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CarolE (California)
Posts: 1
Posted:
I recently discovered that from the beginning our Articles of Incorporation do not comply with state law. State law says when there is a conflict the articles override the bylaws. These articles say that the bylaws override the articles when there is a conflict. This has continued to roll downhill with unenforceable amendments. The issue truly is there is supposed to be an odd number of board members not an even number of board members.

I have brought this to the attention of the property manager and the board. They choose to ignore me. The comment by the president is they like an even number of board members. This is not about like this is about following the rules.

I don't see where ore suit mediation would help. I am looking for what to do.

Thank you
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Carol

Many Articles Of Incorporation are loaded with a statement like so and so will be done unless the Corporation Bylaws say otherwise.

This is especially true in states that take/want little control over corporations, such as here in SC. The SC Articles of Incorporation For Non Profit Corporations is loaded with unless the Corporation Bylaws say otherwise.. They are effectively useless against a set of Bylaws.

CarolR11 (Colorado)
Posts: 2,563
Posted:
Are you sure, Carol, that state law (corps Code, I assume) say that the articles always over rule the bylaws? Or do state law say something like "unless the governing documents state otherwise . . ."

Is it your bylaws that say there must be an odd number of directors? Do your bylaws specify how many directors? Odd numbers are preferable, as you seem to know, to try to avoid tie votes.

Are you on the Board?
TimB4 (Tennessee)
Posts: 21,061
Posted:
Carol,

Per davis-stirling.com's Hierarchy of Documents page that section would be part of civil code 4205.

However, per that same page, this doesn't take affect until January 1, 2014

Additionally, in reading CA Civil Code 4010 along with the davis stirling page cited, I become a little confused as to what is applicable and when it becomes applicable:

"4010. Nothing in the act that added this part shall be construed to invalidate a document prepared or action taken before January 1, 2014, if the document or action was proper under the law governing common interest developments at the time that the document was prepared or the action was taken. For the purposes of this section, "document" does not include a governing document."

"4150. "Governing documents" means the declaration and any other documents, such as bylaws, operating rules, articles of incorporation, or articles of association, which govern the operation of the common interest development or association."

You can see all of CA Civil code at http://www.leginfo.ca.gov

Tim
CaroleS (Florida)
Posts: 97
Posted:
Tim it was never proper - it was always a mistake
FredS7 (Arizona)
Posts: 927
Posted:
(assuming that you are interpreting the law and your documents correctly)

> I don't see where ore suit mediation would help. I am looking for what to do.

You can sue (expensive, uncertain, and time-consuming), try to elect different board members (will require lobbying your neighbors, and persuading them that this really matters) or move.
CarolR11 (Colorado)
Posts: 2,563
Posted:
CarolE? CaroleS? I'm sorry to say that I neglected to notice that your subject is Florida.

Still, if Fl. state law says that the Articles take precedence, but your articles say that your bylaws do, IMO, your bylaws prevail. But I'm not an attorney, etc. So, again I'll ask: do your bylaws say that the board must be a certain number of directors?
CarolR11 (Colorado)
Posts: 2,563
Posted:
CarolE? CaroleS? I'm sorry to say that I neglected to notice that your subject is Florida.

Still, if Fl. state law says that the Articles take precedence, but your articles say that your bylaws do, IMO, your bylaws prevail. But I'm not an attorney, etc. So, again I'll ask: do your bylaws say that the board must be a certain number of directors?
TimB4 (Tennessee)
Posts: 21,061
Posted:
Quote:
Posted By CaroleS on 07/17/2013 6:42 AM
Tim it was never proper - it was always a mistake

Well, you have more information than I do on the issue. Therefore, I will defer to your knowledge of the issue. I only pointed out what CA law would likely apply.

TimB4 (Tennessee)
Posts: 21,061
Posted:
OK I'm confused.

CarolE, from CA asked the question.
CaroleS, from FL says the previous amendment wasn't proper.

Are you two the same individual?
MelissaP1 (Alabama)
Posts: 13,836
Posted:
Articles of Incorporation are the CORPORATE rules of the association and supercede the by-laws. By-laws are INTERNAL documents. The documents that matter and have the actual restrictions against your deed is the CC&R's. (Convenants and Restrictions). The CC&R's are basically the outline of how your HOA operates and the by-laws are the "filler".

By-laws don't even require to be filed in most states. The Articles of Incorporation are required at the STATE level. The CC&R's at the COUNTY level. Which the by-laws as a "courtesy" may be filed with them.

Former HOA President
JohnC46 (South Carolina)
Posts: 14,265
Posted:
In laymen's terms.

In the hierarchy of documents, Articles Of Incorporation have a higher position/standing then say association Covenants/Bylaws. Reread, repeat, and learn. Documents 101.

Now that you passed Documents 101, we move to Documents 102. In some cases Documents 102 might contradict Documents 101 but that is part of the learning process.

Quite often Articles Of Incorporation will defer, acquiesce, concede, surrender, given in to, etc. to Covenants/Bylaws.

An example and one my association is dealing with right now.

SC Articles Of Incorporation say Proxy Voting is allowed, unless the Corporation Bylaws say other wise. Our Bylaws say Proxy Voting is not allowed.

In this case, SC Articles Of Incorporation defer, acquiesce, concede, surrender, given in to, etc. to our Covenants/Bylaws. Thus Proxy Voting is not allowed in our association.

Had our Bylaws been silent on the issue (as in no reference to Proxy Voting), the SC Articles Of Incorporation would rule.

What is so difficult about this? Unless shopping for a answer you want, it is real simple. If hoping for an answer you want, no one will ever be able to please you unless they agree with what you want to hear.

Do you still beat your wife? Yes or No.

CarolR11 (Colorado)
Posts: 2,563
Posted:
CarolE? CaroleS? I'm sorry to say that I neglected to notice that your subject is Florida.

Still, if Fl. state law says that the Articles take precedence, but your articles say that your bylaws do, IMO, your bylaws prevail. But I'm not an attorney, etc. So, again I'll ask: do your bylaws say that the board must be a certain number of directors?
TimB4 (Tennessee)
Posts: 21,061
Posted:
Carol,

Looking at FL Statutes -

Per FL 617.0206, the Bylaws may contain anything that is not in conflict with the Articles of Incorporation. Therefore, as you pointed out, if there were a conflict, then the Articles would control.

FL 617.0803 only specifies that the number of Directors must be 3 or more.

Can you provide the language in your Articles of Incorporation and within your Bylaws that address the number of Directors?

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