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RobertR1 (South Carolina)
Posts: 5,164
Posted:
What does this mean?

Section 10. Actions Without Meeting. Any action which may be taken at a meeting of the membership may be taken without a meeting if a consent or ratification, in writing, setting forth the action so taken or to be taken shall be signed by persons who would be entitled to cast seventy-five per cent (75%) of the Percentage Interests of membership of the Council at a meeting and such consent is filed with the Secretary of the Council and is inserted in the Minute Book thereof.

BradD2 (Florida)
Posts: 418
Posted:
It seems to me that this allows you to make a decision or do something that normally would require a meeting of members outside of that meeting if 75% of the people (or their representatives through proxy) sign off on it during a meeting of members.

I am not sure the value or legality of this but this is what we do...

We have a board meeting once a month and often times don't have enough information to make a decision but we know how we will vote depending on what is missing. For example if we have an informal quote we vote to go ahead if the price does not exceed some value and to return it to the next board meeting if it does. This allows me to operate based on a board vote with incomplete information but still uphold the wishes of the board.

I can only imagine that your quote means something similiar.
DonnaS (Tennessee)
Posts: 5,671
Posted:

Robert,
Occasionally an association is made up of absentee owners or several older citizens , many who are unable to handle membership meetings. This allows important issues to be voted on without their presence such as amendments or special assessments and such things which require all residents to have a voice. The higher percent is sometimes difficult to obtain in a meeting and this allows everyone to vote.

Yes, the insertion of the Minute Book is a good requirement for down the road when after the votes would have been thrown away, there is the written documentation.
RobertR1 (South Carolina)
Posts: 5,164
Posted:
Brad and Donna,

I still don't get it. These actions are supposed to take place at a membership meeting. I would even stretch it and agree they are probably talking about the Board doing something. But I am not sure you can vote on something that has already been done. Does this mean a special board meeting has to be called with notification and invites to all owners. If so, the meeting is opened, the issue discussed, a motion is made to notify all members for ratification. At some time the votes are counted at some kind of formal procedure that verifys validity. If you get 75& you then start the action or have already done whatever. Aren't you creating a meeting so you don't have to have a meetings and what whappens if you don't get 75 %?

Section 10. Actions Without Meeting. Any action which may be taken at a meeting of the membership may be taken without a meeting if a consent or ratification, in writing, setting forth the action so taken or to be taken shall be signed by persons who would be entitled to cast seventy-five per cent (75%) of the Percentage Interests of membership of the Council at a meeting and such consent is filed with the Secretary of the Council and is inserted in the Minute Book thereof.

PaulM (Pennsylvania)
Posts: 1,347
Posted:
RobertR1: In our docs, the text of the "like-paragraph reference" is entitled, Action by Consent. I'm going to put the verbiage which is legalese in parenthethes for easier reading and to be more to the point....

An action (which may be taken at a meeting of the members or of a class of Members) may be taken without a meeting if a consent (or consents in writing--proxies) setting forth the action (so taken) shall be signed by all of the Members who would be entitled to vote at a Meeting for such purpose and shall be filed with the Secretary...

I believe this could be applied to a petition from members (appropriate percentage to pass a vote) signing for a specifically stated purpose/action to be taken on behalf of the community, and it is to be filed with the Secretary and in your case, inserted as part of the Minute Book/minutes, which would allow it to be recorded.

It appears from this text that an "action/proposal/change" by members can be passed without benefit of a member meeting as long as the procedure is followed. It also appears that this does give members the right, outside the Board, to move on an action with the appropriate percentage of consent of members.

I may be wrong, and I may be reading something into this that isn't there but I offer my thoughts.

GloriaM (North Carolina)
Posts: 829
Posted:
Some states allow for the HOA to take an action without a meeting. Because we are all busy today, sometimes a decision needs to be made before a monthly meeting. This clause allows you to do that following the % and placing that Action into your Minutes.
RobertR1 (South Carolina)
Posts: 5,164
Posted:
Gloria and Paul.

