How to apply the rules against Conflicts of Interest
X is a unit owner and a board member of condominium corporation ABC. Board members are voting to select vendor V1 or V2 as ABC’s designated supplier. If X is an owner of V1, then X’s interest in V1 conflicts with his duty to act in the best interests of ABC and X is barred from voting.
All unit owners are voting in respect of their associated units on a motion to remove X from the board. If X votes, his personal interest in remaining on the board conflicts with his duty to act in ABC’s best interests. This conflict bars X’s right to vote for himself.
Going beyond the premise above, if X owns three condo units, X’s normal right to one vote in respect of each unit as specified in CPR Schedule 4, S 7(2) is similarly barred by the conflict as in the proposed application.
Is X’s right to one vote for himself in respect of each unit appropriately barred by the conflicts of interest rule?
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