LEGAL TALK

Carol Ott of Habitat Magazine discusses board member liability with Leni Morrison Cummins, partner at Cozen O'Connor. Cummins explains that volunteer board members face real liability risks and need proper protection through well-drafted indemnification clauses. She highlights common pitfalls in these clauses, including insufficient coverage for tort claims and pre-litigation proceedings. Cummins advises board members to review their indemnification language with counsel, ensure they have adequate D&O insurance, and consider bylaw amendments if coverage is inadequate. She notes differences between co-op and condo liability protections and recommends prospective board members verify their coverage before joining.