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

If a condo board member violates their fiduciary duty, they may be held accountable under the law in Massachusetts. Fiduciary duty refers to an obligation of honesty and care that a board member has to the other condo owners when making a decision. If a board member fails to uphold this duty, they may be considered guilty of dereliction of duty. Massachusetts state law outlines a few steps to take if a board member is found to have violated their fiduciary duty. First, the members of the condo board may decide to take disciplinary action against the board member. This could include a suspension of their duties or a complete removal from the board. Second, the other condo owners may take legal action against the board member. Depending on the situation, the board member may be liable for damages caused by their negligence. Such damages could include lost profits or expenses related to the violation. Finally, the state attorney general’s office may investigate the case and take action against the board member. This could include a criminal charge for the violation or a fine. It is important to note that different laws may apply in each state. Therefore, if you are a condo board member in Massachusetts, it is important to understand the laws and regulations related to condo boards and fiduciary duties.

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

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