March 10, 2008

ELIMINATING QUORUM
REQUIREMENTS

QUESTION: I read an article that eliminating the quorum requirements for electing directors also eliminates the quorum for recalling the board. The article said it would increase the number of recalls and cause the legislature to impose more burdensome election requirements. Is that true?

ANSWER: Eliminating quorum requirements for the election of directors only applies to the election of directors. It has no effect on membership meetings, board recalls or any other matter requiring membership vote. Recalling the board must still meet quorum requirements for membership meetings. Corp. Code 7222(a)

More Legislation? I disagree with the fear that eliminating quorum requirements would cause the legislature to suddenly pass more burdensome election standards. The new election law already anticipates bylaws with no quorum requirements:

A quorum shall be required only if so stated in the governing documents of the association or other provisions of law. Civil Code 1363.03(b)

Court Proceedings. The legislature recognizes the difficulty of achieving quorum and allows associations to go into court to reduce their quorum to the number of votes cast. Corp. Code 7515 Rather than spend their money in court, associations should spend it amending their bylaws to eliminate the quorum requirement. I believe this is a better use of limited resources.

Quasi-Governmental. Another reason that intervention by the legislature is unlikely; legislators view associations as quasi-governmental entities. To require a minimum number of votes before an election can be held would be the same as requiring a quorum of California voters before electing a governor. I don't see that happening.

Quorums Make Less Apathy? Requiring a quorum for the election of directors does not make the membership less apathetic. It only causes aggravation and expense. Many owners will either sign blank proxies or send blank ballots to help meet quorum. That does not make for better elections. Forcing owners to vote may actually decrease the quality of elections if people don't care and simply vote for the first names on the ballot or the ones with the prettiest names. People who care about the election should decide the outcome.

Summary. By eliminating election quorums, board elections would be like all other elections at the municipal, state and federal levels. In other words, elections would be determined by those who are interested enough to vote. This eliminates wasted time and money holding multiple meetings. We have already implemented the changes with many of our clients. The results have been quite positive.

Adrian Adams


Very truly yours,
 
Adrian Adams, Esq.
Adams Kessler PLC

 


The Case of the Modified Remodeling Plans. In a new California case decided on February 29, 2008, an association "conditionally" approved an owners' remodeling plans. Subsequently, the owners changed their mind about the location of the garage, and submitted modified plans for the association's approval.

When the association rejected the modified plans, the owners decided to begin construction anyway based upon the original plans. The association ordered the owners to stop construction. Did the association have the right to stop the construction? See Gary Kessler's "Condo Court

Encourage others to sign-up for our Newsletter

Find out about
Election Rules & Amendments

 

Condos have humor?

To learn about court rulings affecting your association, go to:

 

YOU MAY REPRINT ARTICLES
provided no changes are made to the article and you include the following:

Reprinted from www.Davis-Stirling.com by Adams Kessler

Copyright
Adams Kessler
A Professional Law Corporation

Our website & newsletter are not affiliated with or sponsored by any governmental agency.

This newsletter is for advertising & informational use only and does not constitute legal advice or create an attorney-client relationship. Readers should not act on information without first consulting legal counsel.