questionable Board Member

Started by ChrisS • 15 replies • 2147 views

💬 Join us to post & get advice from 50,000 HOA & Condo leaders.

⚡ Takes 30 seconds

Already a member? Log in

ChrisS (Florida)
Posts: 1

Posted:

We have just discovered that our President is not an "owner" of the house in our development and that it is actually owned by her inlaws. She claims that she does own the home, but county records don't show her name on the deed. So, we have been informed that she gets 90 days to show "proof" of ownership. Does anyone know if this is true? Also, this puts our board at 4 instead of 5. Is it "legal" to have a meeting with an even number?

SwanB (Washington)
Posts: 199

Posted:

You might check your Bylaws to see if they include the item 'private owner contract' under Membership. This might be the case with your President's situation i.e. she is purchasing the house from her inlaws through a private contract set up with them and not through a bank or other lending institution.
Of course if this is the case and your office has files for each lot owned, the file should have a copy of this contract. Unfortunately because of privacy laws the file contents would only be for the owner's and relevant Board and HOA staff members' eyes.

RogerB (Colorado)
Posts: 5,067

Posted:

Chris, this person should have been determined to be an owner and qualified member of the HOA when she moved in. I would ask her to provide proof that she is a qualified owner immediately (not 90 days). Unless she does she is not a member of the HOA and is disqualified as a member of the Board.

You can have a legal meeting as long as there is a quorum of the current number of directors on the Board. Your Bylaws should define how to fill a vacancy on the Board - probably filled appointment of a majority of the Board members present at a Board meeting.

CathyS1 (Tennessee)
Posts: 2

Posted:

Our By-laws allow for non-member Board members. It also allows existing board members to appoint a new member in the case one quits or is removed.

LisaS (Illinois)
Posts: 341

Posted:

If she is an owner, it is simple for her to provide proof- a copy of the deed, contract for deed, or simple tax bill.

If she cannot, she should not be on the Board unless it explicity states that non-members may participate. But..if that is the case she should have been forthright before being elected.

TomJ (Arizona)
Posts: 42

Posted:

Check your by laws, ours in Arizona reqire board members to be a home owner.

We also just changed the by laws to require the board members to be in good standing, assessments paid, etc. because this was not included in the original by laws.

We also have visitors to our board meetings sign in to ensure they are home owners. Non owners are welcome but just cannot vote, etc.

CarolK (Arizona)
Posts: 3

Posted:

Has anyone had the issue of a board member who is not on the title, but the wife is? I live in Arizona, which is a community property state. However, married people can have separate property (ownership prior to marriage, inherited property, etc.) Our governing documents are silent on this, but to be a member of the HOA you must be a homeowner. Also, if a home is jointly owned, can both owners of a single dwelling unit serve as directors?

CharlesW1 (Georgia)
Posts: 826

Posted:

My CC&Rs state the same as what Tom stated. I believe the information you are requesting will be in your CC&Rs or bylaws.

Chuck W

Charles E. Wafer Jr.

JulieS (Georgia)
Posts: 412

Posted:

Our documents state that a homeowner or spouse of a homeowner may serve on the board. I believe only one person per househould can serve on our board.

CarolK (Arizona)
Posts: 3

Posted:

Thanks Charles and Julie. As I stated previously, our documents do not address either the issue of being a homeowner or how many members of a household can serve on the board. I don't think the CC&Rs will ever be changed in my lifetime, because it takes 75% of the homeowners to agree to make any changes there. However, from what Tom said, I think the board could make a change to the by-laws if we see the need. I personally think we should change them to avoid a problem later.

CherylC (Florida)
Posts: 10

Posted:

Hi all,

I too have the same problem where one of the board members is not a Home Owner. My question is in our by laws Articel 2 Members it states that you must ne a home owner (on the Deed)it states : Class A members: Class A membes shall be all owners as shown by the records of the association of fee simple title to the lot or unit located within the property.
Also in Article 3 section 2 Board of directors it states; The number of directors shall be the number of directors elected from time to time in accordance with these by laws, but shall never be less than three. the number of directors may be increased or decreased from time to time by election in accordance with these by laws. The directors need not be members of this association or residents of Florida. Directors shall ne elected by the voting members at the annual meeting of members and shall serve until the next succeeding annual meeting and until their successors have been elected and QUALIFIED.
The FS720 also states member must be a home owner. This particular board member continues to quote the Article 3. What is a QUALIFIED member?
Please help!!!!!!! I have a board meeting tomorrow night to determine who gets what position on the board and he is wanting to be president. The homeowners of this community don't want him on the board at all and top it all off he is the treasurer and his wife is the secretary and he is the Landscaper. Does anyone see the conflict of interest here?

