by Beth Mulcahy, Esq.
A common question that I receive from managers and board members is the following: What can an association do when it cannot obtain a quorum at the annual meeting?
First, it is important to note that under Arizona law, an association is required to conduct an annual meeting every year. I recognize, however, that it is not possible to conduct an annual meeting if the board cannot get a quorum to attend the meeting in person or by mail-in/absentee ballot. Set forth below are a few suggestions to help increase participation at an annual meeting.
♦ Announce the annual meeting date, time, location in as many places as possible
♦ Plan and publicize a social event after or before the meeting and include food
♦ Give away door prizes or conduct a raffle (vendors of the association may be willing to donate door prizes)
♦ Give away awards for best lawn, flowers, best holiday decorations, etc.
♦ Establish a program; have a discussion on hot topics such as increasing the assessment rate, crime or common area improvements
♦ Arrange for guest speaker(s)(politicians, association attorney, landscaper, city officials, etc.)
♦ Aggressively pursue mail-in or absentee ballots
♦ Acknowledge and thank all of the volunteer work association members have contributed and give written certificates or a written thank you from the board of directors
If an association cannot obtain a quorum at the first attempt for an annual meeting, it is my opinion that the association should try one more time to conduct the annual meeting. In some cases, an association’s documents will specify how to conduct a second attempt at an annual meeting (such as a lower quorum requirement or a certain time period in which the meeting must be conducted).
Please give Beth Mulcahy, Esq. a call if you have any questions on this important subject.
