There are five trustees. One of them, I'll call her Marge, has been here since the condos opened. She's also a lawyer so she knows about contracts. She's very very close friends with the building manager. The lobby of the bldg was scheduled to be rehabbed. The budget was set at $100,000 and she spent $200,000. (I did some digging and found out her brother was paid $25,000 just to paint the small lobby. ) Recently she asked to be reimbursed for $200 for her "work" on the lobby. The condo docs very clearly state that no trustee should be reimbursed for an expense w/out the express approval in writing beforehand of all the other trustees. The mgr argued that she should be reimbursed. Two other trustees and I agreed she shouldn't. After that meeting, there were no trustee minutes submitted by the mgr for us to approve. About a month later, I wrote them and emailed them to everybody. This was 3 months ago and the mgr hasn't posted either his minutes or the minutes I wrote onto the condo site w/ the other minutes. Officially, they don't exist. He wanted her reimbursed and my guess is she's been using this place as a piggybank for years. There's more. What do I do?
Most condo docs do not have any prohibition against Trustees benefitting financially from self-dealing with the condo. Trustees are allowed to hire anyone they want generally, including themselves, to do work for the condo. What they aren't allowed to do is be reimbursed for work as a Trustee, but they can be reimbursed for work they do as a contractor for the condo. If you think that the Trustee was taking payments that weren't authorized, you can review the financial documents and sue them if appropriate. Condo/Trustee law can be complex, so you would need to take the details to a lawyer to go over.
I am a Massachusetts attorney and answer questions based on Massachusetts law. The above answer is for educational purposes only and does not create an attorney client relationship or constitute legal advice.
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