294 lines
16 KiB
JSON
294 lines
16 KiB
JSON
{
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"_meta": {
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"code": "VS-04",
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"title": "Manager-Board Separation",
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"version": "1.0",
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"statute_primary": "765 ILCS 605/18.4",
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"diagnostic_question": "Does the same entity control both financial operations and financial recording — and is there any independent check between them?",
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"dsc_activations": ["DSC-01", "DSC-03", "DSC-06", "DSC-08", "DSC-09"],
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"verification_sources": [
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{
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"label": "Kane County Recorder of Deeds",
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"url": "https://www.kanecountyrecorder.com",
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"instruction": "The management contract, if recorded, defines the scope of financial authority delegated to the manager. Compare against what the manager actually controls."
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},
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{
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"label": "Illinois Secretary of State — Business Entity Search",
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"url": "https://www.ilsos.gov/corporatellc",
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"instruction": "Cross-reference the management company and any financial services entity against common ownership or registered agent to identify consolidation of control."
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}
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],
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"renderer_notes": "VS-04 is structurally related to VS-03 but distinct. VS-03 asks whether the manager is qualified. VS-04 asks whether the governance structure allows any independent verification of what the manager does with financial authority. The diagnostic signal is consolidation — one entity holding operational authority, financial authority, and record-keeping authority simultaneously. Render the consolidation flag as the primary condition. All other flags in this VS are consequences of consolidation."
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},
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"perspectives": {
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"homeowner": {
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"label": "Your Record",
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"access_state": "participant",
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"instruction": "Record what you know about how financial decisions are made and who controls the association's money. You do not need to understand accounting or legal structure. Record what you have observed — who sends invoices, who collects payments, who signs checks, who maintains the ledger, and whether anyone independent ever reviews any of it.",
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"fields": [
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{
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"id": "ho_who_collects_assessments",
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"label": "Who collects your monthly or annual assessments?",
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"type": "select",
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"required": true,
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"options": [
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{ "value": "management_company", "label": "The management company" },
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{ "value": "board_member", "label": "A board member directly" },
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{ "value": "bank_lockbox", "label": "A bank lockbox or third-party payment processor" },
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{ "value": "online_portal", "label": "An online portal controlled by the management company" },
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{ "value": "unknown", "label": "I do not know" }
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]
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},
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{
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"id": "ho_who_maintains_ledger",
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"label": "Who maintains your individual account ledger — the record of what you owe and what you have paid?",
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"type": "select",
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"required": true,
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"options": [
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{ "value": "management_company", "label": "The management company" },
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{ "value": "board_member", "label": "A board member" },
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{ "value": "independent_accountant", "label": "An independent accountant or bookkeeper" },
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{ "value": "unknown", "label": "I do not know" }
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]
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},
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{
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"id": "ho_same_entity_operations_finances",
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"label": "Is it the same person or company that manages day-to-day operations and also controls the financial accounts?",
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"type": "boolean",
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"required": true,
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"diagnostic_flag": true,
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"flag_condition": true,
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"flag_label": "Single entity controls operations and finances — no internal separation",
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"flag_note": "When the same entity manages operations, collects payments, maintains ledgers, and pays invoices, there is no structural check on financial accuracy. Errors, unauthorized charges, and manipulation are undetectable without independent review."
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},
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{
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"id": "ho_ledger_access",
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"label": "Have you ever been able to review your own account ledger?",
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"type": "select",
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"required": true,
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"options": [
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{ "value": "yes_current", "label": "Yes — I have current access" },
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{ "value": "yes_requested", "label": "Yes — but only after formally requesting it" },
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{ "value": "partial", "label": "Partial — I received some records but not a complete ledger" },
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{ "value": "denied", "label": "No — my request was denied" },
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{ "value": "never_requested", "label": "I have never requested it" }
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],
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"diagnostic_flag": true,
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"flag_condition": "denied",
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"flag_label": "Homeowner denied access to own ledger — document access violation",
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"flag_note": "A homeowner is entitled to their own account ledger under 765 ILCS 605/19. Denial of access to your own financial record is a statutory violation independent of any other dispute."
