What Happens When an HOA Board Refuses to Fill Vacant Director Seats?
- Board of Directors
A well-functioning homeowners association (HOA) board relies on having the number of directors required under its bylaws—commonly five or seven. But what happens when the board operates with fewer directors than required, such as only three members on a five-director board, and refuses to fill the vacancies? This situation is not only problematic but can raise legal and governance concerns.
Operating with Too Few Directors Is Risky
Violation of Governing Documents. An HOA’s bylaws are binding rules that dictate how the HOA must operate. If the board is smaller than required, any actions it takes may be challenged as invalid because they were made by an improperly constituted board.
Quorum Problems. Most bylaws require a majority of directors to form a quorum for board meetings. On a five-member board, the quorum is typically three directors. With only three active directors, all must be present to conduct business, which increases the risk of stalled decisions if one is absent.
Fiduciary Duty Concerns. Directors have a fiduciary obligation to:
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