Quorum

Written By:
Paul Tracy
Updated August 5, 2020

What is a Quorum?

A quorum is the minimum number of directors required to conduct a board meeting. Usually is a quorum is a majority.

How Does a Quorum Work?

Let's assume Company XYZ has 10 board members. Its bylaws state that at least six board members must attend each board meeting for the board to conduct business.

A vacancy on the board does not change the number of directors needed for quorum.

Why Does a Quorum Matter?

In order to conduct business, a board must have a quorum. This ensures the shareholders' interests are adequately represented.