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RichardD (North Carolina)
Posts: 66
Posted:
The proper paperwork has been submitted and a meeting has been scheduled by our Condo Association to recall a member of the Association Board of Directors.

About recall, our Bylaws state the following: "The Unit Home Owners, by at least sixty-seven percent (67%)vote of all persons present and entitled to vote at any meeting of the Unit Home Owners at which a quorum is present, may remove any member of the Executive Board with or without cause."

The Bylaws further states: "Votes allocated to a Unit Home may be cast in person or by a proxy duly executed by a Unit Home Owner in writing and filed with the Executive Board.

The problem arises because of the wording in the first quote above: "all persons present and entitled to vote". The Board is strongly opposed to allowing any proxies at all on this recall because of this wording. Many owners are requesting to know why they cannot vote. Is there an interpretation of that wording that would allows all owners to vote, or are we in a funk because of a poorly written Bylaw? And finally, why shouldn't all Owners be allowed to vote on an issue of this magnitude?

As always, thanks in advance for all the great advice..Richard

TimB4 (Tennessee)
Posts: 21,059
Posted:
If proxies were allowed to elect, then proxies need to be allowed to remove.

It sounds more like the board is trying to throw a wrench into the system to keep the recall from succeeding.
SusanW1 (Michigan)
Posts: 5,202
Posted:
Recall is a very serious matter, so if the threshhold is more severe and requires an in-meeting vote, that is why.

Make sure you have the quorum, then hold the "live" recall vote.

SusanW1 (Michigan)
Posts: 5,202
Posted:
Recall is a very serious matter, so if the threshhold is more severe and requires an in-meeting vote, that is why.

Make sure you have the quorum, then hold the "live" recall vote.

RichardD (North Carolina)
Posts: 66
Posted:
I agree with your assessment Tim and thanks.

Susan, I'm not sure I understand your line "if the threshold is more severe and requires an in-meeting vote". The recall vote will be taken at our annual meeting.
Our concerns are whether proxies are allowed for this vote. I agree with Tim, if proxies are used when electing a Board Member, then proxies should be allowed for voting a recall.
TimB4 (Tennessee)
Posts: 21,059
Posted:
Richard,

If your Association is incorporated as a nonprofit, then the North Carolina Nonprofit Corporation Act would apply. Per that act [emphasis added]:

§ 55A‑7‑24. Proxies.

(a) Unless the articles of incorporation or bylaws prohibit or limit proxy voting, a member may vote in person or by proxy. A member may appoint one or more proxies to vote or otherwise act for the member by signing an appointment form, either personally or by the member's attorney‑in‑fact. Without limiting G.S. 55A‑1‑70, an appointment in the form of an electronic record that bears the member's electronic signature and that may be directly reproduced in paper form by an automated process shall be deemed a valid appointment form within the meaning of this section. In addition, if and to the extent permitted by the nonprofit corporation, a member may appoint one or more proxies by any kind of telephonic transmission, even if not accompanied by written communication, under circumstances or together with information from which the nonprofit corporation can reasonably assume that the appointment was made or authorized by the member.

(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 11 months unless a different period is expressly provided in the appointment form.

(c) An appointment of a proxy is revocable by the member unless the appointment form conspicuously states that it is irrevocable and the appointment is coupled with an interest. An appointment made irrevocable under this subsection shall be revocable when the interest with which it is coupled is extinguished. A transferee for value of an interest subject to an irrevocable appointment may revoke the appointment if he did not have actual knowledge of its irrevocability.

(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) A revocable 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 G.S. 55A‑7‑27 and to 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. (1955, c. 1230; 1985 (Reg. Sess., 1986), c. 801, s. 35; 1993, c. 398, s. 1; 1999‑139, s. 1; 2008‑37, s. 6.)

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