Whose interests are being served?
A conflict of interest arises when a director’s personal, family, or business interests could interfere with judgment on an association matter. The concern is whether the board can evaluate the decision fairly and explain it honestly to owners.
A relationship does not, by itself, prove misconduct. Concealing it, steering a decision, or bypassing safeguards can damage confidence even when the proposed work seems reasonably priced.
Ask: “Would owners see this decision differently if they knew about my connection?” If so, raise the issue before the association commits.
In Century Village’s small associations, directors often know contractors and neighbors personally. Familiarity makes early disclosure and a consistent process especially useful.
Situations worth examining
| Situation | What the board should examine |
|---|---|
| A director’s family business offers landscaping services. | The relationship, ownership interest, proposed terms, and applicable approval procedure. |
| A director recommends a contractor who provides personal discounts. | Whether the benefit is connected to association work and could influence the recommendation. |
| The board considers a dispute involving a director’s own unit. | Independent handling, consistent treatment, and counsel’s advice about participation. |
| A director recommends an experienced neighbor with no financial connection. | Qualifications and objective comparisons; friendship alone does not establish a prohibited transaction. |
| A director votes on a budget affecting all owners similarly. | A shared ownership interest is different from a separate personal benefit. |
These examples identify questions to investigate. They do not establish that every situation triggers the same statutory procedure.
Confirm the applicable conflict procedure
Section 718.3027 addresses covered conflicts involving directors, officers and specified relatives in associations that are not timeshare condominium associations. The summary below does not establish that a particular relationship, activity or contract falls within the provision.
- Disclosures and supporting records: subsections (1)–(2) address covered activities, agenda materials and recorded disclosures.
- Participation: subsection (4) addresses presentation, departure during deliberation, recusal and quorum treatment.
- Approval: for a transaction to which subsection (2) applies, the statute specifies an affirmative vote of “two-thirds of all other directors present.” Have counsel identify the applicable people, exclusions, denominator and voting procedure before applying that threshold.
- Member review: subsection (2) separately addresses disclosure at a membership meeting and possible member cancellation.
- Termination: subsection (5) describes a written-notice termination mechanism for certain improperly disclosed contracts, with consent from at least 20% of association voting interests. This is not a universal cancellation rule for every suspected conflict or unpopular contract.
Source checked October 18, 2026: 2026 Florida Statutes §718.3027, especially subsections (1), (2), (4) and (5). Read the complete provision, including its definitions and other conditions.
Section 617.0832 is expressly referenced in §718.3027. The published 2026 revision to §617.0832 needs its own review; use the disclosure-and-referral worksheet below to map its interaction with condominium-specific requirements. Ask counsel to review their combined application and the governing documents rather than treating either short summary as a complete transaction procedure.
Disclosure and referral: review both statutory frameworks
A disclosed relationship is the beginning of review, not automatic approval or proof of wrongdoing. Give counsel the transaction and relationship details before the association commits. Ask for one written procedure addressing all applicable sources rather than choosing a favorable sentence from one statute.
Why revised § 617.0832 needs a separate look
The published 2026 version addresses director conflict transactions, fairness, and how certain approvals affect the burden of proof in a challenge. Its definitions include indirect interests and specified family connections. Subsections (6)–(7) separately address other authorization requirements. These provisions should not be reduced to a generic vote that guarantees validity.
For an association subject to condominium-specific conflict provisions, ask counsel to reconcile that framework with § 718.3027 and the governing documents. Do not assume that a Chapter 617 fairness argument, disclosure, or approval route dispenses with condominium-specific steps.
No standalone voting formula. Counsel should identify the applicable people, definitions, disclosures, participation limits, approvals, and follow-up for the actual transaction. This worksheet does not decide that the statutes conflict, that one displaces the other, or that a vote validates the contract.
