Special Assessment? JUST VOTE NO!

Last Fall, in the hope that the Courts would step in and protect the Association, I alleged the following in my Motion for Receiver (pg 7/ # 10) :

“The facts enumerated in the Amended Complaint demonstrate Defendants failed and refused to insure the Association with the coverages required in the Charing Cross By-laws Article XII Sections 1 and 2. While the 2008 budget shows $595.00 for fidelity insurance, at the 9/4/08 and 9/23/08 meetings Defendant Board Members stated they did not have fidelity insurance, nor would their Directors & Officers insurance cover a non-monetary litigation, hence the need to defend against the lawsuit out of pocket. Defendants have failed and refused to explain on what the $595 was spent. Defendants thereby misrepresented the Association’s financial statements and affairs to Plaintiff and Members in violation of Md. Code Criminal Law § 8-402.” [emphasis added]

The 2009 budget, distributed by Comanco to all members, also set aside money to purchase fidelity insurance. Today’s mail delivered a letter dated June 10, 2009 from Attorney Curley in which we are finally informed that the Association is indeed “without insurance coverage” required by our Bylaws and Maryland State Law (see Update – Case Stayed Pending Appeal below). This letter assures us that the case has been reported to the Condominium’s insurance company, Millers Mutual Group, while omitting the fact that the fidelity insurance in our budget is a separate line item, easily distinguished from the far more costly premium paid to Millers Mutual Group for our Master Policy.

Your Board of Directors apparently just spent your money to have their lawyer explain that you and I MUST pay all their legal expenses and Comanco’s as well since it appears they somehow neglected to spend the money budgeted for fidelity insurance to actually purchase fidelity insurance. OOops! Am I the only one worried there may be other important things they’ve neglected? Do you uncritically accept advice written by Trusted Legal Advisors and pull out your checkbook to cover their legal bills while at the same time explaining to your children or grandchildren that it was financially necessary to bulldoze our community playground?  Or would you prefer a second, more objective opinion? Be sure to attend our Annual Meeting on Tuesday, 23 June 2009, 7 P.M. at Comanco, 2139 Defense Highway, Crofton MD.

Please help elect at least two new disinterested directors to Your Board and JUST VOTE NO to any special assessments for the purpose of covering expenses associated with this lawsuit.