Condo Owner in Arrears Seeks Seat on Board

T.G. from New London County writes:

Dear Mister Condo,

We have a Unit Owner who owed more than $2,000 in condo fees. Through legal representation, the Board of Directors agreed to a payment plan for him to bring his account current. This Unit Owner wants to be on the Board of Directors, but it is our understanding that he is not eligible until he has paid all of the back fees and brought his account up to date. Is there a Connecticut Condo Law or Statute covering this issue? We had previously found a statement covering it, but cannot seem to find it again. Thank you.

Mister Condo replies:

T.G., eligibility to serve on the Board is often dictated in the by-laws of the condominium association. I suspect that it is contained quite specifically in the section of the rules outlining the community’s governance. Alternatively, if there is a section on delinquencies and how rights of delinquent unit owners are affected, you may find the answer for your situation there. However, I think there is a bigger issue to consider, regardless of what the by-laws or even state laws have to say about the matter.

If a unit owner is elected to serve on the Board, the unit owners electing him or her have an expectation that this unit owner will act in the best interests of the entire association. If he has gotten himself into arrears through questionable financial management of his own assets, I think you really have to ask if this is the kind of person you want so close to the association’s assets. Will he be able to separate his situation from the community’s best interests? What if he ends up in further arrears? Will he use his position to influence the Board to not take further collection actions against him? Will he be responsible for deciding how and when the Board will execute their collection plan? I don’t feel that this is an issue of legality as much as it is an issue of integrity.

That being said, if he has satisfied his arrears to the Board’s satisfaction and he is interested in running for the Board there may be little anyone can do to prevent him from doing so. If he is elected and serves honorably, there is no problem. However, if his eligibility to run is forbidden in the by-laws, the community would be well-advised to adhere to those rules. I imagine that if he honors his repayment plan, he will be perfectly eligible in a year’s time. For me, that would suffice. All the best!