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Answers for Boards

Should the fee schedule be attached to the agreement?

Yes, as a dated exhibit, and this is the single highest-value contract change most Boards can make in one sentence. The alternative — an agreement that references "the company's then-current fee schedule" — means the prices can change without the Board agreeing to anything.

That is not hypothetical. It is the ordinary mechanism by which a Board that negotiated hard on the monthly fee finds the ancillary charges twenty percent higher in year two, having voted on none of it.

The language to ask for is short: the complete schedule of ancillary and a-la-carte charges is attached as Exhibit B and dated; it may be amended only with the Board's written consent, on at least sixty days notice.

Then make sure the exhibit is actually complete. Ask for it to include resale and estoppel documents, additional meetings, mailings, lien work, records requests, architectural processing, and any technology or platform charge. A schedule that lists four items and ends with "other services as quoted" has not solved the problem you were trying to solve.

General information for Board members, not legal advice. State law and your governing documents control, and both vary.

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