Reasonable Actions by HOA Directors are Protected by the Business Judgment Rule

This case involved a dispute between a condominium owner (“Owner”) and his homeowners association (“Association”) over an air conditioning system (“HVAC System”) owner installed on his patio adjacent to his unit. Because the installation required cutting through an exterior wall, which was a “common element,” and also placement of the unit on the patio, which was a “limited common element,” approval for the installation had to be given by Association’s Board of Directors.