Michigan

Michigan Annual General Meeting Requirements for Condos, Co-Ops, and HOAs

Most homeowners associations require annual meetings. However, scheduling annual meetings can be difficult. Most homeowners have busy lives and may not take the time to attend meetings of members. BuildingBoard has a better way to hold your annual meetings and board meetings.

Schedule a Demo

Population

9,986,857

Housing Units

4,629,611

Owner Occupied

71.20%

Associations

8,425

Simplify Your Board Meetings in Michigan With BuildingBoard

With BuildingBoard, your members and directors can attend meetings virtually. Without download apps or software, they can attend the meeting and submit votes electronically. Our system is easy-to-use, convenient, and cost-effective.

Explore the Requirements

Risks of Missing a Quorum in Michigan

Missing a quorum is a common problem for homeowners associations. Without a quorum, you cannot conduct business or elect directors. Rescheduling meetings can be time-consuming and costly. Allowing members to attend meetings electronically could be the solution to missing quorums.

Annual General Meeting Requirements

The annual meeting is held to conduct business that impacts the entire community. However, these meetings may also provide owners and shareholders the opportunity to voice concerns or issues.

Condos

The Michigan Condominium Act governs most condominiums. Section 559.153 requires that the condominium project be governed by a set of bylaws. The bylaws may allocate each unit an equal number of votes in the association of co-owners or a number of votes equal to the percentage of the unit's value. However, the Act does not define a quorum nor specify whether members may vote by proxy.

However, if the condominium is organized as a nonprofit corporation, the association should be subject to the Michigan Nonprofit Corporation Act

According to the Nonprofit Corporation Act, an annual meeting of the members is required. Notice of the meeting must be given at least ten days before the meeting, but no more than 60 days before the meeting date. 

Unless the bylaws or articles state otherwise, a quorum is the shares or members entitled to cast a majority of the votes at a meeting. Members may designate a person to act on their behalf by proxy, including casting votes or dissenting.

Co-Ops and HOAs

Most co-ops and HOAs are organized as nonprofit corporations. Michigan does not have a specific statute for co-ops and HOAs. Therefore, they would be subject to the provisions of a nonprofit corporation. In other words, the association would be required to have annual meetings. The notice of the annual meeting would need to be given to unit owners at least 10 days before and not more than 60 days before the scheduled meeting date. 

A member could designate someone to vote on their behalf by proxy. Unless the bylaws or articles provide otherwise, the quorum for an annual meeting would be equal to the members permitted to cast votes at a meeting.

However, a section of the Michigan General Corporation Statute (§450.99) refers to co-ops organized as a general corporation. Section 450.101 states that shareholders of any cooperative corporation have the power to adopt bylaws that determine the number of votes assigned to each member, whether or not proxy voting is allowed, the number of votes required for a quorum, and how to elect directors.

Virtual Annual Meetings in Michigan

Homeowners associations organized as nonprofit corporations may allow members to participate in meetings electronically unless the bylaws or articles prohibit remote participation.

Section 450.2405 of the Nonprofit Act states that shareholders, members, or proxy holders may participate in a meeting by conference telephone, or other means of remote communication. Remote communication must allow all persons that participate in the meeting to communicate with all the other participants. All participants shall be advised of the means of remote communication.

Furthermore, the board of directors may hold a meeting of shareholders or members solely through remote communication unless prohibited in the bylaws or the articles.

Hold Your Michigan Annual Board Meetings Virtually with BuildingBoard

BuildingBoard is easy to use, convenient, and avoids problems reaching quorums. Schedule your meeting, invite members via email, and conduct the vote on the day of the meeting. Your members vote via their smartphone or computer.

Are you ready to simply your annual meetings? Contact BuildingBoard to learn more about our services and to schedule a demo.

Schedule a Demo
Book a Demo