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MichaelK11 (Texas)
Posts: 432
Posted:
This has been an issue for my HOA, recently. Some of you may have noticed my threads about our lawsuit, retroactive dues adjustments, rigged elections, yada, yada.

A side issue is what the BoD can say and what they can put to writing:

The BoD meetings are largely occupied by presentations of lawsuit status. At the July meeting, Directors exclaimed how we are wining battles and read from Court documents that I think obviously say something entirely different. The treasurer finally reported that we have actually spent over $90,000 (well over our annual budget) and there would need to be an assessment.

The minutes provided at the August meeting, stated only that the treasurer reported on the lawsuit expenses, the lawsuit was discussed, the BoD fielded questions, Directories will be delivered, July 4th activity was held, ACC reported requests, etc. They stated that there will be adjusted assessments for 2009 dues, which they did explain when presenting the July minutes in August, but this was not what they actually said at the July meeting.

In short, they glossed over a lot of the most significant details, including the $90,000 figure.

There was also a complaint from a homeowner who has run an email list for the community for the past several years. This was not an official email list – she sent city notices, crime watch notices, monthly police summaries, and notices of BoD meetings. Many of these were just provided on request of the author. She has been an avid supporter of the BoD and the lawsuit and an opponent of the homeowner being sued, but she never used the email list as a pulpit – only for meeting announcements and BoD communications when requested.

This homeowner announced abruptly that she was stopping the email list a few weeks ago. No explanation was given. I assumed it was due to time constraints or perhaps health, although her son-in-law said they were fine. At the August BoD meeting, she said that after the July meeting she had requested a summary of one of the Court documents over the BoD had gushed and pontificated. She wanted to send the Court document and the BoD's explanation to the email list. She felt that too many homeowners really did not understand what was going on – what the lawsuit was about and what was really happening. She did not want to send a legal document by itself – she wanted something in plain language that she could send with it.

She had been rebuked. She read from an email, in which the President told her they could give her a summary, but only for her own use. She could send the document only to personal friends, not to the general email list. She must make it clear that this was not from the BoD or the HOA. She did not think this was fair. She protested by dropping the email list.

In short, the BoD is being careful not to put anything in writing.

Prior comments suggested that documents should not be concealed or destroyed, and that minutes should be informative and records provided willingly. In general I hold to this myself. But while I think the lawsuit is misguided and foolish, I think our BoD has right and reason to be discrete.
GlenL (Ohio)
Posts: 5,491
Posted:
While I would have included the cost of the lawsuit in the minutes they look fine to me. Minutes are only a record of what happened not a transcript of every word said.

Studies show that 5 out of 4 people have problems with fractions
MicheleD (Kentucky)
Posts: 4,491
Posted:
Not surprisingly, I find nothing wrong with your minutes, other than, I believe they actually go further than most minutes should.

As Glen pointed out, minutes are only a record of what happened, not a transcript or even a summary of what was said. Our minutes ONLY include motions that were made and the results of the vote.

I also find nothing wrong with the Board not wanting to send out a "summary" of the lawsuit in writing through an unofficial mailing list that is most likely perceived as an official one.

The lawsuit is not over. There's a reason MOST organizations and individuals do not comment for publication on active lawsuits.

Keeping the membership informed is one thing, but putting into a quasi-official venue one side's interpretation, not drafted by a lawyer, I find somewhat irresponsible, at least until the lawsuit is over.

If there were a mistake or a factual error of some kind, and it was "published" through your community's typical communication channel, they may jeopardize the lawsuit.

I don't find it suspicious, rather I think it's prudent.

SusanW1 (Michigan)
Posts: 5,202
Posted:
What stage is this assessment request at?

The members deserve an on-ging, COMPLETE report about the lawsuit, including all costs associated with it.

Not discussing the case has nothing to do with out of control expenses that now the board want to increase fees.

The members need to know the status of the case and all expenditures.

RobertR1 (South Carolina)
Posts: 5,164
Posted:
To all,
I suggest that if we take the posting by the OP as gospel, and I see no reason not to, then, I don't have a problem with what the minutes said. BUT.................

If you are going to ask the members for a special assessment, you have to make a statement of why. According to the OP it is the court case and the money spent. So, the BOD is obligated to state how much money was spent for what, what the money provided, and why the need for a special assessment. Now if you can provide that without explaining the status and progress of the court proceedings, then do it.

What is this stonewall policy of the Board to not be transparent. I can hear it know, legal this and legal that, it would jeopardize the Boards integrity. All valid considerations but folks facts are facts, you can not ask for a special assessment unless you explain why.

As far as the lady running an e-mail list of members of the association and the Board disowns it, why that kind of re-action to pay her for her efforts over the years?

It's her list for God's sake, she can do with it as she likes. Are you going to go out and arrest every person for having an e-mail list? That's silly, and could well come back and bite the Board, The Board should have long ago established an official web site and then they could put what they want on there, and they could even explain this special assessment under a members section.

I think the Board has worked themselves into a bind, and are entrenching because they feel vulnerable from past history.

They have spent all this money on lawyers and they can't get one of the lawyers to draft a statement about the case and write a legal justification to support a special assessment...........???? How limp is that?
MicheleD (Kentucky)
Posts: 4,491
Posted:
Robert, I don't think anyone was asking her to pay for the list.

They simply did not want to give her a document discussing/detailing the lawsuit so she could mass mail it to the list.

She voluntarily dropped it (the list), apparently, at that point.

TracieS (Colorado)
Posts: 460
Posted:
Quote:
Posted By RobertR1 on 08/14/2009 6:18 AM
To all,
I suggest that if we take the posting by the OP as gospel, and I see no reason not to, then, I don't have a problem with what the minutes said. BUT.................

I think the Board has worked themselves into a bind, and are entrenching because they feel vulnerable from past history.

They have spent all this money on lawyers and they can't get one of the lawyers to draft a statement about the case and write a legal justification to support a special assessment...........???? How limp is that?

I completely agree. I wonder if there's anyway to allow the board to drop this while saving face, and in the process, saving the homeowners almost $100k. Outstanding wording, RobertR1 - entrenching... I think it's exactly what they're doing.

Also, how are they going to get the lawyer to draft anything, when it's going to cost the HOA even MORE money! I know, they *should* be more open, but... (Kind of making a joke...)

I wonder how I would be if I were a BOD in that situation. It does give me pause. Would I take the lawyer's word as gospel? Would I try and stick it to the homeowners just because I've come too far and I can't back down now? For all us BOD members, I do think this is a cautionary tale...
TracieS (Colorado)
Posts: 460
Posted:
Quote:
Posted By MicheleD on 08/14/2009 6:42 AM
Robert, I don't think anyone was asking her to pay for the list.

They simply did not want to give her a document discussing/detailing the lawsuit so she could mass mail it to the list.

She voluntarily dropped it (the list), apparently, at that point.


I don't think RobertR1 meant anything about actual money... I *think* it is more of a "and this is how the BOD repays her for her long-standing support and her volunteering to kind of "unofficially" keep homeowners in the loop."
JonD1
Posts: 2,350
Posted:
Its amazing to me that with no details or knowledge regarding this lawsuit folks here seem comfortable discussing what should be done and how it should handled.

