The meeting cannot be legally conducted if there aren’t enough board members. This article provides some tips on how to ensure quorum of your board meetings to make decisions with the necessary legitimacy.
While the perfect attendance at every board meeting is a rare event, quorum ensures that decision-making accurately reflects the opinions and interests of all stakeholders. It helps to avoid the negative consequences of minority rule, which means that a small number of directors can have a significant influence and take unilateral action that isn’t in the best interest of the company or its stakeholders.
The majority of organizations have quorum requirements outlined in their bylaws. These rules can vary but usually include an amount of directors from the board who must be present in order for a quorum exist. Certain bylaws also allow for exemptions that can be applied to certain types of meetings, or in certain situations.
Consider things like the size of your board or the difficult task of getting all your members together simultaneously when deciding on the quorum percentage. When establishing your quorum rules, it is essential to find a balance between the flexibility and legitimacy, as it is unlikely for all members to be present at every meeting.
If the quorum doesn’t meet at the start of a board meeting the chair should wait for a few minutes and check if there are more members present to meet the minimum amount needed. If it becomes clear the quorum isn’t met the chair should announce that there’s not any quorum present and that there will be no formal business conducted at this meeting.
https://hurleycountrystore.biz/streamlining-business-needs-the-role-of-vdrs-in-data-management/