What happens if a condo board member violates their fiduciary duty?

If a condo board member violates their fiduciary duty in Delaware, they may be held liable for any damages they caused. A fiduciary duty is a legal obligation to one party and requires acting in the best interest of the other party. This means a condo board member may not act in their own interest at the expense of the condo corporation. If a board member fails to act according to their duty, the condo owner or the corporation may take legal action. Depending on the severity of the violation, the board member may be financially liable and/or required to pay punitive damages. The condo owners may bring a civil suit against the board member for breach of fiduciary duty. The board member could also face criminal charges if applicable laws were broken during the violation. The board member may lose their position and may even be fined for the violation. The Delaware Condo Act states that any person convicted of a breach of fiduciary duty can be removed from office and is liable for any damages to the corporation. Although board members in Delaware have a great deal of responsibility, it is important to remember that they owe a fiduciary duty to the condo corporation. This means that they must put the interests of the condo corporation first. If a board member knowingly violates this duty, they may face legal action and be held liable.

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What happens if a condo board member violates their fiduciary duty?

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