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It’s worth it for board to have counsel review vendor contracts

It’s worth it for board to have counsel review vendor contracts

Richard D. DeBoest

Editor’s notice: Attorneys at Goede, DeBoest & Cross reply to issues about Florida group association regulation. With workplaces in Naples, Fort Myers, Coral Gables, and Boca Raton, the company represents community associations all over Florida and focuses on condominium and property owner affiliation regulation, authentic estate regulation, litigation, estate scheduling and business regulation.

Q: I participated in the “How to Run a Board Assembly Properly” seminar several weeks back, that you set on and I had a fast issue. A statement was made that any time there is a quorum of the board, that the formalities of a board conference will have to be adhered far too. Nonetheless, my question is, if the formalities of the board are founded, could there still be limits set forth centered on the quorum becoming titled as a “workshop?” Meaning, the “assembly” was titled as a “workshop,” but there is a quorum. Are there constraints as to what the board can do? Can the quorum of the board nevertheless set motions and vote, or no simply because it truly is a “workshop”? I would are likely to assume that formalities of the board will work each means, with the latter being a “excellent faith” goal relatively than difficult necessity (i.e. no motions/voting for the duration of workshops).

— A.P., Boca Raton

A: Thank you for attending the seminar. You pose an great query. The statutes do not handle what you can or are unable to do at a “workshop” and the stage of my discussion was no matter of what you call the meeting if a quorum of the board is in attendance it must be seen like a board assembly with owners permitted to show up at besides underneath two confined exceptions. Having said that, I believe that if it is titled a workshop that implies that no board conclusions will be created, and I imagine that is the suitable situation to consider. The board choices must be created at adequately found conference called a “board meeting” and generally call for a released agenda for the motion things.

Q: I would be interested to know what you assume is the greatest avoidable error board’s make on a typical foundation?

— S.A., Treasure Coastline

It’s worth it for board to have counsel review vendor contracts

A: That is an effortless one particular. The greatest and most common simply avoidable oversight is for the Affiliation to enter into a agreement ahead of enabling the Association’s lawful counsel to critique the contract and advise changes. Then when a difficulty arises and the Association would like to get of the contract or promises are not currently being achieved by the seller the Board last but not least seeks the tips of the Affiliation lawyer. I promise you that examining contracts with the lawyer and creating alterations right before the agreement is signed prices a great deal a lot less revenue than getting the lawyer try to solve the complications of a terrible agreement. It is the classic penny smart and pound-foolish situation. Most normal seller contracts can be reviewed and revised in a couple of hrs or less which is significantly much less time than it typically takes to take care of troubles with a undesirable deal.