Board Members Not Totally Exempt from Lawsuits

Ha! So you’re an ex-HOA board member who thought you could skate out of a homeowner’s lawsuit just by resigning from the board. Your vote was among the majority who voted to screw over said homeowner. Now you think by sliding sideways out of the picture, you protect yourself from financial ruin.

Not so, Bunkie, not so. HOA board members are supposed to carry insurance to protect themselves from this kind of liability. But if your vote harmed a homeowner (and most of them do), then chances are that a smart lawyer will go after whatever’s in your deep pocket. If your vote against the aforementioned homeowner was malicious (as many of them are) your insurance won’t protect you.

Welcome to the real world of tort abuse, Bunkie. If the Homeowner wins, better bend over and grab your ankles. Some states are beginning to be more friendly to homeowners after learning that their complaints about Nazi behavior by some HOA boards is actually true.

So if you’re a wide-eyed board member who just wanted “to improve the neighborhood by being the best board member ever,” get real. You might someday have to open your pocketbook and start paying for your crimes.

Source: Stephen Glassman and Donie Vanitzian, LA Times

Ward Lucas
Author of
Neighbors At War: The Creepy Case Against Your Homeowners Association

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Filed under HOA, HOA Horror Stories, Homeowners Association

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