Fiduciary duty is defined by Merriam-Webster dictionary as a “duty obligating a fiduciary as an agent or trustee to act with loyalty and honesty in a manner consistent with the best interest of the beneficiary of the fiduciary relationship as a principal or trust beneficiary.”

CAI’ magazine “Common Ground” has a very good article in their March April issue on fiduciary duty. Quoting from the article Bob Diamond, senior council at Reed Smith in McLean Virginia says”the essence of fiduciary duty is to act in the best interests of those who you serve. A director must put aside personal considerations when making decisions on behalf of the owners.”

When it comes to SB326 and fiduciary duty the duty of the board is to carry out the inspections as required by law regardless of cost or a lack of  money in the associations accounts to pay for it. A lack of knowledge or understanding about SB326 will not be a legal defense or at least won’t be a strong defense to not carrying out an inspection of the common area Exterior Elevated Elements.

A director for a homeowners association must act within the scope of their given authority, acting good faith use ordinary care Act in the best interest of the association and act reasonably when making business decisions.

The reason SB326 exists is because of the tragic collapse of a balcony in Berkeley that resulted in the deaths of seven people and leaving six with lifelong injuries. Warning signs were evident and the property management company failed to investigate the reported deck problem thoroughly. That is one of the reasons that a multi-million dollar settlement was made before the case went to trial.

William Leys Waterproofing Consultants can help Boards meet their fiduciary duties with our thorough and comprehensive inspections of your decks, stairs and walkways. By hiring an experienced waterproofing inspector like Bill Leys, who guarantees that a structural or civil engineer will be performing the structural inspection, helps protect the Association from financial liability. Our inspection team has 20+ years of experience in structural and waterproofing experience.

By hiring an experienced firm with the required credentials, your association will be secure in the knowledge that your EEEs are safe for residents, guests and service personnel to use. We’ve seen competitors of advertising that they are “the cheapest inspection company”. From our perspective, that isn’t comforting at all, especially when you find out that the cheapest company is hiring “handymen” as contract labor to perform the inspection.

Reach out today for a quote on your SB 326 inspection needs. We give you a fast free quote that exceeds the requirements of SB326 by inspecting 100% of the EEEs, utilizing moisture meters, thermal imaging cameras and as needed, borescope cameras.

Don’t leave your Association legally exposed to lawsuits by ignoring your fiduciary duties. Call Bill Leys directly at 805-801-2380 to start your inspection. William Leys Waterproofing Consultants LLC has been setting the bar in performing SB326 inspections since 2022.