Perhaps the Board is acting in what they think are the best interests of the property. Is that even possible?

Now it is suggested this matter be settled? Based on what? The cost alone?

They spent $90,000 on something do we have any idea what?

Well no. But that doesn't prevent some with finding fault.

And YES (despite the inability of some to understand) legal issues require careful handling even if that means some of the "homeowners" aren't made aware of ALL the details.

This lawsuit involves a homeowner on property perhaps it would be best not to make THEM aware of the "status" of the case?

Now this woman wants the Board to provide her a "statement" to accompany legal documents for her to e-mail out.

Perhaps since this matter is not settled advice has been given this is not prudent?

Just maybe the members of the Board are aware of what is going on and those of us who know little should consider our words carefully BEFORE making judgements.

Until such time as you are provided all the details as to what is potentially at risk for this property in this suit I would think it hard if not impossible to question the actions of this or any other Board.

MicheleD (Kentucky)
Posts: 4,491
Posted:
Quote:
Posted By JonD1 on 08/14/2009 7:24 AM
This lawsuit involves a homeowner on property perhaps it would be best not to make THEM aware of the "status" of the case?

Now this woman wants the Board to provide her a "statement" to accompany legal documents for her to e-mail out.


Aside from the fact that I agree completely with every word in your post above, this particular comment is important.

Let us not forget that the homeowner in question, AND HIS WIFE, are both attorneys. And apparently the Mike Tyson's of the legal world.

MaryA1 (Arizona)
Posts: 7,043
Posted:
JonD,

Agreed! Also, it should be noted that the BOD is most likely bound by attorney-client privilege. Perhaps what little they have informed the members of is ALL they are legally able to say regarding this on-going litigation. I think the BOD needs to be given some slack -- they are the only ones who know the whole story at this point. Michael might "think" he knows the whole story, but unless he's the defendant or a member of the board (neither of which I think he is) I would venture to say that most of what he "knows" is heresay.
MichaelK11 (Texas)
Posts: 432
Posted:
Glen, I pretty much agree with you -- this seems reasonable to me.

I would like to see more highlights, and I think they should have accurately reported in the minutes what they said about a special assessment, rather than change the minutes to reflect their later decision to change the dues retroactively.

However, I am not asking for a detailed representation, and I suppose it's up to the Secretary how much to include.

Susan,

The assessment is at the same stage as a month ago. As I reported earlier and above, they decided to call it a dues change; but as of two days ago when I spoke with a Director, they have not yet met to determine the date and amount.

I agree that the Members need to be more fully informed and kept up-to-date. The BoD needs to report more accurately at BoD meetings and distribute regular updates to the Membership at large. Since they are not all on the email list (I would speculate perhaps a third to a half of almost 300 Members), that requires mailings. I don't think the BoD needs to send out monthly mailings. Once a quarter, timed to closely follow major events, should be sufficient. If they make the Members aware of this, then those who want to know more can attend BoD meetings. Current expenditures and obligations related to the lawsuit should be provided in these mailings and at each BoD meeting. If they don't have a new invoice, but the lawyer spent a day in Court trying to get a TRO, then they can just say so. They can summarize this when they ask for money in an assessment, but they shouldn't wait until then (as I think is their intent). That's what I think.

Robert,

What is "OP", please? Original poster (me)?

I agree with you as well. There is an issue as to level of detail. For the purposes of explaining expenditure, I think the case could be presented in terms of major efforts. (There have been perhaps five of these, so far.) I don't think the BoD will do that -- if they say they spent $15,000 of $90,000 trying to get the homeowner disqualified from representing himself and failed, $25,000 on the MSJ, $15,000 fighting the homeowners TRO and Injunction that was granted and $4000 trying to get our own TRO, which the Court refused to consider; then many homeowners will question these individual items as foolish. That is politically untenable; also, I don't think the BoD is required to go into that detail, and it may generally be advisable not to itemize elements of a lawsuit this way.

I am more concerned about verifying the actual numbers. They were way off for ten months, and I don't think they have really copped to the true situation. I think it must be over $150,000 by now, unless the lawyer gave them a deep discount after providing the invoices through March. This is a little hairy. He may be overstating hours in the context of telling the other side what he will request from the Court in awarding legal costs; and/or he may be discounting what he will actually charge the HOA directly. That may not be entirely proper, but I don't want to foil any measure that saves us money either way.

In any event, the "speculations" of myself and a few neighbors have been consistently on the money or overly conservative, while the "reports" from the BoD have been wholly wrong on many occasions. I am getting very comfortable with my own analyses; these days I tend to only second-guess myself once or twice, and not in response to the BoD's denials.

In fairness, they have not yet asked for the assessment, and they have already said why in explaining again why we need to sue this guy. Beyond that, it's a difference of opinion. I keep thinking that if I was on the BoD, I believe I would choose to be open with any information not privileged or related to strategy, to run an election fairly and trust the Members to vote wisely, and to let the chips fall where they may. To behave as these guys are is much like a 3rd-world dictator who led the revolution and intends to give his people democracy when they are truly "ready". Except we live in America, we all own our homes, and we were always qualified. That's my opinion.

But whether they have been advised to avoid writing anything, if they are just scared and inept, or if (as I believe) they are focused on manipulating the sentiment of the Membership to avoid and suppress opposition to their policies, I think they have the discretion to chose how much detail to relate about the lawsuit. I agree that they don't have discretion in revealing the cost and keeping us all up to date on that.

I agree that they should have been nicer to Email Lady. She can certainly disseminate any Court document (all filings are public records), and she has always been good about identifying what is from the BoD and what is not. I understand her disappointment that they will not provide her with a plain-language summary. That's their call, but they could have handled it better.

We have a web site, but it doesn't get updated well or often. We are looking at MC's to take over this and other functions. I am looking at HOA-specific web services for this. But that would not matter in this case, because they don't want to commit stuff to writing.

Tracie,

If the BoD showed interest in settling this, then I would have no problem with them declaring victory. They have said much more ridiculous things with straight faces, and people tend to believe them just because they are our Directors and neighbors.

Jon,

I've provided more details about the lawsuit in other recent threads. In short, I think they never had a case, it's not in the interests of most homeowners anyway, and the Court has been consistently ruling for the homeowner whom they are suing. The BoD says the opposite on all counts, but I don't think they've done a good job of backing up their statements.

Email Lady was asking for a statement of what the BoD said at the last open BoD meeting. The information that she wants is not being kept confidential nor is it excessively detailed. The issue is the BoD does not want to put it in writing nor have it attributed to them.

I have also acknowledged that I have only presented my point of view. (What else can do?) I did send Email Lady a write-up of the Board's statements from the meeting, and suggested she run it by a couple of Directors without mentioning my name, to ask if they found it flawed in any way. I think it accurately represents their point of view. She supports the lawsuit and their viewpoint – she just doesn't think it's fair that they won't let every homeowner know what they said in open meetings. If they don't disagree with that write-up or find anything missing, then she could send that and truthfully say it didn't come from the BoD. I don't want my name associated with it, because I think it's inaccurate and misleading.

