YOUR
DIRECTOR
HAS GONE
“ROGUE” -
NOW WHAT?
By Robert Riddick, CMCA
I
magine for a moment that your homeowner association (HOA),
has been governed since its inception, by an informed, educated
and engaged Board of Directors, and is one that also enjoys a
reputation for being a great community to live in. Remarkably, it’s
so well-governed that potential new residents are clamoring for
the opportunity to buy into the community when homes go on the re-
sale market. In fact, today’s nationwide landscape of nearly 350,000-
plus homeowner associations, and comprised of almost 75 million
residents, or almost 28% of the total population of the U.S., continues
to add to its growth numbers. Trends indicate that living in an HOA
is so appealing that population numbers are estimated to increase
to 50% by 2040. With numbers like that, it’s easy to understand how
important the role of the HOA’s Board of Directors is in assuring and
maintaining the best quality-of-life for its residents.
As many of you already know, but for those who don’t, every
Board’s primary responsibilities include: 1) enforcing the governing
documents (CC&Rs, Bylaws and the Rules); 2) managing the finances
of the HOA; 3) maintaining and protecting the common-areas of the
association; 4) keeping corporate records; and 5) the requirement to
exercise due care and undivided loyalty to the association (Francis T.
vs Village Green HOA).
10
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SAN DIEGO COMMUNITY INSIDER
SPRING 2020
Imagine again, that you are one
of the volunteer Board members
of your HOA, and you discover
one day that one of your fellow
Board-members has willingly
violated one or more of her duties
as a Director. There is no doubt
that she committed the acts, and
when confronted by the rest of
the Board for an explanation, she
refuses to give one. She further
tells you and the rest of the Board
that she can divulge whatever
information she wants, as long as
it’s not “illegal” in her mind. In
this case, she has intentionally
divulged personal homeowner
information to other members of
the HOA, regarding disciplinary
actions taken by the Board against
that homeowner, including fine-
amounts levied and payment-plan
details. She finally reveals that she
intends to continue doing so in the
future, as a way of encouraging
members to not violate the