Duty of care is the obligation in the management of a community association. What does it require?

• A. It requires the board and manager to act in the interests of the association at all times.
• B. It requires the board and manager to exercise the skill and care that a reasonable person would exercise under similar circumstances.
• C. It requires the manager to supervise all employees personally.
• D. It requires minimizing risk even if it reduces services.

Answer: (B)

Duty of care means the board and manager must act with the skill and care that a reasonable person would exercise in similar circumstances. In practice, this is about prudent, informed decision-making: evaluating information, seeking professional advice when needed, following governing documents and applicable laws, and documenting actions taken. It focuses on protecting the association’s assets and residents’ welfare through a fair standard of diligence, not on personally supervising every employee or always minimizing risk at the expense of providing services. The standard is what a reasonable, prudent person would do given the situation and knowledge available.