Mary,

I think you and Jon have good points, to the extent that they respond to my actual posts. Sorry if I was unclear or relied too much on previous threads.

Most of what I know is from Court documents and attending hearings, which none of the Directors have done. That's why I think I have a complete picture and their lawyer is (at best) scamming them. But that's peripheral to the question of how to inform homeowners in this difficult and complicated situation.
JonD1
Posts: 2,350
Posted:
MichaelK11:

Thank you for taking the time to make such a detailed response.

Forgive me but when someone begins a thread on this site I do not research and reread every other post they have made to "catch up". Therefore, any details as to the actual grounds for this lawsuit are unknown to me.

Your association has filed a lawsuit against a homeowner because ________
_________________________________________________________________________

_________________________________________________________________________.

I cannot determine whether this suit is in the best interest of the peoperty without understanding what is in dispute.

Now a few questions if you don't mind. ( I have this character flaw which requires I have details and answers before I can form an opinion.)

How long have you lived on this property?
In that time have you sought a position on the Board?
Do you know any of the members of the BOD?
Do you get along with them? What is your relationship with them?
How many BOD members are there?
How long have they served in this capacity?
In the last election did they have opposition?
Did you vote for them?
Did they receive a majority of the votes cast?
Or were the election results close?

You have 300 members?
At your monthly meetings how many attend?
At the annual meeting for elections how many votes were cast?
Do you know the attorney representing the BOD?
The BOD filed suit?
The attorney handles the regular business of the BOD?
Or were they hired just for this matter?
Do they specialize in HOA/Condo law?

Including the neighbors you mentioned how many people makes up the group that believes your Board is acting improperly? Out of 300.

Just curious................

RobertR1 (South Carolina)
Posts: 5,164
Posted:
Michele,
I imagine by now you have figured out what I said.

Of course my reference was for the Board to just stop this womans efforts that they apparantely welcomed over the years. On top of that, since it was not the official site, the Board has nothing to say about what goes up on it.

From the information reported it seems a stretch to say she volunteered to close the list, and if she did, she of course had the right to do that. The board had nothing invested here except free labor and interest of an owner, by an owner.
MicheleD (Kentucky)
Posts: 4,491
Posted:
Quote:
Posted By RobertR1 on 08/14/2009 11:27 AM
Michele,
I imagine by now you have figured out what I said.

Of course my reference was for the Board to just stop this womans efforts that they apparantely welcomed over the years. On top of that, since it was not the official site, the Board has nothing to say about what goes up on it.

From the information reported it seems a stretch to say she volunteered to close the list, and if she did, she of course had the right to do that. The board had nothing invested here except free labor and interest of an owner, by an owner.

Robert, it was not a website. It was an email (mass mailing) list. No doubt something she built from scratch and that exists on her own computer. It's not likely she could transfer it or give it to anyone else, anyway, since it's tied to her physical email account.

Regarding whether it's a "stretch" to say she volunteered to "drop" the list, this is what the OP wrote (copied from above):

"She had been rebuked. She read from an email, in which the President told her they could give her a summary, but only for her own use. She could send the document only to personal friends, not to the general email list. She must make it clear that this was not from the BoD or the HOA. She did not think this was fair. She protested by dropping the email list. "

The board simply said they would give her [a] summary, but only if she did NOT send it en masse, as it would give the impression it was a "formal" communication from the board or the HOA.

Because this is ongoing litigation, and the homeowner in question is an ATTORNEY (as is the homeowner's wife), I, for one, think it was very prudent of the board to handle her request in this manner.

From that section I quoted above, I don't see any attempt on behalf of the board to stifle her actions outside of this one communication, which is, as I said, most likely the most prudent course of action to take.

MicheleD (Kentucky)
Posts: 4,491
Posted:
By the way, I also do not think that this constitutes a "rebuke," as the OP classifies it.

"She had been rebuked. She read from an email, in which the President told her they could give her a summary, but only for her own use. She could send the document only to personal friends, not to the general email list. She must make it clear that this was not from the BoD or the HOA. She did not think this was fair. She protested by dropping the email list. "

It seems to me they simply expressed their position that no formal communication regarding the on-going lawsuit be distributed under any auspices that would confuse the average reader into presuming it came directly from the board.

That's hardly a "rebuke." A "rebuff" maybe, which is simply a denial, but not a "rebuke," which has a much more negative connotation and implies a chastisement of some kind.

I realize the OP is making an attempt to appear at arms length or unbiased, but that particular throw-away characterization shows, and conveys, bias.

And now the OP is hoping to fill the board's vacuum of information by drafting his own "summary" to give to her. BUT he wants to do it on the sly. He doesn't want her to let anyone WHO wrote it.

I don't think that's any more appropriate than what he claims the board is doing.
RobertR1 (South Carolina)
Posts: 5,164
Posted:
To all,
I think some here are not giving those that disagree with them enough credit. I, and as far as I can see, no one else is advocating information that is under court order not to be revealed should be made public. And no one is advocating the board should release information they feel will jeprodize the issue. That is NOT what was said. I suggested that with all the legal bills run up, (again if the post is gospel) a letter of explanation from the board is proper and if the lwayer write it, there should not be a charge.(and I'll hear about that) Did none read the part of the OP that said this keeper of the e-mails had received a letter from the President offering to release information to her and her selected friends.

Is this not relevant here, I don't know what is. Of course the defense here is the OP diodn't tell the truth so you ignored what was posted.

This protection of the association the Board is charged with is manifested by how they resolve specific cases. There is not doubt they must protect the association, let's just assume everyone knows that. That does not give them license to ignore the fact they must go to the people to explain why they have to have a special assessment. Surely you are not advocating the Board be untruthful as to reason in order to protect the association. How many people should support a request by the Board for x amount of $ to continue a court case that has cost 90K? I said SHOULD support. Would any of you? Dumb question. It is apparent you would.
MicheleD (Kentucky)
Posts: 4,491
Posted:
Robert,they have already been sharing certain information about the lawsuit with the homeowners.

But what she was wanting I would not do either.

It would be too easy to inadvertently put something in there that shouldn't be.

Sorry, we're just going to have to disagree about this.

This situation is certainly not a good one.

I have already given my position on the original post, the one that has the picture of the retaining wall in question that the (attorney) homeowner put up without permission and that encroaches on HOA common area.

I am truly conflicted because on the one hand, were I on their board, I would have initiated the lawsuit just as they did. On the other hand, the jury is still out for me if I would have been on board with letting it get this far.

I will admit that the poster has some good spin, but he clearly has a bias for one side, which is fine, we all do, more or less. But even more, he also clearly has a bias against the OTHER side, which, as much as he tries to tread that thin line, he continues to reveal in the way he "reports" his interpretation of what is going on.

The board is in a very tricky position. Granted, much of it is probably of their own doing, but much of it, also, is due to running up against an attorney homeowner whose legal fees are basically "free."

Oddly enough, in this case, the "deep pockets" are the homeowner.

RobertR1 (South Carolina)
Posts: 5,164
Posted:
Last word for me,
I opoligize profusely for referencing site instead of e-mail list.

