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1 New Section; Condominium; Board of Directors Liability. Amend RSA 356-B by inserting after section 35 the following new section:
356-B:35-a Board of Directors; Liability. A member of the board of directors shall discharge his or her fiduciary duties to the unit owners' association in good faith, with the care an ordinarily prudent person in a like position would exercise under similar circumstances, and in a manner he or she reasonably believes to be in the interests of the association. A member of the board of directors shall not be covered by a master liability policy and shall be liable for monetary damages of the unit owners association if such person knowingly breached or failed to perform his or her fiduciary duties and the breach of, or failure to perform, his or her fiduciary duties constitutes a crime of forgery, theft, embezzlement, tampering with physical evidence, obstruction of justice, or the destruction of or the refusal to allow inspection or copying of an official record of a condominium association that is accessible to unit owners within the time periods required by law; constitutes a transaction from which the director derived an improper personal benefit, either directly or indirectly; or constitutes recklessness or an act or omission that was in bad faith, with malicious purpose, or in a manner exhibiting wanton and willful disregard of human rights, safety, or property.
2 Effective Date. This act shall take effect 60 days after its passage.
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1 New Section; Condominium; Board of Directors Liability. Amend RSA 356-B by inserting after section 35 the following new section:
356-B:35-a Board of Directors; Liability. A member of the board of directors shall discharge his or her fiduciary duties to the unit owners' association in good faith, with the care an ordinarily prudent person in a like position would exercise under similar circumstances, and in a manner he or she reasonably believes to be in the interests of the association. A member of the board of directors shall not be covered by a master liability policy and shall be liable for monetary damages of the unit owners association if such person knowingly breached or failed to perform his or her fiduciary duties and the breach of, or failure to perform, his or her fiduciary duties constitutes a crime of forgery, theft, embezzlement, tampering with physical evidence, obstruction of justice, or the destruction of or the refusal to allow inspection or copying of an official record of a condominium association that is accessible to unit owners within the time periods required by law; constitutes a transaction from which the director derived an improper personal benefit, either directly or indirectly; or constitutes recklessness or an act or omission that was in bad faith, with malicious purpose, or in a manner exhibiting wanton and willful disregard of human rights, safety, or property.
2 Effective Date. This act shall take effect 60 days after its passage.