Do you know your personal liability as a board member?
A plain-language guide to what you are personally on the hook for as an HOA or condo board member — and how good records protect you.
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Written for HOA, condo, and co-op board members
The problem: protection you assume you have
Fiduciary duty sounds abstract until a dispute makes it personal. This one-pager makes the stakes concrete.
Personal liability is real
Board members can be held personally responsible for decisions made on behalf of the association — even as volunteers. Most members never learn this until a claim appears.
The Business Judgment Rule has conditions
Courts protect boards that act in good faith on an informed basis — but that protection assumes there is a record showing how the decision was made.
No record, no defense
When a decision is challenged and there's no documentation of who decided, when, or why, the board loses its strongest protection.
What's inside
A quick read for new and returning board members who want to understand their exposure.
What you are liable for
A plain-language breakdown of the duties of care, loyalty, and obedience every board member carries.
How the Business Judgment Rule protects you
When courts defer to board decisions — and the documentation that keeps that protection intact.
What happens when records are missing
The real-world consequences of undocumented decisions during audits, disputes, and board turnover.
A simple standard to follow
The minimum documentation practices that keep individual members protected.
Know where you stand
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