Board treasurer suspects mail tampering

Question: I’m the treasurer of my Los Angeles homeowner association board of directors and I have reason to believe our management company is not giving all of the association’s mail to us. The company uses its own address on our documents and mail. We are forced to rely on the company’s word regarding all mail to the association. We are terminating this company, but we’re held hostage to figuring out how to get our mail in a timely manner and change our address. The company has said it will sue if the association puts in a change of address using its address. What do we do?

Answer: If the management company intentionally withheld or retained association property, the company is in no position to threaten a lawsuit, let alone keep your mail.

Your contract with the management company may have named them an agent but the association can still place a change of address under its name with the post office. Even if the management company’s name is on the envelope, mail addressed to the association is the association’s property, not the management company’s. That mail can be forwarded to the association at an address the board chooses.

Associations often make the mistake of appointing a management company as their agent. Other mistakes in judgment include permitting the management company to take charge of the association’s mail, books, records, bank accounts or other related items. Frequently, associations are misled into believing that things must be done the way a management company says.

Directors sometimes forget that the board must supervise all these activities and that the failure to do so is a breach of fiduciary duty. The management company is merely a vendor providing a service, but it is the association that decides for what services it wishes to contract. If the company is withholding or tampering with your association’s mail, file a complaint with the local post office and demand an investigation. In fact, it may be a breach of fiduciary duty if the board fails to file a complaint.

Make certain to file a change of address for the association. Advise the management company in writing that its contract is terminated; that all documents belonging to the association, including mail, are to be returned at once, and that failure to comply with these demands may result in a lawsuit against the company.

Send questions to P.O. Box 11843, Marina del Rey, CA 90295 or e-mail noexit@mindspring .com.