QUESTION: Is
it illegal for a contractor, e.g., landscaper, roofer, etc. to take
board members on trips to the wine country, Las Vegas, etc. and pay
their way?
ANSWER: The
act of giving or receiving a gift is not illegal. However, it becomes a
problem if the gift influences a director's judgment when contracts
are awarded. If directors approve contracts based on the gifts they
receive, the gifts become bribes. That's why most organizations adopt
ethics rules setting strict limits on gifts. (See
House Ethics Manual for the U.S. Congress concerning gifts.) Your association should adopt its own
ethics rules so board members will know where the ethical boundaries are located.