Board has authority to fill vacancy

Q. There were four open seats for the board of directors and six candidates. I was one of them. I did not win the election. After one month, a newly elected board member resigned, leaving the space open. Several residents who did not run for the board have been interviewed for the open seat. If there were three residents running for three open seats and all three were elected and then one resigned, I could understand the board filling the vacancy by selecting another resident. However, in our case, since there are two of us who put our name on the ballot and didn't win, does the board have the power to choose a resident other than one of us who ran and lost?

A. Unless your governing documents require the association to elect another director in the case of resignation; or unless your governing documents require that the association select the highest-balloting candidate who lost in the last election; the board would have the power to appoint anyone it wanted. NRS 116.3103 states that unless otherwise provided in the covenants, the board has the right to fill vacancies for the unexpired portion of a director's term.

The reader included a copy of an e-mail he sent to the board raising one issue under NRS 116.3103, which states that the board may not elect members of the board or determine their qualifications. First, the board may fill the vacancy of a director who had been elected by the membership, unless otherwise stated in the association's governing documents. Second, the association can establish qualifications for seeking a board position. Please note the beginning words of this statute, which state "except as otherwise provided in the declaration or bylaws" of the association. Many associations have in their governing documents that only resident owners can hold a board position.

Bottom line: The board can appoint whomever they like to serve with them.

Q. Our home has extensive damage from a leaking sprinkler system. Apparently, it has been leaking for two or three years. There is a 45-degree angle in the floor from the patio to the master bedroom closet. This problem is now on the meeting agenda. We filed a claim through the association's insurance company. We called to check on it and found the HOA put the claim in its name and not our name. Is this legal?

A. It is not illegal. In a condominium association, the insurance policy is in the name of the association and covers the common areas and the actual buildings themselves.

Barbara Holland, certified property manager, is president and owner of H&L Realty and Management Co. Questions may be sent to Association Q. & A., P.O. Box 7440, Las Vegas, NV 89125. Her fax number is 385-3759. Questions may be shortened and are subject to editing.