What does potential conflict refer to?

Potential conflict refers to future interests that may conflict with duties. This concept is particularly relevant in the context of condominium management, where managers have fiduciary obligations to act in the best interests of the condominium corporation.

Understanding potential conflicts is crucial because they often arise from financial interests, personal relationships, or other commitments that could influence the decision-making process of a condominium manager. Recognizing these situations before they escalate into actual conflicts allows for proactive measures to be taken, such as disclosure to the board or recusal from certain decisions.

By distinguishing potential conflicts from current conflicts or perceptions of conflict, managers are better equipped to maintain transparency and uphold their responsibilities, ensuring that any future issues can be managed effectively before they interfere with their professional duties. This proactive approach helps to foster trust among stakeholders and supports the overall governance of the condominium corporation.