The Corporate Records Handbook: Meetings, Minutes & Resolutions, 5th Edition

Downloading Forms and Other Materials......Page 9
Table of Contents......Page 10
Your Legal Companion for The Corporate Records Handbook......Page 18
1. Corporate Documents and Laws......Page 20
Organize Your Corporate Records......Page 21
Looking Up the Law Yourself......Page 25
2. Meetings, Minutes, and Written Consents—How to Document Corporate Action......Page 28
Three Ways to Document Formal Corporate Decisions......Page 29
Questions and Answers About Meetings, Minutes, and Written Consents......Page 30
3. Before You Hold Your Meeting—Prep Work and Notice......Page 38
Steps to Hold a Meeting......Page 39
4. How to Hold a Directors’ or Shareholders’ Meeting......Page 62
Step 3. Prepare Your Resolutions in Advance......Page 63
Step 5. Hold a Virtual Meeting......Page 64
Step 7. Calling the Meeting to Order......Page 66
Step 8. Do You Have a Quorum?......Page 67
Step 10. Reports by Officers and Committees......Page 69
Step 11. Introduce and Discuss Specific Proposals......Page 71
Step 12. Take the Votes of Directors or Shareholders......Page 73
Step 14. Adjourn the Meeting......Page 76
5. Preparing Minutes for Shareholders’ Meetings......Page 78
Preparing Minutes for Annual Shareholders’ Meetings......Page 79
Preparing Minutes for Special Shareholder Meetings......Page 89
6. Preparing Minutes for Directors’ Meetings......Page 98
Choosing the Correct Minutes Form......Page 100
Preparing Minutes for Annual Directors’ Meetings......Page 101
Preparing Minutes for Special Directors’ Meetings......Page 109
7. Paper Meetings......Page 116
When Is It Appropriate to Hold a Paper Meeting?......Page 117
How to Prepare Minutes for Paper Meetings......Page 119
8. Action by Written Consent......Page 126
Step 1. Check Your Bylaws for Your Written Consent Rules......Page 127
Step 2. Prepare the Written Consent Form......Page 128
Step 3. Place Signed Consent Forms in Your Corporate Records Book......Page 131
9. Resolutions for Authorizing Business Transactions......Page 132
When to Use Business Corporate Resolutions......Page 133
Bank Account Resolutions......Page 134
Resolution to Adopt Assumed or Fictitious Business Name......Page 140
Resolution to Approve a Contract......Page 142
Real Property Resolutions......Page 143
Authorization or Ratification of Employee’s Authority......Page 146
Certification, Affidavit, or Acknowledgment of Corporate Decision Making or Document......Page 151
10. Corporate Tax Resolutions......Page 154
S Corporation Tax Election......Page 155
Accumulation of Earnings......Page 161
Section 1244 Stock Plan......Page 163
Resolution for Approval of Independent Audit......Page 166
Selection of Corporate Tax Year......Page 167
Resolution for Payment and Deduction of Corporate Organizational Costs......Page 169
11. Resolutions for Amending Articles or Bylaws......Page 172
Amending Your Articles of Incorporation......Page 174
Amending Your Bylaws......Page 183
12. Corporate Hiring and Appointment Resolutions......Page 186
Hiring and Paying Corporate Employees......Page 188
Using Independent Contractors......Page 192
Appointing and Paying Corporate Officers......Page 194
Compensation for Attending Meetings......Page 196
Approval of Indemnification for Corporate Directors, Officers, and Employees......Page 198
13. Conflict of Interest Resolutions......Page 202
Approval of Business Between the Corporation and Its Directors......Page 203
Resolutions to Approve Director Conflict of Interest Transactions......Page 206
Resolutions for Shareholder Approval......Page 209
14. Resolutions for Loans to the Corporation......Page 214
When to Use Corporate Loan Resolutions......Page 215
Loans by Banks and Other Lending Institutions......Page 217
Loans by Shareholders and Other Insiders......Page 224
Promissory Notes Overview......Page 230
Sample Promissory Note Forms......Page 233
15. Resolutions for Loans to Insiders......Page 248
Insider Loan Restrictions Under State Law......Page 250
Tax Considerations and Consequences of Insider Loans......Page 252
Resolution for Approval of Corporate Loan to Insider......Page 255
Supporting Documentation—Promissory Notes......Page 257
Release of Promissory Note......Page 271
16. Fringe Benefit and Reimbursement Resolutions......Page 272
Introduction to Employee Fringe Benefits......Page 274
Group Health, Accident, and Disability Insurance......Page 275
Self-Insured Medical Reimbursement Plans......Page 277
Resolution Authorizing Group Term Life Insurance......Page 280
Authorization of Death Benefit Contract......Page 281
Payment of Employee Automobile Expenses......Page 283
Payment of Meals and Lodging......Page 286
