CAI-NJ August 2021

Fiduciary Duty and Aging Infrastructure John Prisco, Esq. & Andrew J. Podolski, Esq., Stark & Stark

“But in this world, nothing can be said to be certain, except

death and taxes.” — Benjamin Franklin

W hen Benjamin Franklin penned this famous and often quoted idiom in his letter to Jean-Baptiste LeRoy in 1789, it is clear he was not on the board of a community association; had he been, Mr. Franklin’s ubiquitous observation would have been expanded to include death, taxes and the need to eventually replace aging infrastructure systems! When it comes to the various sys- tems that comprise community asso- ciation infrastructure, it is a matter of when and not if such systems will need to be replaced. While it is well recognized that certain systems with shorter life cycles, such as caulk joints and exterior paint will have to be replaced with fair regularity, other more complex systems – such as exterior cladding, mechanical and even structural systems will eventually outlive their useful lives and need to be replaced as well. While it is usually an easy and inexpensive decision for boards to agree to replace failed caulk joints, a few missing roof shingles, etc., it is a much tougher pill to swal- low when the time comes to make more universal, inva- sive and costly replacements to building infrastructure. However, while owners of single-family homes have the right to simply put off necessary repairs and replace- ments, boards at the helm of community associations

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