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},
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{
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"id": "ho_ledger_disputed",
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"label": "Has the balance on your ledger ever differed from what you believed you owed — charges you did not recognize, credits not applied, or a balance that could not be reconciled against your payment history?",
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"type": "boolean",
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"required": true,
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"diagnostic_flag": true,
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"flag_condition": true,
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"flag_label": "Ledger discrepancy — unreconciled balance",
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"flag_note": "A ledger discrepancy that cannot be reconciled against the homeowner's own payment records is a financial record integrity condition. It becomes a legal condition when the discrepancy is used as the basis for collection action or attorney fee charges."
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},
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{
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"id": "ho_ledger_dispute_detail",
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"label": "Describe the discrepancy — what the ledger showed, what you believed was correct, and what happened when you raised it.",
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"type": "textarea",
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"required": false,
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"depends_on": { "field": "ho_ledger_disputed", "value": true },
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"placeholder": "Example: The ledger showed a balance of $X as of [date]. My records showed I had paid $Y on [date] by ACH. When I raised this with the manager, I was told the payment was not received. No explanation of where the payment went was provided."
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},
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{
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"id": "ho_attorney_fees_on_ledger",
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"label": "Have attorney fees ever been added to your ledger without your prior knowledge or a separate itemized notice?",
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"type": "boolean",
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"required": true,
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"diagnostic_flag": true,
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"flag_condition": true,
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"flag_label": "Attorney fees added to ledger without prior notice or itemization",
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"flag_note": "Attorney fees added to a homeowner's ledger must be authorized by the Board and properly itemized. Fees that appear without prior notice, without itemization, or in amounts that cannot be reconciled against the attorney's actual billing are a financial record integrity condition and a potential fee-shifting violation."
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},
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{
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"id": "ho_independent_review_exists",
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"label": "To your knowledge, has any independent party — an accountant, auditor, or court-appointed receiver — ever reviewed the association's financial records?",
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"type": "boolean",
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"required": true,
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"diagnostic_flag": true,
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"flag_condition": false,
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"flag_label": "No independent financial review known to homeowner",
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"flag_note": "See VS-09 for the full financial audit and reserve study analysis."
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},
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{
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"id": "ho_account",
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"label": "Your account — describe what happened in your own words.",
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"type": "textarea",
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"required": false,
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"placeholder": "No required format. No legal terminology needed. You do not need to be neutral. You need to be accurate."
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}
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]
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},
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"professional": {
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"label": "Professional Record",
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"access_state": "professional",
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"instruction": "Verify the financial control structure — who holds operational authority, who holds financial authority, and whether any independent check exists between them. Assess the ledger integrity conditions the homeowner has raised. Upgrade or downgrade the homeowner record as warranted.",
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"fields": [
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{
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"id": "pro_financial_control_structure",
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"label": "Verified financial control structure",
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"type": "select",
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"required": true,
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"options": [
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{ "value": "fully_consolidated", "label": "Fully consolidated — same entity controls operations, collections, ledger, and disbursements" },
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{ "value": "partially_separated", "label": "Partially separated — operations and finances divided but no independent oversight" },
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{ "value": "separated_with_oversight", "label": "Separated — independent accountant or auditor reviews financial records" },
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{ "value": "bank_lockbox", "label": "Bank lockbox or third-party processor handles collections independently" },
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{ "value": "indeterminate", "label": "Indeterminate — insufficient documentation to verify" }
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],
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"diagnostic_flag": true,
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"flag_condition": "fully_consolidated",
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"flag_label": "Fully consolidated financial control — confirmed"
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},
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{
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"id": "pro_board_financial_oversight",
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"label": "Does the Board exercise meaningful oversight of financial operations — reviewing bank statements, approving disbursements above a threshold, or receiving independent financial reports?",
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"type": "boolean",
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"required": true,
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"diagnostic_flag": true,
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"flag_condition": false,
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"flag_label": "No meaningful Board financial oversight — consolidated control unmonitored"
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},
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{
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"id": "pro_ledger_reconcilable",
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"label": "Is the homeowner's account ledger reconcilable against available bank records and payment documentation?",
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"type": "select",
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"required": true,
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"options": [
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{ "value": "yes", "label": "Yes — ledger reconciles against available records" },
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{ "value": "partial", "label": "Partial — some discrepancies that can be explained" },
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{ "value": "no", "label": "No — ledger cannot be reconciled against available records" },
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{ "value": "records_unavailable", "label": "Records not produced — reconciliation not possible" }
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],
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"diagnostic_flag": true,
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"flag_condition": ["no", "records_unavailable"],
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"flag_label": "Ledger not reconcilable — financial record integrity at issue"
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},
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{
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"id": "pro_attorney_fees_authorized",
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"label": "Are the attorney fees on the homeowner's ledger traceable to documented Board authorization and itemized attorney billing?",
