In the dissolution process, who typically adopts the plan of dissolution to distribute assets and liabilities?

In the dissolution process of a community association, it is typically the Board of Directors that adopts the plan of dissolution to distribute assets and liabilities. The Board of Directors is responsible for the governance and management of the community association, including making significant decisions about its operations and future direction. When an association is being dissolved, the Board usually assesses the financial condition of the community, formulates a plan that outlines how the association's assets will be liquidated and liabilities settled, and then presents this plan for approval to the members.

The rules governing community associations often grant the Board the authority to make these significant decisions, as they are elected representatives tasked with acting in the best interest of the community. This central role makes them well-positioned to navigate the complex legal and financial considerations involved in dissolution, ensuring that the process complies with applicable laws and the association's governing documents.

While the majority of members may have a say in the overall decision-making process regarding dissolution, it is the Board that initiates and formalizes the dissolution plan. The other mentioned roles, such as the Secretary of State and community association attorneys, play supportive functions but do not adopt the dissolution plan themselves.