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

If a condo board member in Nebraska violates their fiduciary duty, the law provides a means for legal action to be taken against them. According to the Nebraska Condominium Act, if a board member is found to have violated their fiduciary duty, they can be held legally and financially responsible, and the condo association can take them to court to seek damages. They may be forced to pay a penalty to the association, or even be held liable for any money that the association lost due to their actions. In addition to this, board members can be removed from their positions if they are found to have violated their fiduciary duty. The other members of the board may hold a special meeting to decide whether or not to remove the member in question from the board. If their violation causes significant financial harm to the association, they may even be barred from serving on the board in the future. The law also provides for criminal penalties if the violation is considered to be especially serious. Depending on the nature of the violation, the board member may be charged with a misdemeanor or even a felony. This could lead to serious fines or even jail time. No matter what the effect is, it is important to remember that board members must follow their fiduciary duty in order to maintain the integrity of the association. Failing to do so can have serious consequences.

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

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