conflict of interest disclosure

Started by TishS • 4 replies • 1350 views

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TishS (Washington)
Posts: 11

Posted:

The board of my hoa which was made up of three family members added 100 lots to the hoa giving them all beach access. The meeting that took place consisted of 10 members 8 were all related and owned these lots at one time or currently, the lots they did not own they had sold previously promising beach access. They used the bylaws to add these lots in 2004 and recorded the bylaws only against 24 of the new lots and non of the original lots. I only discovered existance of the bylaws in 2009 by accident. The association is incorporated.

Were they required to file something with the state regarding the conflict of interest in this case?

SteveM9 (Massachusetts)
Posts: 3,699

Posted:

Quote:

Were they required to file something with the state regarding the conflict of interest in this case?

Ummm... there is no such agency that handles conflicts of interest. There may be some problems on they way they did this, but I dont see a conflict. But they may have done it correctly, I duno.

PS. Its not illegal to have a conflict of interest.

SusanW1 (Michigan)
Posts: 5,202

Posted:

Our subdivison has 'outside' lots and homes that we provide water to, but they have no "privileges" i.e. beach accesss, road care, or community center use.

Are you saying that the board voted to extend beach privileges ONLY to these lots/homes?

Do you have CCRs?

We don't.

TishS (Washington)
Posts: 11

Posted:

These added lots have full voting rights, but are not bound by any CCR's only the original 29 lots have CCR's and are mandatory. The are extended beach privileges and they sell their properties with beach rights, even though they may not be paying dues (I think under the theory that you can volunteer to pay dues if you want?) Nothing shows up on these voluntary members deeds regarding the beach or the HOA.

I have spent almost a year trying to get something in writing from the HOA to once and for all explain this issue, but as soon as I get close, it seems I get some new information that I was completely unaware of before. Like last week is when I found out the articles of incorporation I was given by the HOA and Title are not the correct ones. The HOA then said it is not an HOA at all, but a community club

SusanW1 (Michigan)
Posts: 5,202

Posted:

Hmmm - if it's true what you say, I wonder what the upside is for the HOA?

Sounds like they are giving away privileges and taking on liabilities, but not getting anything in return.

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