Jul 27 2009
HOA Legal Advice
 

Looking for some legal advice with this issue.

Our HOA consist of sixteen units.
The HOA board voted to have our complex tented at a cost of close to $25k. The president of the board signed a contract with Terminix as the vendor, which many believe was under duress as the salesman for Terminix was at the meeting where the contract was signed.
The Terminix contract has a 3 day cancelation period, which the board did not exercise. At the meeting where the contract was signed, I as one of the owners expressed my complete disagreement with the decision and asked for more time, the president of the board voted to proceed and sign the contract and to not put the vote out to the owners.
According to the CC&R’s the board should have put this for an association vote as the expense was not accounted for in the budget, and how it was going to be paid back to the reserves.
At this point there are approx 7 owners who are in completely against doing the tenting which 1, expensive, 2, an inconvenience, 3, and according to two of the three quotes unnecessary.
What is the best recourse from the board and association to cancel the contract with the Terminix vendor?
No money has been paid to Terminix. The tentative date for the tenting is less than one month away.
I and a few of the owners are looking for some advice with how to handle this situation, from a legal standpoint.
The board is looking for a way out of the mess they created as there is now a firestorm brewing.
Thanks so much.

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