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"type": "select",
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"required": false,
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"options": [
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{ "value": "yes", "label": "Yes — fees are authorized and itemized" },
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{ "value": "partial", "label": "Partial — some fees authorized, others not traceable" },
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{ "value": "no", "label": "No — fees cannot be traced to Board authorization or itemized billing" },
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{ "value": "not_applicable", "label": "No attorney fees on ledger" }
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],
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"diagnostic_flag": true,
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"flag_condition": "no",
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"flag_label": "Attorney fees on ledger not traceable to authorization or itemized billing"
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},
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{
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"id": "pro_conflict_of_interest_present",
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"label": "Is there a financial relationship between the entity controlling association finances and any board member, attorney, or vendor receiving association funds?",
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"type": "boolean",
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"required": true,
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"diagnostic_flag": true,
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"flag_condition": true,
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"flag_label": "Financial conflict of interest present — entity controlling finances has relationship with recipients of association funds"
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},
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{
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"id": "pro_conflict_detail",
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"label": "Describe the conflict of interest.",
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"type": "textarea",
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"required": false,
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"depends_on": { "field": "pro_conflict_of_interest_present", "value": true },
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"placeholder": "Identify the relationship — ownership, referral, shared personnel, or other financial connection between the controlling entity and fund recipients."
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},
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{
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"id": "pro_assessment",
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"label": "Professional assessment — upgrade, downgrade, or confirm the homeowner record.",
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"type": "select",
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"required": true,
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"options": [
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{ "value": "confirmed", "label": "Confirmed — homeowner record is accurate" },
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{ "value": "upgraded", "label": "Upgraded — condition is more significant than homeowner record indicates" },
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{ "value": "downgraded", "label": "Downgraded — condition is less significant than homeowner record indicates" },
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{ "value": "insufficient", "label": "Insufficient information — further verification required" }
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]
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},
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{
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"id": "pro_notes",
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"label": "Professional notes",
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"type": "textarea",
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"required": false,
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"placeholder": "Include statutory citations, case law, or contextual observations relevant to the financial control structure and ledger integrity findings."
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}
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]
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},
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"public_record": {
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"label": "Public Record",
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"access_state": "operator",
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"instruction": "Enter the court or appellate ruling on any financial control, ledger integrity, or conflict of interest question. Immutable after submission except for corrections to spelling or citation format.",
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"immutable_after_submit": true,
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"fields": [
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{
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"id": "pr_adjudicated_condition",
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"label": "Condition adjudicated",
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"type": "select",
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"required": true,
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"options": [
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{ "value": "ledger_integrity", "label": "Ledger integrity — disputed account balance" },
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{ "value": "attorney_fees", "label": "Attorney fees — authorization or itemization" },
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{ "value": "financial_conflict", "label": "Financial conflict of interest" },
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{ "value": "consolidated_control", "label": "Consolidated financial control — fiduciary duty" },
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{ "value": "other", "label": "Other — describe in summary" }
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]
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},
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{
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"id": "pr_case_citation",
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"label": "Case citation",
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"type": "text",
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"required": true,
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"placeholder": "e.g. Smith v. Elm Court Condominium Assoc., 2023 IL App (2d) 220145"
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},
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{
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"id": "pr_court",
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"label": "Court",
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"type": "text",
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"required": true,
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"placeholder": "e.g. Illinois Appellate Court, Second District"
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},
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{
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"id": "pr_ruling_date",
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"label": "Ruling date",
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"type": "date",
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"required": true
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},
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{
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"id": "pr_ruling_summary",
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"label": "Ruling summary — the court's finding in plain language.",
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"type": "textarea",
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"required": true,
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"placeholder": "Describe what the court determined and on what basis."
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}
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]
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}
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},
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"spool": {
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"contract_version": "1.0",
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"addon": "vs01",
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"vs_code": "VS-04",
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"payload_fields": [
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"perspective",
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"association_address",
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"submitted_at",
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"standing",
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"fields"
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],
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"notes": "VS-04 findings feed directly into DSC-01 Assessments and DSC-08 Attorney Fees. A fully_consolidated financial control structure combined with an unreconcilable ledger and unitemized attorney fees is the compound condition that defines the operator's own case. The renderer should surface all three flags simultaneously when present."
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}
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}
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