This information the president gave to the e-mail lady was said in an open board meeting. Can he require this information be contained once she knows it?

If he didn't want to divulge the information, why tell her at all and of course the question more important is, if the board has decided not to divulge the information, why offer to tell her and whoever she considers select friends? Does the president know who her select friends are? Does it matter? Of course not, if the information iks confidential why tell her? I know, what he told her was not confidential just information. Well if that is so, why are select members being made privy to the information.

The Board got itself right where it is and they will have to get out of the mess. I hope they do it honorabley and fairly.
MichaelK11 (Texas)
Posts: 432
Posted:
Jon,

I can understand you replying without looking for related threads, but you will now have to go there for full details. This particular thread is not offered as another discussion about whether the lawsuit is in our best interest, although I have reiterated that I think it is not, and I'm not trying to object to further posts about that. I started this thread as a discussion about proper minutes, releasing vs. withholding information and what to write vs. say in this context; but I appreciate your interest and opinions, and I will try to answer your questions briefly.

In summary, my HOA is a mandatory HOA of almost 300 single-family homes with several grassy common areas. We have a volunteer BoD numbering seven and no MC; our dues are only $260 annually.

A homeowner built a retaining wall on a steep slope behind his house, partly on the back of his lot and partly on a wedge of HOA property between his lot and the Golf Course pond. He has an express, private easement over this 2800 sq ft triangle-shaped area for his exclusive use. It is the only easement like this in the subdivision. The dispute is whether the Easement Agreement (the contract) allows him to construct improvements or only to pass across this Easement Area.

This initial question before the Court (what rights were granted) is complicated by the obligation in the Easement Agreement for the homeowner to maintain the Easement Area. The Court has ruled that he must prevent erosion and shifting, leaving open questions about whether there is erosion and whether the retaining wall is a reasonable and necessary measure. The Court referred to expert reports provided by both the BoD (from before they sued) and by the homeowner that indicate a retaining wall is necessary, the wall he built is such a wall, and that a better wall may be necessary.

I am not the homeowner in question. I have lived in the community for about eight years. This homeowner has lived here for about three years. The Easement Agreement was executed in Sept, 1991, before the common areas were conveyed to the HOA.

I have sought election to the BoD in March. The BoD rigged the elections by restricting the ballot to four candidates for four seats -- the three incumbents and an immediate neighbor who lives between two of them; put simply, they picked themselves and excluded seven other nominees who did not agree with them. Think about the Chicago Machine or Tammany hall running an election so corrupt that they have only their candidates on the ballot and get 100% of the seats, as opposed to just playing dirty tricks and getting a firm majority. It's more complicated, but there's a thread with all that. If I seem pissed off about this, democracy is sacrosanct for me. Before this, I didn't like a lot of things they did, but I stayed relatively quiet and refrained from criticizing them in public. When we saw the ballot (there was no notice or explanation -- they seemed to hope no one would object), I and another nominee went door to door to get our own proxies. We received over 50, which the BoD summarily decided not to allow. We attempted to discuss the validity of their ballots at the Annual Meeting of the Membership, and they called it out of order and refused to allow discussion. I think most homeowners are more concerned about the money, as a practical political situation, but the rigged election is what motivated me.

The election tallies were announced at the end of the Annual Meeting. I have submitted repeat records requests to get the BoD's proxy ballots and other election-related information, as well as financial and insurance information. They refuse to provide the complete proxies based on "secret ballot", which I believe only applies during the election.

I was not involved at all in my HOA until about a year ago, and did not know my neighbors. When this dispute got heated (a few weeks before the BoD ended up voting to litigate), I started asking some Directors about this, and also interviewed the homeowner who built the wall and his two neighbors (who are involved on both sides). I have no business relationship with any of these, and I have only become acquainted in the context of observing this lawsuit.

The monthly BoD meetings have been attended by five to twenty-five homeowners (and 50 to 100 back when this came to a head). I believe the Annual Meeting was attended by over 100, although it is usually much smaller. I think about 30 votes were cast at the Annual Meeting by attendees and perhaps 80 by the BoD's proxies.

The BoD had this suit filed as the HOA against the homeowner; the homeowner has not countersued, although he says he has strong causes for counter-claims (and the Judge actually said he did in a hearing). The homeowner says he wants to work this out and not sue his neighbors; I am certain the possibility of D&O insurance paying if/when he counter-sues is also a consideration.

I am not acquainted with either the HOA's regular attorney or the litigating attorney for this suit. I have seen the latter's pleadings and observed him in hearings. He is a friend of the Defendant homeowner's neighbor, who has publicly stated that he will force him to move away and has played a role instigating this lawsuit.

I believe perhaps twenty or thirty neighbors believe strongly that this lawsuit is not in our interests and about an equal number feel strongly that it is (or at least want it pursued). The remainder may have little knowledge or interest, or may simply stand by the BoD without applying much scrutiny. I count at least four factions.
MichaelK11 (Texas)
Posts: 432
Posted:
Quote:
Posted By RobertR1 on 08/14/2009 12:27 PM

This information the president gave to the e-mail lady was said in an open board meeting. Can he require this information be contained once she knows it?

If he didn't want to divulge the information, why tell her at all and of course the question more important is, if the board has decided not to divulge the information, why offer to tell her and whoever she considers select friends? Does the president know who her select friends are? Does it matter? Of course not, if the information iks confidential why tell her? I know, what he told her was not confidential just information. Well if that is so, why are select members being made privy to the information.

The Board got itself right where it is and they will have to get out of the mess. I hope they do it honorabley and fairly.

The issue between the President (a woman, actually) and the Email homeowner, is not what to divulge, but what to disseminate widely or what to commit to writing. It is speculation as to whether the BoD is concerned about one or the other or both. I don't have a clear opinion about that, and these are distinct intentions or motives.

Not sure if I was clear, but the Email homeowner supports the BoD and the lawsuit against the other homeowner. She just feels strongly that the Membership should be better informed about things.

If it's of interest to anyone, I don't really care if people find out that I wrote the write-up. I rather pride myself about being able to listen and understand opposing viewpoints. I think it would be interesting to get the Director's read on whether the right up accurately represents their viewpoint without first skewing the response with names. Also, I would not like my name associated with it in such a manner that suggests that I agree with it.
MicheleD (Kentucky)
Posts: 4,491
Posted:
Quote:
Posted By RobertR1 on 08/14/2009 12:27 PM
Last word for me,
I opoligize profusely for referencing site instead of e-mail list.

This information the president gave to the e-mail lady was said in an open board meeting. Can he require this information be contained once she knows it?

If he didn't want to divulge the information, why tell her at all and of course the question more important is, if the board has decided not to divulge the information, why offer to tell her and whoever she considers select friends? Does the president know who her select friends are? Does it matter? Of course not, if the information iks confidential why tell her? I know, what he told her was not confidential just information. Well if that is so, why are select members being made privy to the information.

The Board got itself right where it is and they will have to get out of the mess. I hope they do it honorabley and fairly.

