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SteveH20 (South Carolina)
Posts: 32
Posted:
Our Board is reviewing the requirements in our covenants of having 60% of the membership for a quorum in the Annual Meeting which we believe is much too high and needs revised. There is also no provision for the next step(s) to take if we do not have a quorum which is not mentioned in the covenants or bylaws.

Anyone have any suggestions on how they handle either or both topics?

TimB4 (Tennessee)
Posts: 21,059
Posted:
Expecting that your Association is incorporated as a non-profit (most are), South Carolina Nonprofit Corporation Act:

SECTION 33-31-722. Quorum requirements.

(a) Unless this chapter, the articles, or bylaws provide for a higher or lower quorum, ten percent of the votes entitled to be cast on a matter must be represented at a meeting of members to constitute a quorum on that matter.

(b) A bylaw amendment to change the quorum for a member action may be approved by the members and, if required, be approved as provided in Section 33-31-1030.

(c) An amendment to the articles of incorporation or bylaws that adds, changes, or deletes a greater quorum must be adopted under the quorum then in effect or proposed to be adopted, whichever is greater.

My Association (a VA Association)has the following quorum requirement language:

"The presence at the meeting of members entitled to cast or of proxies entitled to cast, one-tenth (1/10) of the votes of the membership shall constitute a quorum for any action except as otherwise provided in the Articles of Incorporation, the Declaration or these Bylaws. If, however, such quorum shall not be present or represented at any meeting, the members entitled to vote thereat shall have power to adjourn the meeting from time-to-time without notice other than announcement at the meeting, until a quorum as aforesaid shall be present or represented."

Note: We do have a 60% quorum requirement to raise assessments above 5% or to adopt a special assessment. Here is that language:

"At the meeting called, as provided in Sections 3 and 4 hereof, the presence at the meeting of members or of proxies entitled to cast sixty (60) percent of all the votes shall constitute a quorum. If the required quorum is not forthcoming at any meeting, another meeting may be called, subject to the notice requirement set forth in Sections 3 and 4, and the required quorum at any such subsequent meeting shall be one half (1/2) of the required quorum at preceding meeting. No such subsequent meeting shall be held more than sixty (60) days following the preceding meeting."

Hope this helps,

Tim
BruceF1 (Connecticut)
Posts: 2,535
Posted:
Quote:
Posted By SteveH20 on 01/15/2013 10:46 AM
Our Board is reviewing the requirements in our covenants of having 60% of the membership for a quorum in the Annual Meeting which we believe is much too high and needs revised. There is also no provision for the next step(s) to take if we do not have a quorum which is not mentioned in the covenants or bylaws.

Anyone have any suggestions on how they handle either or both topics?


The problem with having a quorum requirement that is too high is that it's a catch-22. Usually, you will need to have a quorum (at the number it is now) in order to have a vote to lower the quorum requirement. I believe the information that Tim quoted pretty much states that. Good luck!
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Steve

In one SC HOA we had to have 75% and it took us quite an effort to change it to 66% even with proxies allowed.

We also had the decreasing quorum requirement (as Tim?? mentioned). We once went out to 3 meetings (75%/37.5%/18.75%) to achieve a BOD election.

Personally I get nervous when the requirement gets to low. Like can a minority change things for all from the get go? Let us change it to 1% (yes one percent) which some would like. They say things like well we 3 really know all about it. The other 300 of you are apathetic, lazy, etc., so sit back, relax, and let we 3 control it all.

One reason I advocate proxies for quorums and voting is the ability to gather support even if some are apathetic, lazy, do not get it, etc. you can "talk" to them and get their proxy.

Hope this helps.

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