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 November 4, 2007

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BREAKING A TIE

QUESTION. There were three vacant seats on our board. Counting the ballots yielded two clear winners with a three-way tie for the third seat! What to we do??? Do we have to send out more ballots with double envelopes and hold another meeting, or is there another way to handle the tie?

ANSWER: Breaking the tie can be done by one of two methods. If the candidates agree, the winner of the third seat can be selected by flipping a coin for two-way ties or drawing names for three-way ties. If the tied candidates do not agree to this arrangement, you must hold a runoff election.

NO RIGHT TO E-MAIL LIST

QUESTION: I received a request from a board candidate to distribute a campaign letter via our e-mail database of homeowners. My question . . . are we required to give him our list? Are we required to distribute the letter for him?

ANSWER: No to both questions. Owners have a right to the membership list containing members' names and mailing addresses, not their telephone numbers or e-mail addresses. If you distribute campaign materials for one candidate via e-mail or any other means, you must distribute materials for all candidates as well as any member who wants to express an opinion. Civil Code 1363.03(a)

PROXIES

QUESTION: Because of the potential for fraud, can we prohibit owners from using proxies altogether?

ANSWER: I've never liked proxies. When coupled with cumulative voting, they lead to proxy wars. Now that proxies must be two-page affairs with owners retaining the voting instructions, they are wide open to fraud. My preference is to ban them altogether. However, if they are provided for in your governing documents, you will need to amend your documents to eliminate them. If you amend your documents, you should also eliminate cumulative voting and quorum requirements for the election of directors. Talk to your association's legal counsel or contact us about a package of amendments.

Adrian Adams


Sincerely yours,
 
Adrian Adams, Esq.
Adams Kessler PLC
 

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