Please advise.

GeraldT1 (<Not Specified>)
Posts: 519

Posted:

CherylC,

Qualified means fullfiling all of the criteria in your hoa which in your case is homeowner on the deed, and a class A member.

The problem you have, where one of the board members is not a homeowner, is because your article 3 section 2 permits it. I suspect this was written for the developer since those on the first board were developer reps. that probably didn't live in your community. Why else would anyone want a total stranger to be a director?

Do you have anything in your by-laws which states that only members in good standing can vote, and that in order to be a member in good standing the owner must be current on his/her dues? If so, this then overrides the non-resident director article because it's doubtful any non-resident would pay dues to an association he/she doesn't live in.

In my HOA/COA, president can't be treasurer. Do you have this provision in your by-laws? If so, in order for your current treasurer to be president, he'd have to give up the treasurer role.

GeraldT1
NNJ

CherylC (Florida)
Posts: 10

Posted:

GeraldT1,

Thanks for your comments. yes, we have that in our by laws, the only thing with that is the house is in his WIFES name. He is currently the treasurer and his wife the secretary, we vote on the new board positions tomorrow night. We were elected almost two weeks ago and at the time he said we could not vote for positions in the same night. After doing my research we could have elected that night. He stated it had to be posted for 7 days and that is only a true statement if they hadn't of posted the meeting in a conspicuous place 48 hrs ahead of time. I don't understand why we weren't elected for our positions by the members and now we have to nominate each other for postions. We have really got to get something incorporated that husband and wifes can not be on the board together!!! Do you know if he can nominate himself for president? If so, his wife will second it and then we will be in a world of hurt. Wwe have someone else on the board that wants to be president how do we get her nomiated first?? How does everyone else vote for their board of directors? Is Florida the only messed up state?

Please advise.

Thanks,
C

RogerB (Colorado)
Posts: 5,067

Posted:

Cheryl, according to your post this says Members must be homeowners but Board members do not have to be members. It is written thusly so the Developer could place their trusted friends on the Board to protect their interest in this development.

A QUALIFIED member should be defined in the Covenants or By-laws. A qualified member is an owner of a unit and may further be restricted to be an owner in good standing - not delinquent on assessments and/or no current violations of restrictions. It appears from your post that a QUALIFIED Board member is any person elected to the Board by members voting at an annual meeting (there may be a state of Florida requirement that they are not a minor). It appears that several members of a family could be on the same Board based on what you posted. I presume there are other considerations which were not posted since usually a Board member can be appointed by the Board to fill a vacancy.

Regarding who is elected to an office the by-laws often have the Board members elect the officers at a meeting soon after the annual meeting.
Based on a phone conversation I just had I suggested every effort should be made to prevent the person who wants to be president and his wife from being elected as officers. And would also suggest since he aborted the annual meeting prematurely that a special meeting be called to remove him (and possibly his wife) from the Board and to complete the unfinished business from the annual meeting.

In addition the Board (or members if required by the by-laws) should establish Rules and Regulations on delinquent assessments and reprimand him if he independently placed liens on properties. Based on the phone call this Board is out of control and could end up in court and have to pay legal fees for both parties. Everu HOA should also have a R&R on Enforcement of Covenants and Rules.

Regarding landscaping, he does have the right to present a bid to be considered in competative sealed bidding. But he should not be involved in any way in the decision of which contractor to use. A copy of adequate insurance should be provided with each bid.

CharlesW1 (Georgia)
Posts: 826

Posted:

I know in my by-laws it states that: the person running for position on the board, their name needs to be the deed. Only one vote per house hold and it states that basically two member of one house hold can not serve on the board together. I don’t know what your by-laws state or what is or isn’t allowed in your association.

I’m sure you will get the help you need, here on this forum. Everyone here is very knowledgeable.

Good luck
Chuck W.

Charles E. Wafer Jr.

CherylC (Florida)
Posts: 10

Posted:

RogerB,

If I forwarded a copy of our By laws and CC&R can you help better advise.

Let me know,
Cheryl

🎯 You've read this entire discussion

Join the conversation with 50,000 HOA & Condo Leaders:

✓ Ask follow-up questions
✓ Share your experience
✓ Get expert advice
✓ Access 350,000 discussions

Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in here