Legal Question in Real Estate Law in New Jersey
I rent a condominium in new jersey from the owner, who resides in Florida. I've lived here almost 4 years and attend Board Meetings. I have found that the Board/General Manager are very selective when it comes to following the by-laws. The main problem I have is that there has not been a CPA audit of the books in 10 years. An annual CPA audit is mandatory per the by-laws. My owner has written a letter to the Board of Trustees authorizing me to represent him at board meetings and to be his voting representative. They refuse to acknowledge this letter and continue to cut me off at Board Meetings when I try to ask questions or make a comment. They continue to say I am a renter and they will not acknowledge the letter, which is very embarrassing because it is done in front of a lot of people. What can I do about this.......or what can my owner do? Doesn't the owner have a legal right to have someone represent his interest since he lives so far away? Any suggestions?
1 Answer from Attorneys
There are two issues here: First, the officers of the organization can be compelled to follow the rules of the organization (at least insofar as they affect legal rights such as an audit) by a suit filed by someone who has standing to sue. That would be your landlord among others. So, if your landlord is upset at the fact that the board has not followed its own rules, a suit might be appropriate. You, however, probably do not have standing to sue in your own name unless you can convice a judge that you are sufficiently affected by the board's misfeasance. Second, the organization has the right to set its own rules but only within the bounds established by the statute that creates the legal existence for the entity. Assuming that the condo association is an NJ business corporation, the applicable statute says that your landlord has the right to appoint another to act for him by written proxy conforming to certain rules. The board has no legal right to refuse to honor a properly drawn proxy and the statute does not give the corporation the power to decide not to permit proxies.
See also: http://info.corbettlaw.net/lawguru.htm