Section 10. Actions Without Meeting. Any action which may be taken at a meeting of the membership may be taken without a meeting if a consent or ratification, in writing, setting forth the action so taken or to be taken shall be signed by persons who would be entitled to cast seventy-five per cent (75%) of the Percentage Interests of membership of the Council at a meeting and such consent is filed with the Secretary of the Council and is inserted in the Minute Book thereof.

**********************************************************8

Thaank you for your comments,

This clause goes back to the developers documents before turn over to Regime. At least from 1979.

I think I need to go eat a couple bananas because I stil don't get it.
I read the Board (I suppose) can take action without a meeting if they have the signed consent of 75% of the membership. It makes no mention of what the action is for. In order for this to happen they have to somehow obtain signed consent of at least 75%, which would either require a special meeting or at least a notice to each member to agree of an action or disagree. I can't believe this is an expedictious way to solve anything. Of course the question remains what if they don't get 75%?

Has anyone seen this thing actually used?

The Board does have power to expend funds to preserve the common property in an emergency and I believe can borrow money to do this.

If I am just drawing a blank here and don't get the real meaning let me know. Maybe it is something that the developer found handy to have if he controled the Board, I do not know.

DonnaS (Tennessee)
Posts: 5,671
Posted:

Robert,
I understand your frustration in not grasping this one. It was written by a lawyer, determined to make alot of words mean something basically simple. Gloria wrote a shorter version of what I had done. I think that you are wandering off in trying to add meaning to this.Don't do that because it will drive you bonkers.

As I said,I believe 75% to get is way too high these days to achieve the required number of votes to get quorums and to pass items that require the membership to pass.

How were your bananas?
RobertR1 (South Carolina)
Posts: 5,164
Posted:
Hi Donna,
I ate two bananas abd I'm still dumb as a rock. Now I have questions about the Question #1 also.

I want to thank all for your input and think, at this point, I am making much ado about nothing. I'm willing to just drop it and if it ever comes up in our associations I am going to make a motion that we do it, and let someone else figure out what it is they can do. In my Regime it takes six months to approve a bird house, I don't know how long it would take to impliment this kind of action. We people involve ourselves in some strange rituals.
NancyD1 (Florida)
Posts: 447
Posted:
Robert,
Paul hit the nail on the head. The action is anything the board would need to go to the community for a vote. If your documents say (1/2) 50%, they now are requiring you to have proxies or some form of a written consent of 75% of the members. These chapters, in reality, relate to a large transient organizations. If the homeowners are not on the premises, it make it easier for the board to vote on a community measure. You would obviously need time because of the written permission aspect, but say you were doing a capitol expense project, and this in the planning for months waiting for contracts. The board, knowing that they are going to need a vote from the community can collect the votes from the members before hand, and then the board can vote anytime, because they have the required 75%.

This is an old tried and true friend to documents. It is very prevalent in Florida where we have a large snowbird population.

Robert, the attorney who put together the verbiage in that section of your docs, just wanted to use every legal morpheme [semantic].
PaulM (Pennsylvania)
Posts: 1,347
Posted:
Nancy & Robert: Yes, action of 75% of members can be taken without a meeting. That is clearly stated.

But, it is also implied that members can exert their power (over the Board) provided that 75% of members have signed consent to an action (not in a meeting) which action must then be filed and inserted in the Minute Book.

This is not to be taken lightly; it would seem it gives a lot of power which can be used by members.

RobertR1 (South Carolina)
Posts: 5,164
Posted:
I think I can live with this thing now, especially since the only time we approve large sums is at our annual meetings. The budget is brought before the members, the line items discussed, special assessment are or should be voted to renew or stop, new special assessments are propossed.
Since our annual meeting is in April, the CPI increase is already in effect so we approve that. I think that is what they do, I think some would be surprised at how we do things. When I read of some of the exploits of Boards and HOA's on this site I don't feel too bad because I am not alone, but HOA's could sure use a overhaul. It may be the most organized disorganized function I have ever wittnessed. The expressions we would have used in my twenty years of Naval Service would be. "Organized grab-ass. They say that word on TV so it can't be cussing. Our large HOA seems to function smoothly.

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