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Good morning, Tony, my name is XXXXX XXXXX I will be glad to assist you, but need a bit more information, if you do not mind,
Q. Is it correct to assume that during that 7-year period, there were no elections and the same Board remained "in power" during that time ?
Q. Under normal circumstances, in what month would elections be held for Board member and officers ?
Thank you and I look forward to your reply,
Your assumption is correct. while under class B control (Developer) there are no elections.
There are no established times for elections. I have to assume that once a Class A board (residents) is elected the terms would correspond to when they are put in office unless stipulated differently.
Hi, Tony, Thank you for your reply,
Hopefully the developer is no longer in the picture and the Board that has been sitting for the last 7 years has pretty much outlived its usefulness. The owners in the community have the right to govern themselves and elect whomever they want as their Officers and their Board of Directors. Since elections have never been held before, it would be appropriate to call a Special Meeting of all the owners to elect a Board of Directors and to elect the Officers. In order to have a valid Special Meeting a "Notice of Special Meeting must be given to all the owners in the community. The Notice must contain the following information:
Date and time of the Special Meeting
Location where Special Meeting will be held
Reason for Special (Hold elections for Board of Directors and Officers)
Agenda (Nominations and election of Board, Officers and determine when annual elections will be held in the future, what personnel will be necessary, i.e., accountant, etc.)
Be sure that you review the By-Laws to see what they require in terms of a quorum and what percentage of those present is required to vote someone in. Once the frst of these elections is held and the Board of Directors and Officers are sworn in, you are on your way to governing yourselves.
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the developer is still in the picture and that is the basis for my question. The turnover to Class A (residents) should of happened after the seven year period according to the by-laws. The Developer failed to extend that provision so my questions is now that the seven years have passed does the developer have the right and/or authority to conduct a vote of the residents for them to continue with a Class B controlled board or is this now a moot issue as technically the board's reign has terminated according to the seven year provision?
You are absolutely correct. The developer should have been out of the picture long before now. He does not have the right to renew the Class B status. The failure to renew the Class B status now puts you and the rest of the homeowners in a position to govern yourselves. I do not know what the developer has on his agenda, but I would suggest that you do not give him any opportunity to renew the Class B status on some technicality. The By-Laws govern, but I do not trust developer's who overstay their welcome and that is why I would feel a lot more comfortable when he is totally out of the picture. Do not give him any opportunity to "remain in power". You can avoid this by holding the Special Meeting that I outlined in my previous Answer and if everything is done quickly and according to the By-laws, the developer will not have a leg to stand on, regardless of what he has in mind,
thank you for the answer. I just realized I was in error on the date that the Class B control was to end. I told you originally that is 2013 but it was July of 2012. They never started the conversion process nor did they start a transition team. The association management team reported directly to the developer and never advised the residents of what should have happened. Does the earlier date change the basic answer to my question being do they have the authority to conduct the vote and is there action that can be taken for their deceiving the community for over a year?
My Answer remains the same. In fact, the farther away from the expiration date of the Class B control, the weaker their argument would be if they, for some reason, decided to renew Class B control.
The conversion process must be written somewhere; I am sure that it would not have been left up in the air. Therefore, it makes my suggestion for a Special Meeting that much more urgent. You can also include on the Agenda of the Special Meeting, the formation of a Transition Team to effect the Conversion Process.
It would be difficult to determine if they deceived the community because I do not have all the information, Just playing devil's advocate for a moment, it could be argued that the homeowners had knowledge of the 7-year term of the Class B control and they failed to renew by a certain date, their "reign" expired, just as you had knowledge of this. I am sure that this is written somewhere. If it was provided in writing somewhere that it was their absolute obligation to form a Transition Team, then I think that the most you could hold against them is a breach of duty, but if the community just sat back and did nothing, the fact that the Class B control did not step down, does not necessarily constitute deceit on their part. If I had all the documents before me and I could review them, then maybe I would find some deceptive practices on their part, but based on what you have stated this far, I do not see anything which would hold up against a charge of deceit, or deceiving the community.
"For Andrea only .........."
And I will be sure to get your question, In the meantime, please keep me informed of your efforts and let me know if you come up against any stumbling blocks and we can face them together,
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