Map the questions before deciding
| Source to review | Question for counsel |
|---|---|
| Revised § 617.0832 | Does this fit the defined transaction and interests? What fairness, evidentiary, and approval provisions are relevant? What separate authorization remains necessary? |
| § 617.0143 | How do the definitions concerning qualified directors, material interests, and relationships apply here, including association-specific language? |
| § 718.3027 | Is this association and activity covered? What condominium disclosure, agenda, participation, approval, member follow-up, or remedy provisions apply? |
| Other applicable sources | What governing-document, procurement, contract, funding, professional-conflict, or other requirements must also be satisfied? Which version of law applies to the relevant events? |
Disclosure-and-referral worksheet
Print or copy into a secure working document. Complete facts; leave legal determinations to counsel. This webpart does not collect, save, or submit information. Keep legal advice and protected details in appropriately controlled files.
| Field | Facts / source / action |
|---|---|
| Association and proposed transaction | [Name, project, counterparty, proposed price, duration, scope, current stage, and proposed commitment date] |
| People and relationships | [Director/officer, relative, employer, entity, ownership, management role, or other connection; identify the source and any uncertainty] |
| Benefit or interest | [Payments, compensation, ownership, discounts, referral benefits, or other interests disclosed; distinguish direct from possible indirect connections without deciding legal materiality] |
| Prior participation | [Who prepared specifications, contacted bidders, negotiated, recommended, gave instructions, voted, signed, or approved payment; dates and documents] |
| Disclosure record | [What was disclosed, to whom, when, and how; missing facts; attachments; any changes since disclosure] |
| Independent comparison | [Other proposals, scope differences, pricing evidence, qualifications, and who assembled the comparison] |
| Referral and representation | [Counsel, date sent, acknowledgment, client identified, any conflict in the advisers or need for independent review] |
| Counsel’s applicability determination | [Date and secure advice reference; applicable statutory versions and provisions; remaining questions—not privileged analysis copied into a public log] |
| Counsel-confirmed procedure | [Required disclosure/agenda steps, who may participate, approval process, authorized signer, member follow-up, and other contract requirements] |
| Decision and implementation record | [Meeting/minutes reference, approvals actually obtained, conditions, assigned person, supporting records, and completion dates] |
| Changes / unresolved matters | [New facts, changed proposal, missing approval, follow-up owner and date; refer again before relying on earlier advice] |
Use the worksheet as a referral tool
- Disclose early and completely. An annual form is a useful prompt; update it for the specific transaction and changed facts.
- Arrange independent handling. Ask counsel who should gather evidence and consider the matter when a director, manager, vendor, or adviser is implicated. Do not assume the interested person can approve their own review process.
- Resolve the procedure before commitment. Track counsel’s instructions and required approvals. If work has already started, refer existing obligations promptly rather than assuming later disclosure cures a defect.
- Preserve and follow through. Retain disclosures, proposals, communications, approvals, and the final contract. Check conditions and later disclosures without using this worksheet to announce a legal remedy.
Referral, not clearance. A completed worksheet is not approval, ratification, a conflict waiver, or a determination that a contract is fair, enforceable, invalid, or terminable. Have qualified Florida counsel determine the applicable process, participation rules, voting requirements, and any proposed remedy for the actual facts.
Current official sources
Reviewed October 19, 2026: § 617.0832; § 617.0143; § 718.3027. Check current text and relevant effective dates before relying on earlier summaries. This independent Board Synergy educational tool is not official UCO or WPRF policy.
Disclose the connection. Review the whole transaction. Document the process.
A practical process for better decisions
The following are recommended board practices. Have counsel check the association’s policy against its governing documents and applicable law.
- Identify connections early. Ask directors to disclose relevant business interests, family connections, and personal benefits before specifications or vendor selections are shaped.
- Describe the connection in writing. Name the parties, explain the relationship, and identify the proposed work or decision. Avoid vague statements such as “I know the vendor.”
- Arrange independent review. Let directors without the connection assess qualifications, insurance, scope, price, and alternatives. Do not let the interested director control the comparison.
- Get the procedure right before committing. Obtain legal guidance when the relationship, voting calculation, or documents are unclear. Separate conflict review from other contract and bidding requirements. Use the contract bidding guide and contractor license and insurance checks.
- Keep a clear record. Preserve the disclosure, supporting documents, meeting minutes, decision, and reasons for selecting the proposal. Assign someone to track required follow-up. Consult the minutes guide and decision and action worksheet.
