{"id":6629,"date":"2020-04-11T20:01:17","date_gmt":"2020-04-11T14:31:17","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=6629"},"modified":"2020-11-18T18:01:16","modified_gmt":"2020-11-18T12:31:16","slug":"quorum-for-board-meeting-in-regards-to-companies-act-2013","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/quorum-for-board-meeting-in-regards-to-companies-act-2013\/","title":{"rendered":"What is Quorum For Board Meeting in Regards to Companies Act, 2013?"},"content":{"rendered":"\n<p class=\"has-drop-cap\">The quorum for meeting refers to the minimum number of directors that ought to be required at the Board meeting. The meetings cannot be conducted in the case of minimum quorum. However, a Board meeting may comprise a higher quorum than the essential requirement to the <a href=\"https:\/\/corpbiz.io\/company-registration\"><strong>registered companies<\/strong><\/a>. <\/p>\n\n\n\n<p>A minimum <strong><em>quorum<\/em><\/strong><sup><a href=\"https:\/\/en.wikipedia.org\/wiki\/Quorum\"><strong><em>[1]<\/em><\/strong><\/a><\/sup> should be equivalent to one-third of the total strength of directors. A board meeting cannot be held in the absence of a quorum, and any decision taken without the quorum would be void. <\/p>\n\n\n\n<p>The quorum for meeting\nconstitutes the directors who play a vital role in the Board meeting. The\ndirectors can connect with the meeting through video conferencing or by other\naudiovisual means.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/quorum-for-board-meeting-in-regards-to-companies-act-2013\/#Quorum_%E2%80%93_While_commencing_the_meeting\" >Quorum \u2013 While commencing the meeting<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/quorum-for-board-meeting-in-regards-to-companies-act-2013\/#Quorum_for_meeting_%E2%80%93_Disinterested_Directors\" >Quorum for meeting \u2013 Disinterested Directors<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/quorum-for-board-meeting-in-regards-to-companies-act-2013\/#Quorum_for_board_meeting_%E2%80%93_Exception\" >Quorum for board meeting \u2013 Exception<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/quorum-for-board-meeting-in-regards-to-companies-act-2013\/#Meetings_of_the_Board_of_Directors\" >Meetings of the Board of Directors<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/quorum-for-board-meeting-in-regards-to-companies-act-2013\/#Periodicity_of_the_BoD_Meeting\" >Periodicity of the BoD Meeting<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/quorum-for-board-meeting-in-regards-to-companies-act-2013\/#Purposes_of_BoD_Meeting\" >Purposes of BoD Meeting<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/corpbiz.io\/learning\/quorum-for-board-meeting-in-regards-to-companies-act-2013\/#Notice_to_BoD_Meeting\" >Notice to BoD Meeting<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/corpbiz.io\/learning\/quorum-for-board-meeting-in-regards-to-companies-act-2013\/#Agenda_for_BoD_Meeting\" >Agenda for BoD Meeting<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/corpbiz.io\/learning\/quorum-for-board-meeting-in-regards-to-companies-act-2013\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Quorum_%E2%80%93_While_commencing_the_meeting\"><\/span><strong>Quorum \u2013 While commencing the meeting<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>If the requisite quorum\nfails to register their presence at the start of a Board meeting, the meeting\nstands adjourned as per the Articles of Association of the company. <\/p>\n\n\n\n<p>If the article is\nsilent, then the meeting automatically subjected to cancellation to the same\nday in the upcoming week. If that day encounters the national holiday, then the\nmeeting will be postponed to the next free date. <\/p>\n\n\n\n<p>The meeting, as per the\narticle of association, is stands adjourned on the following holidays.<\/p>\n\n\n\n<ul><li>Republic Day<\/li><li>Gandhi Jayanthi<\/li><li>Independence day <\/li><li>Or public or national\nholiday by the Central Government.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Quorum_for_meeting_%E2%80%93_Disinterested_Directors\"><\/span><strong>Quorum for meeting \u2013 Disinterested Directors<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The quorum of\ndisinterested directors is exceptionally crucial for each business transacted\nat the meeting unless the article provides for a higher quorum. Discussions\nwould not be convened without the support of the quorum of disinterested\ndirectors. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Quorum_for_board_meeting_%E2%80%93_Exception\"><\/span><strong>Quorum for board meeting \u2013 Exception<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>No Board meeting could\nbe held in the absence of the quorum. However, due to uncontrollable\ncircumstances, a quorum may be restricted to a fewer number of directors. The\nreason for reduction could be registration, death, removal, disqualification of\na director, or the automatic vacancy. In such an event, a single director can\nhandle a Board Meeting either by increasing the number of directors or\nrequesting a general meeting for a company.