Legal Question in Consumer Law in California

Corrupt Corporation

Our housing corporation�s employees place votes in a ballot box before member meetings are called to order. Our By-Laws requires members to be present to be eligible to vote. Our Board of Directors refuse to allow the ballot box opened in order that members may examine the content of the ballot box, prior to voting. These injurious procedures have been implemented the previous (4) four elections. Members of our corporation have presented, duly processed petitions, for special meetings of the members. Instead of the President calling a special meeting as required by our By-Laws, our Board of Directors will attempt to have the members remove, or rescind the required signatures of all members� petitions. This procedure has taken place for our last (4) four petitions. Members have signed affidavits, stating that they have no intention of removing their signatures; but to no avail. Our Board will refuse to take any necessary action required by our corporation By-Laws; regarding members� petitions. Can our members take our Board of Directors to court, to force our Board of Directors to comply with our By-Laws?

What shall we do, how can the members eliminate our corporate corruption?


Asked on 4/06/03, 10:29 pm

1 Answer from Attorneys
H.M. Torrey The Law Offices of H.M. Torrey

Re: Corrupt Corporation

from the facts given, you may have standing for either a derivative suit against this corporation if the harm being caused by the board flows directly to the corporation as a whole, or you may have standing for a direct suit if the damages suffered flow directly to the individual(s). if you can email me with more specific information, i may be able to further assist you legally. let me know what type of corporation this is, how many stockholders, the specific types of corruption occurring at the hands of the board, whom is all being harmed by their conduct, and how many persons might be involved in the suit.

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Answered on 4/08/03, 2:18 pm


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