there are associations which rely heavily on proxies to conduct their elections. Such associations


should consider how


electronic voting will impact proxy use and discuss the same with their hired inspector of elections.


Finally, implementing electronic voting will require associations to maintain an up-to-date list will


vote electronically and which members will


identifying which members vote by


written ballot. Members have the right to change their voting preference, via written request, at any time up to 90 days before each election. This may be an additional administrative burden for some associations.


If electronic voting is right for your community, the board must decide how to enroll members. The Civil Code permits two methods by which associations may enroll members in electronic voting: an opt-in procedure and an opt-out procedure. Regardless of which procedure is used, an association must include information on how to opt-in to or out of electronic voting in its annual policy


statement


distributed to members prior to the start of each fi scal year, and members have the right to change their selected voting method, via written request, at any time up to 90 days before each election.


Under the opt-in procedure, members will need to enroll in electronic voting via written request to the association. Only those members who enroll will be eligible to vote by electronic ballot; however, no additional


notices will be


required prior to an election. An opt-in procedure may be ideal for associations with high levels of electronic engagement, or which anticipate a strong response to eblast campaigns urging members to enroll in electronic voting. Once a member has opted-in to electronic voting, that election will remain effective until such time as the member submits a written request to change it.


In the alternative, associations may adopt an opt-out


procedure whereby all members who have provided the association with email addresses will be automatically enrolled in electronic voting. Associations will be required to send paper


ballots only to the members who have opted-out or who have no email address on fi le. Associations utilizing an opt-out procedure will be required to send an individualized notice to every member at least 120 days before each election advising the member of their current voting method (electronic vs. paper), their email address on fi le if they vote electronically, their right to opt-out of electronic voting, and the procedure and deadline (at least 90 days before the election) for changing their voting method. This additional notice must be sent to all members but may be sent via electronic delivery to those members who have consented to receive email communications. By combining this notice with other required election notices, such as the call


for candidates, so long as it is given via


“individual delivery” within the timeframe discussed above, associations can mitigate some of the administrative burdens associated with this approach.


While the opt-out procedure requires an additional notice to all members, the potential increase in electronic voting resulting from automatic enrollment may outweigh the administrative burdens of sending an additional notice, especially if the association has a high percentage of email consents. Ultimately, boards will need to decide which enrollment method is the best fi t for their associations.


Electronic voting is the way of the future, however, not all associations need be early adopters. Boards


should


thoughtfully consider when and how to implement electronic voting and consult with association legal counsel to gain a better understanding of the benefi ts and potential pitfalls of same. Whether or not your association is ready to take the plunge into electronic voting, it should start planning today for what is likely coming tomorrow, putting procedures and systems in place to ease the transition to electronic voting and bolster member participation in same when the time comes.


—Jacqueline Pagano, Esq. is a partner of Roseman Law, APC, a full-service law fi rm specializing in the representation of California common interest developments for over 25 years. Email: info@roseman.law.


“Utilizing electronic voting for votes on proposed restatements of governing documents will be of particular value, given that the full texts of the restated documents may be provided electronically to members enrolled in electronic voting, rather than having to be printed and mailed to all members.”


www.caioc.org 19


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36