future. That seems reasonable and responsible.

FYI: as far as professional licenses go, there are many reasons people can lose them that have nothing to do with bad behavior. My state and federal securities licenses have expired because I'm no longer affiliated with a brokerage firm - it happens to folks who change professions or retire. A lost or expired license is a sign that you need to dig for more information, not that there is necessarily a problem.

SheliaH (Indiana)
Posts: 6,964

Posted:

That's not necessarily related to his or her performance On the board. by your logic, maybe we should also eliminate people who let their dogs crap all over the place or blast their stereos at 2 am? Or will not shut up during resident forum, droning on and on about things that have long been settled or no one cares about anyway. Do YOU want to be represented by windbags or people with no sense of decorum of personal hygiene??

Maybe we can avoid all of this by doing criminal and background checks on potential buyers? Was your car repossessed? Are you squandering the child support at the club or casino? Did you get busted for speeding when you were 17 and crashed the car into a tree? Too bad, no condo for you!

I'm not suggesting you ignore certain behavior, but people have dualities, including you (whether you realize or want to admit it is another story.). Two things can be true at the same time - there are people on boards with the personality of a rattlesnake, but they're also amazing board treasurers who work hard at keeping the board within budget.

If you're uncomfortable with this person on the board, you don't have to vote for him or her, but I think the totality of the person is more important, along with his/her evolution. People ARE capable of changing for the better - or become more horrible as the day goes on. Sometimes they hide it so well no one knows what's really going on until it's too late. That's why you keep an eye on all the board members - their conduct when running the association will say a lot if you listen.

If it is not right do not do it; if it is not true do not say it. Marcus Aurelius

CathyA3 (Ohio)
Posts: 6,299

Posted:

Forgot to mention: the board should talk to their insurance agent about this. Yes, there is potentially a liability risk if a convicted felon is on your board - or your HOA may lose their insurance coverage altogether.

The board should also have a talk with the association's attorney. The obvious course of action would be to amend the bylaws to address the liability risk, but you have to be careful that you don't violate any state or federal laws that may apply.

DawnL6 (South Carolina)
Posts: 226

Posted:

Yes.anf thank you.thelicense was taken for misconduct.

AugustinD
Posts: 3,698

Posted:

Quote:

Posted By DawnL6 on 03/17/2022 2:06 AM
A member on our board of directors was a former physician,who relinquished his license to avoid trial in 2015.
The lady that works inour office was a former real estate agent whose license was also relinquished for misconduct never to practice real estate in the state again.
Should the board of directors run a background check prior to seat?

-- I do not think a background check would reflect professional licensing problems.

-- From the chatter at another thread, I believe you are well aware that in South Carolina neither a real estate license nor what is known as a "property manager's license" is required to be a manager. In my opinion your credibility is hurt by not owning your awful mistake in telling others that this COA manager was breaking the law because such-and-such professional license was suspended. You were wrong. Very wrong.

-- During election and campaign season at your COA, you can say anything you want that is factual and public record and likely get away with it. Though some people will not take kindly to you investigating others' past, especially when their past has nothing to do with service on a board or as a manager.

-- I get that you are unhappy with these people. But I think your methods to date need some fine tuning and more thought.

Two cents.

DawnL6 (South Carolina)
Posts: 226

Posted:

Yes.anf thank you.thelicense was taken for misconduct.

DawnL6 (South Carolina)
Posts: 226

Posted:

Yes Augistine,you right.it might not.thank u.

MelissaP1 (Alabama)
Posts: 13,836

Posted:

Apples and oranges. One does not relate to the other. Not required to have a license then why worry? They are not selling or buying real estate in role of PM. A HOA is a corporation. It is not in the. Business of real estate unless your a developer. Once your owner owned not much related to real estate.

Think that confuses people. A HOA is a corporation made up of homeowners. That does not mean it is Real Estate. It manages the corporation not selling or buying of real estate.

Just because the person has license revoked does not make it a reason to bad mouth or slander them.

Former HOA President

BillD16 (Texas)
Posts: 971

Posted:

Quote:

AugustinD pointed this out a few months ago:

PROPERTY CODE
TITLE 11. RESTRICTIVE COVENANTS
CHAPTER 209. TEXAS RESIDENTIAL PROPERTY OWNERS PROTECTION ACT

Sec. 209.00591. BOARD MEMBERSHIP. (a) …
(b) If a board is presented with written, documented
evidence from a database or other record maintained by a governmental law enforcement authority that a board member was convicted of a felony or crime involving moral turpitude not more than 20 years before the date the board is presented with the evidence, the board member is immediately ineligible to serve on the board of the property owners’ association, automatically considered removed from the board, and prohibited from future service on the board.

I don’t know if any other states have similar verbiage in their statutes.

BillD

HOA Board ex-President
Austin, Texas USA

“You can’t put too much water in a nuclear reactor”

MelissaP1 (Alabama)
Posts: 13,836

Posted:

What type of background check and who is going to do it? It costs money to run a background check or time. A criminal one is a bit limited in scope in some cases. It may only check for county or state.

A HOA is not allowed to have anyone's social security number. Know would never give mine out. So a financial check may not be feasible. Plus it costs money. Something that not every HOA has to do.

Losing a license is not a criminal make. It does not make much use or sense to do background checks on fellow neighbors.

Former HOA President

DawnL6 (South Carolina)
Posts: 226

Posted:

Yes..our laws do not state this..interesting.thank you.

DawnL6 (South Carolina)
Posts: 226

Posted:

Yes.the information came from labor, licensing and regulations division.it is a public sit

BenA2 (Texas)
Posts: 1,273

Posted:

Quote:

Posted By DawnL6 on 03/17/2022 4:50 AM
If no requirements are in place,would you personally want a professional licensee whose license was relinquished for misconduct to serve on the board?could this be a potential liability?

There are many reasons I might not want someone on the board. Losing one's professional license is a civil matter that probably does not disqualify them from serving. Whether or not they should serve on the board is up to the voters.

Some states prohibit people convicted of certain crimes from serving on the board but if your governing documents or state law does not prohibit it, you cannot prevent someone from running and serving.

DawnL6 (South Carolina)
Posts: 226

Posted:

Yes I know sheila.i was sent a email by office manager and was mistakenly sent that board members response to office manager accidently by her.he was making fun of my disability.and yes,I was hurt by this,even though I have never met any of the board members or the president.

MelissaP1 (Alabama)
Posts: 13,836

Posted:

What do mean making fun of? That is a pretty wide range. I tell people going open up a school for people who do not read well. Is that making fun of people with reading disabilities? Or a quote from Zoolander?

Former HOA President

DawnL6 (South Carolina)
Posts: 226

Posted:

I hope you don't tell the people that's having trouble reading that.believe me,he was making fun.

MelissaP1 (Alabama)
Posts: 13,836

Posted:

Just like I did? That is a movie quote...

Former HOA President

DawnL6 (South Carolina)
Posts: 226

Posted:

Glad to hear that.lol.

DawnL6 (South Carolina)
Posts: 226

Posted:

No.its not up to the voters here.board appoints them.

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