Robert, again, he was not "disallowing" her from communicating the information, just requiring that it not be an official communication from the board.

I would most definitely support this position, because all sorts of "interpretation" can find its way in when that happens.

I, as a board member, would not want to put anything about the lawsuit in writing UNTIL THE LAWSUIT IS OVER.

That's all I'm saying.

MicheleD (Kentucky)
Posts: 4,491
Posted:
PS: Robert, you do know, at the end of the day, I am a strong proponent of boards being more communicative and open.

But when you have a lawsuit with THIS high a price tag, and it's still going on, I would err on the side of discretion.

Too big a risk of causing additional damage -- and I do think the board has already created SOME damage.

RobertR1 (South Carolina)
Posts: 5,164
Posted:
Michael,
Would my worthy adversary agree that the lawsuit is not over (all in what we hear) that a special assessment is being considered because they don't have the funds to continue the suit(again, all in what we read). Of course that means they would not need a special assessment if they dropped the suit.

So no special assessment, no more suit, no more reason to explain how they spent the 90K. Maybe this would be attractive to the board, in that it would protect the association from the harm of knowing what this is about.

How's that sound?

BOD and people should never dig a hole so deep, they can't get out ofit.
MicheleD (Kentucky)
Posts: 4,491
Posted:
I may or may not agree with your sentiment, because I have no way of knowing what the real story is and the ramifications of either course of action.

So the answer is: It depends.
RobertR1 (South Carolina)
Posts: 5,164
Posted:
Michael,
Nor do I know know what the real story is..........hardly a unique circumstance.

I just finidhed writing a couple hundred words in a rebuttal.

Then I deleted them.

enough said on this end.
MichaelK11 (Texas)
Posts: 432
Posted:
Quote:
Posted By RobertR1 on 08/14/2009 5:38 PM
Michael,
Would my worthy adversary agree that the lawsuit is not over (all in what we hear) that a special assessment is being considered because they don't have the funds to continue the suit(again, all in what we read). Of course that means they would not need a special assessment if they dropped the suit.

So no special assessment, no more suit, no more reason to explain how they spent the 90K. Maybe this would be attractive to the board, in that it would protect the association from the harm of knowing what this is about.

How's that sound?

BOD and people should never dig a hole so deep, they can't get out ofit.

Robert,

That sounds very attractive to me, but I'm not sure it's practical. First, I suspect (but don't know) that several Directors will never leg this go until forced -- they will pursue this through whatever appeals are available no matter what.

I do know that at least two Directors are starting to be of a mind that they just want a resolution -- they can accept losing, because they will have a Court Order declaring the homeowner's right, so they have done their duty and can tell the people that want this lawsuit that they have done all they can.

Apart from those political aspects, I am working on convincing these two Directors to look at the case themselves, to determine if they have already lost, rather than rely on their attorney who wants to keep this going.

None will settle without belief that this case has been decided. Right now each side thinks they are winning. That does not motivate them to come together and settle.

So there is the matter of getting the other side to settle. They continued to fight this suit for several months since they last considered walking away and the BoD refused. They have uncovered more incriminating evidence and have won more battles. I don't think they will agree to just walk away at this point. Now they want something for their attorney's fees (their time).

That's still much better than the three to five times higher cost that awaits us a few months from now, but difficult for the two sides to come together without learning what those few months may reveal.

As to the assessment, if it was just $90,000, then most of that would be covered by reserves built up in prior years, and the rest could be balanced against dues and regular operating expenses this year and next. I see no problem with a small loan to spread the cost over a couple of years after this is ended. Our current legal expenses have probably advanced to $150,000 before any settlement costs, but that has not yet been determined.
MichaelK11 (Texas)
Posts: 432
Posted:
Robert,

I'm not sure exactly what you would be rebutting nor who is your worthy adversary. I have a bit of difficulty following.

As to anything you see inconsistent or unreasonable about my posts, I'd be interested in your opinion. I am certainly hoping for some opportunities to mitigate or reconcile things that I may have missed.
MicheleD (Kentucky)
Posts: 4,491
Posted:
I still contend you are the homeowner in question.

Sorry.
RobertR1 (South Carolina)
Posts: 5,164
Posted:
Michael,
I can understand your confusion, and I deserve to be shot or worse.

My post you are referring to should have spelled "Michele".

My post was a way of extracting myself from letting this be something other than a clinical evaluation of the issues as presented.

There is also a strong possibility I can contribute nothing of value.
I have great empathy for a board and an association that has to contend with one of their own contributing to a "I'm going to get you and it is going to cost a bundle and folks that don't deserve it are going to pay the bill."

Not only am I convinced that the association must be served above all else by the Board, I am convinced that each individual homeowner has exactly the same obligation. So, from my point of view, both "sides" are wrong to contribute to this "no win" situation.

Yesterday, in our Local Paper there was a large article about a Homeowners association's litigation problems with their "Club". and some involved contentions about who was right and who was wrong. The article was quite open about the lawsuit and who was wanting what and who got what with the judges decree. Both sides appealed the decisions and both lawyers stated that they hope to obtain a "wash" through their appeals. So they have gone through the courts, had conclusion and direction from the courts, and it appears both sides won or lost, as determined by the opponents, and they want to appeal to obtain a "wash", which I think was explained as an equal distribution of costs and an equal distribution of what has to be done to reconcile their differences. Of course, this resolution will be determined by all sides siting down, agreeing on something and trying to get the judge to go along with it. Certainly I can't judge the right and wrong of this, or has the right and wrong turned out to be important in the end. It is what it is, and in this case is headed to meaning something decided by the involved parties.
That result is going to cost a bundle.
MicheleD (Kentucky)
Posts: 4,491
Posted:
Robert, as usual, well stated.
MichaelK11 (Texas)
Posts: 432
Posted:
Quote:
Posted By RobertR1 on 08/15/2009 1:10 AM
Michael,
There is also a strong possibility I can contribute nothing of value.

I sincerely doubt that. ;-)

Quote:

I have great empathy for a board and an association that has to contend with one of their own contributing to a "I'm going to get you and it is going to cost a bundle and folks that don't deserve it are going to pay the bill."

Not only am I convinced that the association must be served above all else by the Board, I am convinced that each individual homeowner has exactly the same obligation. So, from my point of view, both "sides" are wrong to contribute to this "no win" situation.

I agree with most of that.

In our case, I would say both sides (the BoD and the Defendant homeowner) are contributing to it. I do not think either side is a victim nor has clean hands. My neighbors and I do qualify that way.

I would expect each individual homeowner to look out for their own legitimate interests -- their family, their home, their money and their friends -- perhaps in that order. Each has a duty not to impact other homeowners with their personal business. The Directors are charged with serving the interests of the Association. This is expected to task the Members in a reasonable and equitable manner (reasonable dues to pay for reasonable activities and reasonable compliance); after all, we benefit from the Association and agreed to join it when we moved here. The legitimate interests of the corporation are property values and quality of life.

Personal vendettas have no place in the business of the association, whether invoked by the Board or individual homeowners. They are generally foolish, but in any event should not be made the problem of anyone not directly involved -- either by an individual or by the BoD.

