AB-2460 (Ta) Common interest developments: association governance: member election.

Would provide clarification to the reduced quorum requirements for a reconvened membership meeting to elect the board of directors.

Current Status: Chaptered

FindHOALaw Quick Summary:

Existing law prescribes that a quorum is required only if stated in the governing documents or by law. In the absence of a quorum, existing law authorizes an association to adjourn the proceeding to a date at least 20 days after the adjourned proceeding, at which time the quorum required for purposes of a membership meeting is 20% of the voting members present in person, by proxy, or by secret written ballot received. Existing law requires an association to provide general notice of the membership meeting, as specified, no less than 15 days prior to the election of directors.
In the absence of a quorum, this bill would amend Civil Code Section 5115 to instead authorize the board of an association to adjourn the proceeding on behalf of the members to a date at least 20 days after the adjourned proceeding, at which time the quorum required for purposes of a reconvened membership meeting would be 20% of the voting members present in person, by proxy, or by secret written ballot received. The bill would require an association to provide general notice of the reconvened membership meeting, as specified, no later than 15 days prior to the date of the reconvened membership meeting.
Under existing law, for elections of directors and for recall elections, an association is required to provide general notice of specified information about the election at least 30 days before the ballots are distributed, including a statement that the board of directors may call a subsequent meeting at least 20 days after a scheduled election if the quorum is not reached, as specified.
This bill would also amend Civil Code Section 5115 to require an association whose governing documents require a quorum for election of directors to provide general notice of a statement that the board of directors may call a reconvened meeting at least 20 days after a scheduled election if the quorum is not reached.
For a corporation that is a common interest development, existing law imposes notice requirements for special meetings. In the absence of a quorum, existing law authorizes a corporation that is a common interest development to adjourn a membership proceeding to a date at least 20 days after the adjourned proceeding, at which time the quorum required for purposes of a membership meeting is 20% of the voting members present in person, by proxy, or by secret written ballot received.
In the absence of a quorum, this bill would amend Corporations Code Section 7512 to instead authorize the board of the corporation that is a common interest development to adjourn a membership proceeding on behalf of the members to a date at least 20 days after the adjourned proceeding, at which time the quorum required for purposes of a reconvened membership meeting would be 20% of the voting members present in person, by proxy, or by secret written ballot received.
**AB 2460 was signed by the Governor on September 22, 2024, and takes effect January 1, 2025.
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from the California Legislature's website