MORE OFTEN THAN NOT, a club’s Grievance Committee can be its biggest asset when dealing with a troublesome member. However, what happens when the exact opposite occurs and there is a grievance with your Grievance Committee?
Dealing with a troublesome member can be a minefield of club politics and social cliques. No Grievance Committee, or board for that matter, will ever please everyone. But the ultimate goal should always be adherence to governing documents, and protection of the club, its reputation and its members. No member should ever be “above the law” regardless of stature, age or popularity. Unfortunately, that is not always what certain members or club cliques believe. So, what is a club to do?
Clubs should periodically review their governing documents as a matter of course. Sometimes the grievance procedure, particularly if it is rarely used, can be overlooked during drafting and revisions. But a well-drafted grievance procedure can make a big difference when dealing with a troublesome member. For example, clear rules regarding filing a grievance, providing notice of grievance, and Grievance Committee meetings can provide structure and formality to what may be a hectic or stressful time for those involved. It can also provide less loopholes for a member to argue that they were treated unfairly. Many clubs choose to have grievances heard by the board; however, an independent Grievance Committee not subject to election or other special meetings or rules, may be a better initial decision maker when it comes to member discipline. The same can be said for a provision giving sole discretion to a Grievance Committee to determine discipline. While it may seem like a good idea to provide a tiered discipline structure (e.g., first offense: warning; second offense: written warning; third offense: suspension or termination), if that structure is not strictly adhered to, it can have serious consequences for the club, including potential member lawsuits. Strictly speaking, if you are going to have a grievance procedure, whatever it is, it needs to be followed.
Grievance procedures should not end at discipline; governing documents should include a clear appeals process for the disciplined member with the resulting decision being final. The absence of an appeals process could have disastrous results. For example, if a club does not have an appeals process but its governing documents provide broad rights to members to call special meetings on any topic, what is to stop them from calling a special meeting to discuss the discipline of a member? There may be nothing. At which point, the board or the Grievance Committee may be in the precarious position of having to explain or justify their decision without disclosing potentially damaging information about the disciplined member.
To that end, all members deserve a certain amount of respect and discretion. The board and Grievance Committee should hold information presented to them during the grievance process, as well as information regarding the discipline itself, confidential. Failure to do so may lead to serious consequences for the club and the individuals disseminating such information, including potential defamation claims. While there is not much that can be done about club gossip regarding a member’s discipline, the board and Grievance Committee should not participate and should stop such gossip whenever possible.
While there is no one-size-fits-all approach to grievance procedures, it is always best to avoid grievances with your Grievance Committee. Taking the necessary precautions now will greatly benefit your club in the future.
Anne Kaufman is vice president and senior corporate counsel at Troon. She can be reached at [email protected] or visit troon.com and troonprive.com.