Quote:

Yesterday, in our Local Paper there was a large article about a Homeowners association's litigation problems with their "Club". and some involved contentions about who was right and who was wrong. The article was quite open about the lawsuit and who was wanting what and who got what with the judges decree. Both sides appealed the decisions and both lawyers stated that they hope to obtain a "wash" through their appeals. So they have gone through the courts, had conclusion and direction from the courts, and it appears both sides won or lost, as determined by the opponents, and they want to appeal to obtain a "wash", which I think was explained as an equal distribution of costs and an equal distribution of what has to be done to reconcile their differences. Of course, this resolution will be determined by all sides siting down, agreeing on something and trying to get the judge to go along with it. Certainly I can't judge the right and wrong of this, or has the right and wrong turned out to be important in the end. It is what it is, and in this case is headed to meaning something decided by the involved parties.
That result is going to cost a bundle.

Not sure I get the point of this, other than "cost a bundle." Are you saying both sides created the problem; and after spending a bunch on the lawyers and wearing themselves out in Court, in the end they get back to where they started and must sit down and work it out?
RobertR1 (South Carolina)
Posts: 5,164
Posted:
Michele,
I really meant you are a worthy adversary.

Smart also.
RobertR1 (South Carolina)
Posts: 5,164
Posted:
MichaelK,
Your:
****************************
Not sure I get the point of this, other than "cost a bundle." Are you saying both sides created the problem; and after spending a bunch on the lawyers and wearing themselves out in Court, in the end they get back to where they started and must sit down and work it out?
**********************************

That's the way I read it. I am sure in the end both sides will strut and posture around saying they won, but did they?

We had a smaller scale case in our HOA. From what I can understand both sides made concessions, neither side agreed, the judge says go back and do it again, and at some point they two sides agreed it was time to stop fighting and took what they could get. This case and I assume your instance was not a trial by jury, here in SC I do believe this kind of thing is heard by a Master in Equity and I know personally from another Homeowner/Developer Management Co case, that it was heard by a Master in Equity Judge. That also resulted in both sides hammering out something the Judge would accept. I am sure the Judge applied the rule of law, in all cases.

Our (you and I) differences seems to be a matter of how we group out priorities. The commitment to family, God and Country fall in one category. The special legal responsibility we all signed when we joined an HOA falls somewhere else. I am sure if we had the doctor's Hippocratic (sic) oath to sign we might rebel. However we sign what was put in front of us and all things being equal one of our responsibilities is to "do no harm." So to speak.
But, if every homeowner would follow, do no harm, we would have a lot less trouble. But every homeowner don't and this does not mean that the Holy Grail for the rest of us should not be "do not harm the association." Think about it. It will make the life in a HOA much more pleasant and easier. Never be perfect and I am not a Pollyanna by far, but it keeps me grounded..................AT TIMES!
MichaelK11 (Texas)
Posts: 432
Posted:
My instance will be a trial by jury if we don't settle first.

I'm sure some sort of Master or binding arbitration would be simpler and cheaper for us, but I don't think they will go that way.

I have no problem with strutting, if it makes them more agreeable to settling. Strutting does not cost me anything. When they declare victory after a total loss, I get in their faces because they are asking support to keep going. If they were declaring victory as a preamble to negotiation or resolution, I would not rain on their parade.

We could use a lot more "do no harm".
RobertR1 (South Carolina)
Posts: 5,164
Posted:
MichaelK, I heard recently of how many trials ever reach the jury stage, a very small percentage.

Now, tell me something I don't know if you can. Suppose the parties in a scheduled jury trail decide to settle, lets just say, prior to court date, because I know what happens if they decide at date of court. I am wondering if the same procedures are followed.

Party A and Party B have a meeting and decide they should settle. The case has been filed and scheduled for a hearing, so it is a matter of court record. Now if A and B agree to settle and settlement is determined by a point of law to some degree, does the parties have to appear or petition the judge for a ruling? Or can they just withdraw the case and walk away? Who then decides attorneys fees?

Now in the case of an HOA is there any state law or likely to be any covenants that would disallow a settlement of this kind. Not specific to any state and not specific to any HOA, but just a general analysis.

Anyone? Maybe this is a non-issue.
MichaelK11 (Texas)
Posts: 432
Posted:
Quote:
Posted By RobertR1 on 08/15/2009 8:17 AM
MichaelK, I heard recently of how many trials ever reach the jury stage, a very small percentage.

I think we would be very foolish to go all the way to trial.
Quote:

Now, tell me something I don't know if you can. Suppose the parties in a scheduled jury trail decide to settle, lets just say, prior to court date, because I know what happens if they decide at date of court. I am wondering if the same procedures are followed.

What do you think happens if they decide to settle on the date of trial? I don't know. It settles, and the Court uses the jury for something else?

That's what I suppose happens if they settle just prior.

These things are probably not even a matter of state law but depend on the local rules of the Court.

The Defendant homeowner keeps saying this will not settle on the Courthouse steps. I should probably ask him why. He probably means his terms for settling get more expensive as time passes, and we should settle early if we want to walk away and just eat each our costs. I think it's past that point now.
Quote:

Party A and Party B have a meeting and decide they should settle. The case has been filed and scheduled for a hearing, so it is a matter of court record. Now if A and B agree to settle and settlement is determined by a point of law to some degree, does the parties have to appear or petition the judge for a ruling? Or can they just withdraw the case and walk away? Who then decides attorneys fees?

I imagine if the settlement is concluded, if both parties agree no further Court action is necessary, if they agree on the terms, then the lawyers just file whatever settlement notice is required and non-suit or file agreed motion for dismissal (usually with prejudice).

If the settlement specifies that the parties will ask the Court to determine something, such as the amount of reasonable attorney's fees, then of course it goes to the Court. A hearing may not be necessary. I think the Court that is hearing our case can always remove a hearing or trial from the docket on short notice, but I can be wrong.
Quote:

Now in the case of an HOA is there any state law or likely to be any covenants that would disallow a settlement of this kind. Not specific to any state and not specific to any HOA, but just a general analysis.

I suspect that is more likely in a criminal matter than a civil matter. But I'm no lawyer -- I just watch legal dramas on TV.
GlenL (Ohio)
Posts: 5,491
Posted:
And we're back to the lawsuit. Michael I hate to say it but we're beating a dead horse here, we know your opinion of the lawsuit. What we don't know and have no way of reasonably obtaining is the BOD's rational for the suit. It may be as you maintain that they're being petulant however they may be worried that if this is allowed to stand then more and more homes around the lake will want an exclusive easement which will eventually cut off access to the lake for members not living on it. It may be that they're trying to protect the documents original intention as best they can or they may simply be bullies.

Nor do we actually know exactly what the homeowner has done or is trying to do. What we know is your interpretation of the facts he has given you possibly in an effort to sway the court of public opinion. While we do know how you feel about the Board; since you've used just about every negative adjective to describe them and have accused them of malfeasance in office, election fraud, etc. In fact you've done everything except to somehow connect them global warming.

