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(NC) Can a HOA board member release recordings of an executive session?

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NC. HOA announced they are not enforcing any CCR/by-laws except for dues collection several months ago but served this one homeowner with a lawsuit over an architectural dispute. Can a member of the board release audio recordings of the executive session specific to the discussion over the lawsuit? Lawsuit was voted on in executive session, not open session. Community was not aware of it being filed. What are the laws applicable to this? Nothing in the bylaws or CCRs specific to filing lawsuits or contracts except that any expense beyond 5% of the approved budget must be voted on by the community.
 


LdiJ

Senior Member
NC. HOA announced they are not enforcing any CCR/by-laws except for dues collection several months ago but served this one homeowner with a lawsuit over an architectural dispute. Can a member of the board release audio recordings of the executive session specific to the discussion over the lawsuit? Lawsuit was voted on in executive session, not open session. Community was not aware of it being filed. What are the laws applicable to this? Nothing in the bylaws or CCRs specific to filing lawsuits or contracts except that any expense beyond 5% of the approved budget must be voted on by the community.
An HOA can pick and choose a bit about enforcing by-laws. If would be up to the homeowner to argue in court (and prove with evidence) that other homeowners have been allowed to do the same thing that he/she is doing without being sued.

I am assuming that since they don't want to enforce the bylaws other than dues collection that whatever the individual homeowner did was enough to have lots of other homeowners complaining and that is why they chose to enforce the bylaws in their case.
 

Taxing Matters

Overtaxed Member
If the release of audio recordings is not prohibited by the CC&Rs/bylaws then, yes, he's free to release the recordings.
Not so fast. If the board has determined that these recordings are not to be made available outside the board and a board member nevertheless releases the recording that board member may be liable for breach of fiduciary duty to the board and the association. Releasing audio of a discussion of litigation prior to the conclustion of that litigation is a very bad idea and no doubt the attorney for the association would be quite upset if that results in the opposing party getting privileged/confidential information that undermines the board's position.
 
Not so fast. If the board has determined that these recordings are not to be made available outside the board and a board member nevertheless releases the recording that board member may be liable for breach of fiduciary duty to the board and the association. Releasing audio of a discussion of litigation prior to the conclustion of that litigation is a very bad idea and no doubt the attorney for the association would be quite upset if that results in the opposing party getting privileged/confidential information that undermines the board's position.
The majority of the community isn't in favor of the lawsuit. The board member voted against this as as shown on the recording it is very clearly a personal vendetta (specifically said) and targeted at these folks. There is a personal history there.
 
An HOA can pick and choose a bit about enforcing by-laws. If would be up to the homeowner to argue in court (and prove with evidence) that other homeowners have been allowed to do the same thing that he/she is doing without being sued.

I am assuming that since they don't want to enforce the bylaws other than dues collection that whatever the individual homeowner did was enough to have lots of other homeowners complaining and that is why they chose to enforce the bylaws in their case.
The homeowner built a shed in their backyard. Like a good 30% of the other people in the community. Similar materials to other approved sheds.
 

zddoodah

Active Member
Can a member of the board release audio recordings of the executive session specific to the discussion over the lawsuit?
I see no reason to believe that this isn't something that can happen. If your intent was to ask if any provision of NC law prohibits this, I doubt it.

What are the laws applicable to this?
The laws applicable to an HOA suit against a resident relating to "an architectural dispute"? I'd suggest reviewing some of these search results.
 

encinoman

New member
NC. HOA announced they are not enforcing any CCR/by-laws except for dues collection several months ago but served this one homeowner with a lawsuit over an architectural dispute. Can a member of the board release audio recordings of the executive session specific to the discussion over the lawsuit? Lawsuit was voted on in executive session, not open session. Community was not aware of it being filed. What are the laws applicable to this? Nothing in the bylaws or CCRs specific to filing lawsuits or contracts except that any expense beyond 5% of the approved budget must be voted on by the community.
So much going on in this post! First, the HOA announced they weren't going to enforce the CC&R? It's their absolute duty to! They can't volunteer for the position as a trustee of the HOA's money and the property and then openly declare they won't do it. A member could sue them for gross negligence if failure to enforce the CC&R causes damage.

As far as releasing recordings of the executive session, I don't know specific laws in North Carolina, but in general, closed sessions are exceptions to open meeting rules. That is, an assembly is required to have its meetings in the open, except when discussing anything that needs privacy to ensure integrity, such as discussing legal strategy in pending litigation, reviewing contract bids, etc., or would violate privacy (discussing issues pertaining to one member). Voting on whether to sue someone would qualify. But, if the board decides it's in the best interest of the HOA to release information about what happened in executive session, then there's probably no specific prohibition. A board member shouldn't do it, though, on his own.

There shouldn't be a need to, though. I mean, people can now go to an open meeting and ask the board what their thinking was in filing the lawsuit.

And, as you've found, if there's nothing in the CC&R or By Laws that require a vote of the membership to file a lawsuit, then of course it's up to the Board alone.
 
So much going on in this post! First, the HOA announced they weren't going to enforce the CC&R? It's their absolute duty to! They can't volunteer for the position as a trustee of the HOA's money and the property and then openly declare they won't do it. A member could sue them for gross negligence if failure to enforce the CC&R causes damage.

As far as releasing recordings of the executive session, I don't know specific laws in North Carolina, but in general, closed sessions are exceptions to open meeting rules. That is, an assembly is required to have its meetings in the open, except when discussing anything that needs privacy to ensure integrity, such as discussing legal strategy in pending litigation, reviewing contract bids, etc., or would violate privacy (discussing issues pertaining to one member). Voting on whether to sue someone would qualify. But, if the board decides it's in the best interest of the HOA to release information about what happened in executive session, then there's probably no specific prohibition. A board member shouldn't do it, though, on his own.

There shouldn't be a need to, though. I mean, people can now go to an open meeting and ask the board what their thinking was in filing the lawsuit.

And, as you've found, if there's nothing in the CC&R or By Laws that require a vote of the membership to file a lawsuit, then of course it's up to the Board alone.
How about a former board member that quit because they believed that filing the lawsuit (and dropping any other enforcement in the neighborhood) was a violation of their fiduciary duties? The discussion in the meeting (and the recording) was very clear in showing that it was personal. The exact phrase "you're damn right this is personal" was used (and recorded).
 

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