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Condominium and HOA Boards may encounter a situation where their income and reserves are insufficient and unable to meet their capital needs. Although a special assessment can be mandated, often this is not the ideal situation. 

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Educational Articles & Case Decisions by Category

Recent Articles & Case Decisions

Find out Who is Protected by the Business Judgment Rule

Find out Who is Protected by the Business Judgment Rule

This case involved claims by the owner of a N.Y. Co-Op (“Owner”) against the Co-Ops board of directors (“Board”) and managing agent (“Manager”) for damages based on a failure to properly maintain the exterior of the building.

Court Says Board Cannot Make Repair and Maintenance Decisions in Executive Session Meetings

Court Says Board Cannot Make Repair and Maintenance Decisions in Executive Session Meetings

This case involved a dispute between the owner of a townhouse (“Owner”) and her homeowners association (“Association”) over the removal of common area trees.

Disgruntled Association Member Gets Hit with 7 Figure Judgment

Disgruntled Association Member Gets Hit with 7 Figure Judgment

This case involved a dispute between two husband-wife couples who are members of a homeowners’ association (“Association”) that governs a luxury condominium complex.

 

Court Awards $500,000 to HOA and Homeowner

Court Awards $500,000 to HOA and Homeowner

This case involved a dispute between the owner of a property located within a common interest development (“Owner”), the governing homeowners association (“Association”), and the joint owners of a neighboring property (“Neighboring Owners”). The dispute was over Association’s approval and Neighboring Owners’ construction of modifications to their existing home, or the construction of an entirely new home, in a manner that blocked the view from Owner’s property. Owner’s complaint alleged claims against Association for breach of fiduciary duty and declaratory relief and claims against both Association and Neighboring Owners for breach of Association’s CC&Rs.

Directors are protected by Business Judgment Rule Regarding Settlement of Claims against Builder / Developer

Directors are protected by Business Judgment Rule Regarding Settlement of Claims against Builder / Developer

This case involved a dispute between condominium owners (“Owners”) and their condominium owners’ association (“Association”) over the application of the “Business Judgment Rule” in a manner that protects Association from Owners’ claims for negligence when there has not been a showing of fraud, bad faith, or self-interest.