The truth is nothing we say here is going to fix this for you. This is a problem you and the other members of the Association are going to have to solve for yourselves. There is no magic pill or 1-800 number to call to resolve it but the answers are there in your CC&R's. If the majority of the homeowners feel as you do; there is a mechanism in the documents to recall the BOD and replace them with more "rational people". But whether you go door to door and wake your apathetic neighbors who are blissfully unaware of what is going on or get the woman to send out one last email to rally the troops the answer to your problem is ultimately in your collective hands. Just don't be too surprised when the "rational people" after learning all of the details decide to proceed with the lawsuit because they feel it is in the best interest of the Association.

All that is necessary for the triumph of evil is for good men to do nothing. Edmund Burke

Studies show that 5 out of 4 people have problems with fractions
MichaelK11 (Texas)
Posts: 432
Posted:
Quote:
Posted By GlenL on 08/15/2009 5:45 PM
And we're back to the lawsuit. Michael I hate to say it but we're beating a dead horse here, we know your opinion of the lawsuit. What we don't know and have no way of reasonably obtaining is the BOD's rational for the suit. It may be as you maintain that they're being petulant however they may be worried that if this is allowed to stand then more and more homes around the lake will want an exclusive easement which will eventually cut off access to the lake for members not living on it. It may be that they're trying to protect the documents original intention as best they can or they may simply be bullies.

Hey, I just answer the questions I am asked.

There is no lake. There is a Golf Course, which has a pond in back of the Defendant homeowner's part of the neighborhood.

No one can get an easement. One Lot has an easement over a steep slope behind it. That easement was granted before the common areas were conveyed to the HOA by the declarant. The physical characteristics of this Lot -- the problem the easement was intended to solve -- don't exist elsewhere; but more important, the easement itself is unique in the subdivision.

Of course you don't know any more than what people post here.

Of course I complained about the electoral fraud -- no one likes crap like that.

But I didn't just call them names. I posted the facts of the matter. I suppose you can believe me or not. I also posted the cause they had presented, and other relevant facts such as the neighbor. I don't claim to know their real motives.
DonN (Michigan)
Posts: 357
Posted:
MichaelK11

Cooler heads in your association should become involved, which reflects the view from GlenL. Your descriptions suggest that the board is out of control and doesn't adhere to the law and the governing documents. Something more appears to be involved than just a dispute over the construction of a retaining wall.

If the election of directors is invalid as your description suggests, the board members might be personally liable for acting without authority.

From your description, the land within the easement used for the wall could be sold or deeded to the owner including a provision to make the owner responsible for its maintenance including the retaining wall. There are many ways to address this problem without spending $100K+ in litigation.

A friend of mine lives in a condo that requires approval by members for any litigation brought by the association. This is a good idea and keeps a board from going way off base. The board would have to explain what the issues are and why the litigation is in the interests of the association.

There are many ways to inform the members. One of the obvious ways is to post the court documents on the internet. The Complaint describes the issues, and in your case likely describes the issues and the relief being sought. The Defendant's reply to the Complaint provides the other point of view.

My understanding is that the board or the association is not bound by attorney-client privilege. It is the attorney who is bound by the privilege. Typically, the board as agent exercises the privilege which can protect legal work product from discovery. The client can elect to provide documents and information to the members. However, any document or writing disclosed to the members can then be part of discovery by the other party.

Keeping minimal content in board members cuts both ways. The minutes except for any part that qualifies as attorney work product can be part of discovery by opposing party. If the minutes are sterile, then no information of value is directly discovered. However, sterile minutes do not document that the board performed its fiduciary duty, creating potential liability for the association and individual board members.

Even if the minutes are sterile, the board members and others are still subject to deposition. You can imagine the questions that can be asked each board member about the board's actions. One of the people being disposed may have kept some notes which would have to be produced. What other documents and handouts were provided to the board? Every one of the board's decisions would be questioned in penetrating detail. Inevitably, different people will recall the decisions, actions and reasons differently, which would not be helpful to the association. The questioning could certainly lead to a conclusion of a conscious decision and action of the board to cover up what was really going on. It might show that the board was not acting with clean hands. Both of these last two could be devastating to the association.

My bottom line is that the minutes should be as concise as possible but not leave out important documentation of good governance and management. See my article, Discussion Concerning Meeting Minutes, for my further discussion of issues concerning meeting minutes.


MichaelK11 (Texas)
Posts: 432
Posted:
Don,

I would also like to see cooler heads involved.

A restriction on spending $XXX without Membership consent would have a similar affect and has been suggested. Your suggestion of restricting litigation thusly would prevent starting a lawsuit for less money and then making further decisions without Member consent based on that commitment.

While I believe our BoD has violated the Governing documents, they have both strong support and opposition among a few Members. Most are simply apathetic. The end result is that they can do what they want largely unopposed (except by the Defendant, in Court).

Good ideas for informing. A problem with the internet is many don't use it or won't look; that could be resolved by postal mailing (at some personal expense).

My understanding of privilege is similar to yours. The client has the right of privilege; the attorney is bound thereby and also may advise the client to invoke. Our BoD avoids committing anything substantive to writing; as I have said, they are probably smart to do so. The Defendant has been trying to depose all current and recent Directors, and will probably get all of his discovery motions in a few weeks. I don't think the absence of documentation will help or hurt them in this case; they would have had to act differently to have any benefit of documenting their actions.

Anyway, I agree with your general principles and conclusions. Thanks for your helpful perspective and suggestions.
DonN (Michigan)
Posts: 357
Posted:
MichaelK11 makes a very important point. If a board has acted improperly, the absence of documentation would likely not help the board and the association avoid liability. The depositions would likely uncover the actions and the basis for the actions. And, of course, without documentation, the board would not have any hard evidence that it acted properly.

RobertR1 (South Carolina)
Posts: 5,164
Posted:
To all,
Considering Don and Michael statements.

For me, I know that our Legal Council advocates no records be kept of any Executive sessions (I offer that this thread is talking about not keeping records of Board Activities), for me, I am not sure if this includes noticing meetings and purpose of ES. I am not positive of his reasoning but the advice is clearly spelled out.

I would imagine that many associations are receiving all kinds of different guidance about record keeping. I feel sure that the majority of Boards act in what they consider the best interests of the association, and attempt to keep the Regime out of trouble. Does this boil down to damned if you do and damned if you don't? Speaking specifically of actions by the Board where they consciously decide it is better to keep no records. Does State Laws prevail, if their are such things, does non-profit laws, or anything else. Other than the ES, I am not aware of my Board keeping any information that would not be available under discovery laws, nor do I have any plans to ask. But I know their ruling right now is no records of proceedings while in ES. I would like to know if it is possible to conduct an ES that does not is some fashion use records or papers or references. What do you do with these references if they are used in ES? Are they destroyed to mt the no records decree?

As some might suggest, this is not some esoteric reasoning, it seems to go directly to this thread?

Given the garden varieties of HOA's, condo, etc., is there any way we on this site can actually say what is right or wrong?

MichaelK11 (Texas)
Posts: 432
Posted:
Quote:
Posted By RobertR1 on 08/18/2009 5:48 AM
I know that our Legal Council advocates no records be kept of any Executive sessions (I offer that this thread is talking about not keeping records of Board Activities), for me, I am not sure if this includes noticing meetings and purpose of ES. I am not positive of his reasoning but the advice is clearly spelled out.

