Gadams v. The Nolde Bakery Condo. Ass’n (U)

In this action for breach of fiduciary duties, the circuit court properly granted the defendants’ plea in bar but erred in not awarding attorneys’ fees and costs.

The claims at issue were filed outside the two-year statute of limitations, which is not tolled by obstruction, by extraordinary circumstances, or by the defendants’ control of the condominium association board. This court also declines to extend the continuous undertaking rule to assess when the claims accrued. Accordingly, dismissal of the amended complaint was proper.

However, the circuit court erred when it denied the defendants an award of attorneys’ fees and costs, seemingly based upon the determination that Gadams and Nolde Bakery acted in bad faith. The former directors of the association were named defendants in this action because of their role. They “entirely prevailed” in their defense when the amended complaint was dismissed. Thus, under the association’s bylaws, they are entitled to reasonable expenses incurred in connection with this case.

Affirmed in part; reversed, vacated, and remanded in part.

Gadams v. The Nolde Bakery Condo. Ass’n (U), No. 180397, Feb. 28, 2019. SCV (per curiam) from City of Richmond.

Categories: Opinions, Supreme Court of Virginia, Unpublished

Tags: ,

%d bloggers like this: