WHAT COUNTS AS A PROXY? DOES A PROXY EXPIRE?

Started by LynneV1 • 8 replies • 3722 views

💬 Join us to post & get advice from 50,000 HOA & Condo leaders.

⚡ Takes 30 seconds

Already a member? Log in

LynneV1 (South Carolina)
Posts: 211

Posted:

IN DECEMBER A GROUP OF FIVE OF US HOMEOWNERS SENT OUT BALLOTS FOR A VOTE TO REMOVE OUR BOARD OF DIRECTORS. THE HOMEOWNER COULD VOTE TO 1)KEEP THEM OR 2) REMOVE THEM AND ATTACHED TO THE BALLOTS WAS A 3RD CHOICE STATING THAT THE HOMEOWNER HAD NO OPINION AND WOULD GIVE THEIR PROXY TO US TO VOTE FOR THEM. NOW AFTER GETTING ALMOST A MAJORITY OF VOTES, OUR BOARD AGREED TO OUR PETITION FOR A SPECIAL MEETING AND SEND OUT NEW BALLOTS WITH THE SAME 2 CHOICES AND A LINE FOR A PROXY.

WE WERE TOLD OUR BALLOTS WOULD NOT COUNT... MY LONG AWAITED QUESTION: CAN WE USE THE PROXYS FROM ALL OF THE PEOPLE WHO GAVE THEM TO US ONE MONTH AGO FOR THE SAME ISSUE IF THEY DO NOT VOTE IN PERSON OR BY MAIL? THE BALLOTS WILL BE COUNTED TOMORROW NIGHT AND MANY LOCAL AND OUT OF STATE H/O DID NOT RE-VOTE? I JUST REALIZED WE STILL HAD THE BALLOTS WITH THEIR PROXIES. DO THEY STILL COUNT SINCE THE PURPOSE IS LISTED ON THE BALLOTS/PROXY FORM TO REMOVE OR KEEP THE BOARD.

JanetB2 (Colorado)
Posts: 4,219

Posted:

Here is South Carolina Non-Profit statute regarding proxies:

SECTION 33-31-724. Proxies.

(a) Unless the articles or bylaws prohibit or limit proxy voting, a member may appoint a proxy to vote or otherwise act for the member by signing an appointment form either personally or by an attorney-in-fact.

(b) An appointment of a proxy is effective when received by the secretary or other officer or agent authorized to tabulate votes. An appointment is valid for eleven months unless a different period is expressly provided in the appointment form. However, no proxy is valid for more than three years from its date of execution.

(c) An appointment of a proxy is revocable by the member.

(d) The death or incapacity of the member appointing a proxy does not affect the right of the corporation to accept the proxy's authority unless notice of the death or incapacity is received by the secretary or other officer or agent authorized to tabulate votes before the proxy exercises authority under the appointment.

(e) Appointment of a proxy is revoked by the person appointing the proxy:

(1) attending any meeting and voting in person; or

(2) signing and delivering to the secretary or other officer or agent authorized to tabulate proxy votes either a writing stating that the appointment of the proxy is revoked or a subsequent appointment form.

(f) Subject to Section 33-31-727 and any express limitation on the proxy's authority appearing on the face of the appointment form, a corporation is entitled to accept the proxy's vote or other action as that of the member making the appointment.

SusanW1 (Michigan)
Posts: 5,202

Posted:

A "grop of homeowners" cannot garner votes on a ballot without going thru the "process.'

What is the "process" for removing board members? You say the board finally agreed to hold the vote and sent out ballots. Was THAT the correct process?

Your proxies and ballots were not even valid.

