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The answer to your question is yes you can sue just about anyone these days for just about anything, however there are certain tests which the Courts use to determine tort liability. Usually your HOA liability insurance will cover an attorney in this event. If you were operating in a Fiduciary capacity then a good lawyer should be able to file a summary judgement to have the individuals thrown out. Why would you not be able to continue doing business as an HOA. As long as your annual charter is filed and you are not under a court order(Temporary Restraining Order)you should be fine. I guess it comes down to what happened and who is at fault. Are there any grounds for the suite.
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