contracting electrician without a contract, board approval

[ggolub]

What is the name of your state (only U.S. law)? New York.

Condo president authorized hurricane electrical work being done 1st time with no contract, 2nd time with a contract for $347k with no board approval justifying it was an emergency. May be it was, but all board members were available 1st and 2nd time.
I see it as a potential ground for financial violations.
Can you please advise a way to handle this situation.

 

[tranquility]

Have the board members ratify the contract.

 

[ggolub]

No, contract was not retified. But work has been completed and money paid.

 

[tranquility]

The solution is to have the board ratify the contract.

But, if they don't, the solution lies in whatever action they decide to take.

 

[festival]

What do your governing documents say about approvals for expenditures and approvals for emergency expenditures? The financial duties of the board and the president are usually spelled out to prevent this type of situation. Let the president know about anything that was against the bylaws so it doesn't happen again.

If the money will be reimbursed by insurance, then it is less important, mostly a matter of working with the insurance company.

Time to review all of your financial procedures: those in your governing documents, additional procedures, and board oversight.