If there are no decisions made, then this could be viewed as nothing more than a private meeting among acquaintances at which various matter arose in casual discussion. This is a little disingenuous, and still discoverable; but if handled well, it should not amount to any sort of fiduciary breach or other misconduct.

If they make decisions and don't record them or the meeting or don't properly constitute the meeting, then I think that creates big problems.

The discussions themselves don't have to be recorded (just as in open meetings) or divulged.
Quote:

I would imagine that many associations are receiving all kinds of different guidance about record keeping. I feel sure that the majority of Boards act in what they consider the best interests of the association, and attempt to keep the Regime out of trouble. Does this boil down to damned if you do and damned if you don't? Speaking specifically of actions by the Board where they consciously decide it is better to keep no records. Does State Laws prevail, if their are such things, does non-profit laws, or anything else. Other than the ES, I am not aware of my Board keeping any information that would not be available under discovery laws, nor do I have any plans to ask. But I know their ruling right now is no records of proceedings while in ES. I would like to know if it is possible to conduct an ES that does not is some fashion use records or papers or references. What do you do with these references if they are used in ES? Are they destroyed to mt the no records decree?

I am sure that state corporation and non-profit corporation acts and other statutory requirements apply -- that violating these may create more problems than keeping records. I am sure the dwelling category (condo, single-family, etc) of the association does not matter so much as whether it is a corporation or other type of legal entity; the governing documents may also be relevant.

I don't believe this is a lose-lose situation. I believe the law usually promotes justice and equity (if it doesn't always result in such). If BoD's follow the rules and perform their duties, then they should generally be better off.

My BoD avoids committing any opinions, analysis, discussions to writing. I think I would handle things differently, but I can respect their position. My BoD no longer appears to actually discuss issues (even non-lawsuit matters) or make decisions at meetings. They simply announce things that have been obviously determined outside of these open meetings. If it looks like a rat and smells like a rat . . .
GlenL (Ohio)
Posts: 5,491
Posted:
Quote:
Posted By MichaelK11 on 08/18/2009 6:57 AM
If it looks like a rat and smells like a rat . . .

And you continue to feed it cheese then don't complain.

Studies show that 5 out of 4 people have problems with fractions
JT3 (Alabama)
Posts: 11
Posted:
I can see the descretion side of minutes, however, the full Association are entitled to everything that goes on in a Board Meeting and it is the Law, Roberts Rules. If certain items are completely left out, or left to the "imiganation" that triggers things to become out of hand and exagerated. I brought up the damage in my unit at a 2006 Board meeting, and it was never put in the minutes. I was yelled at, and then completely ignored. There were 3 new owners, 2 reg. owners and the Board, they had all the proxies besides the 3 that I had. Shouldn't it be considered a conflict of interest for the Board to vote proxies? Esp ours, since they have personal agendas, and never contact the Association for input or votes? They have broken more bylaws than anyone I have ever seen.

I have been dealing with a Board who has refused to fix serious problems in my unit in Gulf Shores. I have water damage now to the point my ceilings are going to fall in, the floor has bucked so much and the north wall has dropped so much that it will now not withstand another small to large tropical storm or hurricane. At least that is what two contractors have told me. I have tried everything to get them to repair the problems. We have come to realize, that the Board did not want to spend the money, we are an older complex, but our personal town homes are very pretty and we have invested a lot in them, but the Board were in the hopes of someone buying out the complex, and wanted to spend as little as possible. Though they never told the Association this, we suspected it, and kept fighting. The young management boy was overheard by my contractors saying this same exact thing when they were trying to sneak into our other unit last week, as we have been fighting another water damage problem with the Board for the past 6 months that they refused to acknowledge. This same manangement boy told the Board president that my units did not have water damage, it was either my pull down stairs or it was shifting of the units. It was neither, and they took the word over this person who has no experience at all except at mowing yards and cleaning pools, and it took him several years before he could do that correctly at our complex. This same person harrassed my son and his family a month ago and we had to call the police on him, and he threatened me over the phone twice. He enters our unit with the president on the phone from one witness. I have told them on the phone and in writing I don't want them in our units without us being present or someone to represent us, they have completely ignored that I stated that.

This Board only took action on doing ANYTHING when they found out by spies at our complex who one of my contractors were, as they knew him, the president called him, not us, asking him about our damage. The contractor told him about all the damage, so now they are sneaking around trying to fix the more recent problem, but have not one time contacted us the owners.

The also found out that I had been speaking with an attorney who gave me good advice, and also found the attorney who will represent us. They actually called that attorney!

Anyway, they are trying to "repair" the more recent damaged, without contacting us and letting us know. That has to be illegal when it is not an "emergency" situation as far as damage, though it will continue to get worse, but nothing like my other unit where the damage is so far gone, everything will have to be ripped out and replaced.

The Board has not contacted us in anyway about our repairs in over 3 years!

I would appreciate any input....

JT3 (Alabama)
Posts: 11
Posted:
Roberts Rules of Order see below - I just found this about Board Minutes:

Question 15:
Isn't it necessary to summarize matters discussed at a meeting in the minutes of that meeting in order for the minutes to be complete?

Answer:
Not only is it not necessary to summarize matters discussed at a meeting in the minutes of that meeting, it is improper to do so. Minutes are a record of what was done at a meeting, not a record of what was said. [RONR (10th ed.), p. 451, l. 25-28; see also p. 146 of RONR In Brief.]

I would assume me asking the Board again to repair the damage in my unit would be something that should have been in the minutes but it was not.
TracieS (Colorado)
Posts: 460
Posted:
Well, have the minutes from that meeting been approved yet? Until they're approved, they're just a draft, and corrections can still be made.

Have you ever sent anything in writing to the BOD outlining the damage and asking for a timeline for repairs?

Also, your BOD was hoping someone would buy the complex? How does that work? I'm in a townhome, too, as I see from your post. There's no way our complex could be bought... So, I'm confused.

Also, Robert's Rules of Order are fine, but a bit cumbersome for most HOAs. My documents DO NOT require the use of ROR, but yours may. Do they, or are you just hoping they do? Usually, basic parliamentary procedure is enough...
MichaelK11 (Texas)
Posts: 432
Posted:
Quote:
Posted By GlenL on 08/19/2009 7:05 AM
Posted By MichaelK11 on 08/18/2009 6:57 AM
If it looks like a rat and smells like a rat . . .


And you continue to feed it cheese then don't complain.

Apparently, this is day old sarcasm. If this was intended to mean something, then please do tell; otherwise, SPAM away.
JT3 (Alabama)
Posts: 11
Posted:
I have tried every manner of commuication to get the Board to address our problems since Hurrican Ivan. The president has refused to return calls, emails, etc. They have completely ignored the problems, until I finally had to take action. Enough is enough. A homeowner has to do what they have to do to protect their property when all else fails. Common sense, and also the law when it affects the other owners around them, and the damage spreads to other units because of non-repairs.

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