![]() ![]() This could provide the other parties involved in the dispute with an unfair advantage and have a material effect on the outcome of the case and could ultimately have serious ramifications for the association and its members.ĭisclosures In Connection with the Sale of Property ![]() The disclosure of information that is privileged has the effect of breaking the privilege and making the information that would have otherwise remained confidential subject to discovery by the other parties to the litigation and public disclosure. Thus, when a homeowners association is represented by legal counsel in connection with a particular matter, discussions with the lawyer by board members about the matter are protected as privileged communications. ![]() The law protects confidential communications that take place between lawyers and their clients and affords them a privilege against disclosure. Preserving the “Attorney-Client” Privilege It is also appropriate for the board to provide the members with periodic updates about the status of the case. If the existence of a lawsuit is being disclosed, providing members with knowledge of the case and the nature of the claims being made is informative and provides the members with enough information for them to research the public records concerning the case to learn more about on their own. When it comes to the disclosure of information about threatened or actual litigation that involves the association, the information that is given to association members should limited and come from the board of directors and not from individual directors or other association employees or management personnel. When it comes to the disclosure of information concerning litigation to association members, there are some basic considerations that the association’s directors should be aware of. Some treat information concerning lawsuits as “confidential” information that members are not entitled to, and other associations believe that lawsuits involving the association constitute material information that all homeowners are entitled to be aware of. A common issue that is addressed in homeowners associations concerns the duty of an association’s board of directors to disclose information about existing and threatened lawsuits that involve the association to members of the association. ![]()
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