LynneV1 (South Carolina)
Posts: 211

Posted:

We got enough signatures on a petition according to our by-laws to hold a special meeting and the meeting is tonite. The property mgmnt company sent out ballots to vote each of 4 members in or out and to designate a proxy. We need a 51% quorum and have 45% out of state h/o.
After the removal we must vote in new directors. We have basically the same forms making us proxy for about 20 out of state h/o. My question was can I walk in with a proxy signed by my neighbor if they mailed it to me 1 month ago and not to the property management company this month.
many h/o did not reply in January as they felt they already did reply in December.
We have a lawyer coming tonite representing the board only, at 'our' expense. I hope he agrees to use these proxies to reach our quorum.
I googled 'proxy' and it seems to count if it was signed for the same purpose. I do not think the board can make a rule up that it has to be on their paper with their letterhead -as opposed to our paper with our letterhead. A proxy conveys a right to vote in some ones absence,even if it is on blank paper with no letterhead. Right?

JonD1
Posts: 2,350

Posted:

Lynne:

I believe you were here sometime ago asking the same question.

IMO the answer now would be the same as you were given then.

Your group of 5 owners does not produce the ballots/proxies to remove the Board. Nor can you produce your own version, have them signed and then use them in a future vote in lieu of the document produced by the MC.

I would doubt that is even close to the agenda set forth in your documents.

A proxy must be written in a certain manner by the Board/MC not a group of owners.

And as before your explanation being it would just be to difficult to get the out of state owners to fill in another proxy form signing their votes over to you. The process of removing the Board should not be easy and if they deserve to be removed requiring the owners to fill out a ballot and or proxy certainly would not seem to demanding.

My guess the Board/MC/attorney will not permit your month old proxies to be counted.

And you comment suggesting the attorney is being paid with YOUR money well the attorney serves the Board and the property to offer advice on legal issues such as yours. Don't the Board members pay dues? Then their money too is being used in this matter.

Please let us know how this turns out.

LynneV1 (South Carolina)
Posts: 211

Posted:

I WAS ON HERE A WHILE AGO ASKING HOW TO IMPEACH A Board of Directors.
We were told to do it on our own and onnce we got a quorum of votes/petitions the board decided to acknowlege us and re-send their ballots out.
I googled US LAW and the S.C. law as provided above by JanetB. A proxy is good for 11 months on the same issue. We are bringing our signed proxies tonight and will let you know tomorrow how it goes.
Thanks to all of you for your replies!!

AnnD2 (Connecticut)
Posts: 76

Posted:

Robert's Rules of Order Newly Revised has a very good section on the use of proxies versus ballots. Basically, it says that in an organization that is trying to be inclusive and responsive, proxies should be avoided--especially in elections. Ballots are preferable and they should be secret and handled impartially. Most state laws, also, indicate that where there are specific questions not addressed by their laws or an association's bylaws Robert's Rules is the legal authority. You can find this resource on the Internet and at libraries. I got my copy through Amazon.

LynneV1 (South Carolina)
Posts: 211

Posted:

We had our special meeting. We did not try to include our proxies at the meeting. The Results :
Their lawyer and 2 people sat at a table and unfolded ballots, stacked ballots, counted ballots..... we sat there with no one addressing us at all after 45 minute the lawyer stood up said 2 sentences and walked out. No questions no discussion.
We have 230 homeowners.
The out come 88 ballots - no quorum . Believe it or not 1/2 of the votes were to keep them and 1/2 to remove the board. He said we would need a majority of 116 people with all 116 voting against to vote them out. "They stay" good night.
I raised my hand to ask him to repeat what he said as I did not understand how quorum was 106; majority 116; and how we could reconvene within 30 to reduce quorum by 1/2 but not majority ... He walked out. No questions...
The meeting was over having never been called to order or adjourned. That was it.

Our Board stays. Thanks to all of you for your help.

AnnD2 (Connecticut)
Posts: 76

Posted:

If your bylaws were not honored and you feel strongly about this, you can submit a complaint to your Attorney General. Some states are responding to the many complaints they have received by HOA owners about their boards and management companies. Some even have mechanisms for dealing with these complaints. Good luck.

🎯 You've read this entire discussion

Join the conversation with 50,000 HOA & Condo Leaders:

✓ Ask follow-up questions
✓ Share your experience
✓ Get expert advice
✓ Access 350,000 discussions

Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in here