<\/p>\n\n\n\n<p>A single director is\nnot entitled to conduct a meeting for any purpose. This provision is only\napplicable in the case if the number of directors is limited to one. If the\nquorum comprises a minimum of 2 directors, then the meeting could be conducted\nwithout any hassle.&nbsp; <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Meetings_of_the_Board_of_Directors\"><\/span><strong>Meetings of the Board of Directors<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The directors of the\ncorporation are considered as the representatives of the shareholders. They\nmanage the workflow of the organization on behalf of the shareholders.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Periodicity_of_the_BoD_Meeting\"><\/span><strong>Periodicity of the BoD Meeting<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The meeting of the\nBoard of Directors ought to be conducted once every 3 months. This implies that\na minimum of the four meetings should be held in a year. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Purposes_of_BoD_Meeting\"><\/span><strong>Purposes of BoD Meeting<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The aim is that Board\nmeetings ought to be held frequently for the welfare of the organization. <\/p>\n\n\n\n<p>In context to the small\ncompanies that don\u2019t have sufficient privilege to conduct the meetings, the\ncentral government acts can as a guiding light for them.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Notice_to_BoD_Meeting\"><\/span><strong>Notice to BoD Meeting<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Notice of the meetings\nmust be rendered in writing to every director in India. The notice should be\ngiven to a director regardless of their intention or plan in context to the\nboard of meeting. <\/p>\n\n\n\n<p>Unless the articles\nspecify, the proper notice should be addressed to the concerned members before\nthe meeting. The notice should consolidate the basic info like time, place,\ndate, and venue. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Agenda_for_BoD_Meeting\"><\/span><strong>Agenda for BoD Meeting<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Agenda act as a\ndetailed blueprint of the meeting. It radically exhibits the things that\nrequire to be covered up and the order in which they needed to be executed. <\/p>\n\n\n\n<p>In the context of the\nboard meetings, it displays the items related to the business that would be\ntransacted. Though sending the agenda isn\u2019t mandatory, it is usually sent to\nthe concerned directors who will be responsible for preparing the items to be\ndiscussed.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span><strong>Conclusion<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>It\u2019s quite clear from the above information that the board meetings cannot be held with fewer directors. Minimum criteria, as per provisions, should be met to conduct successful board meetings. Hopefully, by now, everything is crystal clear to you, and if it is not, then drop your queries in the comment section. We will respond to them in no time. <\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/board-meeting-quorum-notice-and-requirements\/\">Board Meeting \u2013 Meaning, Quorum, Notice and Requirements\n<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The quorum for meeting refers to the minimum number of directors that ought to be required at the Board meeting. The meetings cannot be conducted in the case of minimum quorum. However, a Board meeting may comprise a higher quorum than the essential requirement to the registered companies. A minimum quorum[1] should be equivalent to [&hellip;]<\/p>\n","protected":false},"author":22,"featured_media":6632,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[120],"tags":[479],"acf":{"service_id":"321"},"authorName":"Pankaj Tyagi","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/MicrosoftTeams-image-42.jpg","authorDescription":"Pankaj has a diverse experience of writing research papers, blog, and articles during his college time. Earlier, he was working as a tax consultant in a financial firm, but his interest in writing drives him to pursue a career in the writing field.","postViews":10574,"readingTime":3,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/6629"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=6629"}],"version-history":[{"count":10,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/6629\/revisions"}],"predecessor-version":[{"id":19759,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/6629\/revisions\/19759"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/6632"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=6629"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=6629"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=6629"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}