- Monitor performance fairly. Use the same inspection, payment, and complaint standards applied to other vendors. A personal connection should not excuse poor work.
Strong boards. Clear standards. Better communities.
A useful disclosure
“The proposed contractor is a business in which my relative has an ownership interest. I am providing the relationship details and proposal for independent review. Please obtain counsel’s guidance on the required procedure before any commitment.”
Illustrative wording, not a legal form or a substitute for complete disclosure.
A sensible board policy
Board Synergy recommended practice.
Use an annual disclosure questionnaire, require updates when circumstances change, and designate a person to receive disclosures. Include a consistent process for obtaining counsel’s advice and preserving the record.
New directors should receive the policy during orientation. Revisit it when laws or association practices change.
What to include in a written disclosure
Give the board and counsel enough information to evaluate the connection before a commitment is made. This checklist supplements the applicable statutory disclosures; it is not a legal form.
- Who is connected? Identify the director or officer, the other party, and the specific family, ownership, employment, or business relationship.
- What is proposed? Describe the work or transaction, scope, price, term, and current stage of discussions.
- What benefit or interest exists? Explain any relevant compensation, ownership interest, referral fee, discount, or other personal benefit.
- What has already happened? Identify involvement in specifications, negotiations, vendor comparisons, instructions, or approvals.
- What supporting material is available? Provide the proposal, contract, relevant correspondence, and comparison information.
- What follow-up is needed? Identify who will obtain legal guidance, prepare the required materials, and track the decision and later disclosures.
Keep an association-controlled register of disclosures and updates. Preserve complete records while asking counsel how to handle protected personal information and privileged advice. Do not circulate unnecessary identity documents or private account details.
What if the connection is discovered after work begins?
Board Synergy recommended response; legal remedies depend on the facts and applicable law.
- Establish the facts and preserve records. Retain proposals, contracts, invoices, communications, disclosures, and minutes. Record when and how the issue came to the board’s attention.
- Obtain prompt legal guidance. Ask counsel to assess the relationship, prior procedure, existing commitments, and available remedies. Do not assume a later disclosure or vote automatically cures a defect.
- Manage ongoing obligations carefully. Determine with counsel who may give instructions and what should happen to further work or payments. Avoid an uninformed cancellation or an unauthorized promise.
- Consider insurance reporting. If allegations, a demand, or a threatened claim arise, follow the claim-response guide and the actual policy’s reporting terms.
- Document the response and improve controls. Use the required decision process, communicate factual information appropriately, and update disclosure and vendor-review practices.
What can an owner do?
Start with specific facts rather than accusations. Identify the relationship, transaction, and concern. Ask the board how it reviewed the matter and request relevant association records through the association’s official-records process. UCO’s own records procedures are a separate subject.
A disagreement over which vendor is best is not automatically a conflict. When there appears to be an undisclosed personal interest or an improper approval, obtain legal advice about the evidence and available remedies before relying on a cancellation or removal claim.
“What relationship was disclosed, and how did the board independently evaluate the proposal?” is more useful than assuming every personal connection is improper.
Connect the issue to the board’s other responsibilities
- Fiduciary duty →
Connect loyalty, care, and informed judgment with practical oversight.
- Board member roles →
Clarify shared responsibility and who may communicate or commit the association.
- Management & Vendors →
Evaluate scope, qualifications, contract terms, and performance independently.
- Board operations starter kit →
Assign responsibility and add disclosure reviews to the planning calendar.
- New director operating checklist →
Make disclosure policies and current relationships part of orientation.
- Identify the source of an instruction →
Distinguish Florida law, governing documents, UCO procedures, contracts, and recommended practices.
Keep learning
Owners & RulesBoard LeadershipContract BiddingBoard Meeting MinutesEducational information for Florida condominium boards and owners. Particular transactions require review of the governing documents and current law. Prior source review October 16, 2026. Conflict-procedure qualifications revised and the §718.3027 citation checked against the current official text October 18, 2026. This edit does not determine how either statute applies to an actual transaction. The practical checklists are Board Synergy recommended practices; confirm any additional document, policy, or contractual requirements separately.