Haidian Model Case: charter-based board email voting

Reference Case: Li v. an Information Company on Resolution Validity

Where the Company Law does not mandate an in-person board meeting for a limited liability company, the charter may define the convening procedure and voting method. If the charter expressly allows email notice and remote voting, and all directors receive notice and submit positions so that the required approval ratio is met, the board resolution is not invalid merely because no physical meeting occurred or dissenting directors refused to sign the paper resolution.

Holding

Where the Company Law does not mandate an in-person board meeting for a limited liability company, the charter may define the convening procedure and voting method. If the charter expressly allows email notice and remote voting, and all directors receive notice and submit positions so that the required approval ratio is met, the board resolution is not invalid merely because no physical meeting occurred or dissenting directors refused to sign the paper resolution.

Issues

board-convening procedureemail-based votinglimits of charter-based autonomy