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Subject: Owners and Proxy Votes- Annual Meeting
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Author Messages
JohnM79
(New Hampshire)

Posts:23


02/02/2018 12:51 PM  
Our Association is trying to make changes to the Bylaws. The Board was supposed to present the new bylaw changes prior to the annual meeting last May but did not make the changes in time. They still have not present the changes. At the annual meeting, it was voted to continue the annual meeting and vote on the bylaw changes since we had more than enough proxy votes or owners present to vote on the changes. Since May, six units have sold. Therefore, I believe that the votes for those former owners can not be casted and would not count toward the total of the number of eligible voters. Am I correct? With the sale of these units, the Association would not have the required owners present or by proxy to vote.

RichardP13
(California)

Posts:2902


02/02/2018 1:04 PM  
Those six would cease to be members and therefore their vote or proxy would no longer be valid.
BenA2
(Texas)

Posts:525


02/05/2018 10:53 PM  
I think you are correct but it might be tricky. If someone was a member when they signed their ballot or proxy and then moved before the election, I think their vote could still be counted. Otherwise, you would have to go back and check each voting member and make sure they did not sell their house between the time they signed the ballot/proxy and the election. Also, since the new person who bought the house would not have gotten a ballot, you would be denying that unit a vote. If your CC&Rs or bylaws don't state what to do, it is probably a question for an attorney.

Unless your governing documents say otherwise, if you don't have the election on the stated date, the ballots and proxies should become void, but every state has different laws so I would check with an attorney.
JanetB2
(Colorado)

Posts:4151


02/05/2018 11:08 PM  
I agree with Richard. Keep in mind that happened last May and it is now February of the next year. Potentially continuing a meeting means it will be taken care of in the VERY near future ... NOT almost a year later because of what you have noted potential sale and purchase of units. If units have sold those votes become invalid and the new owners potentially have the right to vote on items which will now affect THEIR property. If I was a new owner who purchased and you made a change after I purchased without my required vote ... depending on the situation I could choose to SUE the HOA. And I would estimate a high probability of winning that lawsuit. Your HOA needs to avoid that scenario!
JohnC46
(South Carolina)

Posts:7635


02/06/2018 5:13 AM  
Let me think. How would I feel if there was an amendment change using votes of some owners who no longer lived there. Still thinking as I call my lawyers number.
CjC
(Maryland)

Posts:126


02/06/2018 10:00 AM  
What do the proxies say about how long they are good for?
JanetB2
(Colorado)

Posts:4151


02/07/2018 10:09 PM  
Posted By JohnC46 on 02/06/2018 5:13 AM
Let me think. How would I feel if there was an amendment change using votes of some owners who no longer lived there. Still thinking as I call my lawyers number.


LOL ... Pretty much my thought

AnneB4
(Florida)

Posts:19


04/27/2018 5:47 PM  
In Florida, proxies are good for 90 days after the date of the original meeting, according to 720.306 8a
GenoS
(Florida)

Posts:2291


04/28/2018 1:52 AM  
"If a new record date for the adjourned meeting is or must be fixed under s. 607.0707, notice of the adjourned meeting must be given to persons who are entitled to vote and are members as of the new record date but were not members as of the previous record date."

So says FS 720.306(7). You'll have to determine whether or not FS 607.0707 applies to you regarding whether of not a new record date must be fixed. The "record date" is usually the date which determines who is and isn't eligible to vote, but FS 607.0707 talks about general corporate law and shareholders. It seems reasonable to replace "shareholder" with "homeowner" but I'm not a lawyer so what do I know.

FS 607.0707 says in part, "If not otherwise provided by or pursuant to the bylaws, the record date for determining shareholders entitled to notice of and to vote at an annual or special shareholders’ meeting is the close of business on the day before the first notice is delivered to shareholders."

Often the date of the first meeting notice is weeks before the actual meeting, so unless there's a formal determination of "record date" required in your bylaws, it seems likely that whoever was a homeowner on the "record date" is entitled to vote and anyone who took ownership of a property after that date but before the meeting date would just be SOL. Nothing requires that all corporate law be fair.
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Forums > Homeowner Association > HOA Discussions > Owners and Proxy Votes- Annual Meeting



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