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DUTIES OF DIRECTORS

Duties of Directors. When a homeowner becomes a board member, he/she assumes certain obligations as a director that must be carried out in the best interests of the association.

  1. Fiduciary Duties. Directors are held to a higher standard and must fulfill their duties of loyalty and due diligence.
  2. Confidentiality. Directors have a duty of confidentiality, i.e., there are matters that directors must keep in confidence.
  3. Board Meetings. Attend and participate in meetings so they can be informed about the association's business.
  4. MaintenanceMaintain the common areas on behalf of the membership (Civ. Code §4775)
  5. Rules Enforcement. Enforce the governing documents via warnings, hearings, fines, suspension of privileges, and litigation. (See Enforcement Flowchart.)
  6. Financial Management. Boards are obligated to collect assessments necessary to properly maintain the property and enforce the governing documents. (Civ. Code §5600.) To that end, they must prepare budgets, levy and collect assessments, pay bills, review financial records, and prepare year-end financial statements.
  7. Operational Management. Manage the day to day operations of the association. This includes retaining (as needed) management services, legal services, landscape vendors, pest control, operating amenities (pools, tennis courts, clubhouses, equestrian facilities, golf course, etc.), purchasing insurance, etc.

Authority to Perform Duties. To carry out their duties, boards have authority as provided by the governing documents and  statute. Directors must perform their duties as fiduciaries.

ASSISTANCE: Associations needing legal assistance can contact us. To stay current with issues affecting community associations, subscribe to the Davis-Stirling Newsletter.

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