Resolution Authorizing Business Expenses With Corporate Credit or Charge Card......Page 288
Reimbursement of Employee Business Expenses......Page 290
Resolution Approving Stock Bonus or Stock Option Plan......Page 297
17. Retirement Plan Resolutions......Page 298
How to Use This Chapter......Page 300
Overview of Corporate Retirement Plans......Page 301
Resolutions to Adopt Retirement Plans......Page 309
18. Stock Dividend Resolutions......Page 314
Stock Dividend Rules......Page 315
Stock Dividend Resolutions......Page 318
19. Stock Issuance Resolutions......Page 326
Legal and Tax Issues Affecting Stock Issuance......Page 327
Stock Issuance Resolutions......Page 329
20. Lawyers, Tax Specialists, and Legal Research......Page 346
How to Find the Right Lawyer......Page 347
Finding the Right Tax Adviser......Page 351
How to Do Your Own Legal Research......Page 352
A. How to Use the CD-ROM......Page 356
Installing the Files Onto Your Computer......Page 357
Using the Word Processing Files to Create Documents......Page 358
Files on the CD-ROM......Page 360
B. How to Locate State Corporate Filing Offices and State Laws Online......Page 364
How to Find Your State’s Business Corporations Act Online......Page 365
Standard Corporate Business Resolutions......Page 368
Meeting Summary Sheet......Page 372
Call of Meeting......Page 374
Meeting Participant List......Page 376
Notice of Meeting......Page 378
Acknowledgment of Receipt of Notice of Meeting......Page 380
Proxy......Page 382
Certification of Mailing......Page 384
Minutes of the Annual Meeting of Shareholders......Page 386
Minutes of Special Meeting of Shareholders......Page 392
Minutes of the Annual Meeting of Directors......Page 398
Minutes of Special Meeting of Directors......Page 404
Waiver of Notice of Meeting......Page 408
Approval of Corporate Minutes......Page 410
Cover Letter for Approval of Minutes of Paper Meeting......Page 412
Written Consent to Action Without Meeting......Page 414
Authorization of Treasurer to Open and Use Accounts......Page 416
Authorization of Treasurer to Open and Use Specific Corporate Account(s)......Page 418
Authorization of Corporate Account and Designation of Authorized Signers......Page 420
Authorization of Rental of Safe Deposit Box......Page 422
Adoption of Assumed Name......Page 424
Board Approval of Proposed Contract......Page 426
Approval of Lease......Page 428
Purchase of Real Property......Page 430
Authorization of Sale of Real Property......Page 432
Delegation of Authority to Corporate Employee......Page 434
Director Ratification of Employee’s Acts......Page 436
Board Ratification of Contract......Page 438
Rescission of Authority of Employee......Page 440
Shareholder Ratification of Decisions or Acts......Page 442
Certification of Board or Shareholder Action......Page 444
Affidavit of Corporate Decision Making......Page 446
Acknowledgment......Page 448
Director Conflict of Interest Resolutions......Page 369
S Corporation Tax Election......Page 450
S Corporation Shareholders’ Agreement......Page 452
Accumulation of Corporate Earnings......Page 454
Qualification of Shares Under Internal Revenue Code Section 1244......Page 456
Approval of Independent Audit of Corporate Financial Records......Page 458
Approval of Corporate Tax Year......Page 460
Payment and Deduction of Organizational Expenses......Page 462
Approval of Amendment to Articles of Incorporation......Page 464
Approval of Restatement of Articles of Incorporation......Page 466
Amendment of Articles Form......Page 468
Approval of Amendment of Bylaws......Page 470
Approval of Hiring of Corporate Employee......Page 472
Approval of Bonuses and Salary Increases......Page 474
Shareholder Ratification of Employee Pay......Page 476
Approval of Independent Contractor Services......Page 478
Appointment of Corporate Officers......Page 480
Authorization of Payment for Attending Meetings......Page 482
Annual Director or Officer Stipend for Attendance at Meetings......Page 484
No Compensation for Attending Corporate Meetings......Page 486
Indemnification and Insurance for Directors and Officers......Page 488
Board Approval of Transaction Benefiting a Director......Page 490
Directors’ Written Consent to Transaction Benefiting a Director......Page 492
Shareholder Approval of Transaction Benefiting a Director......Page 494
Shareholder Written Consent to Transaction Involving a Director......Page 496
Employee Fringe Benefits and Business Expense Reimbursement Resolutions......Page 370
Authorization of Loan at Specific Terms......Page 498
Authorization of Maximum Loan on General Terms......Page 500
Unlimited Authorization of Loans for Business Needs......Page 502
Authorization of Line of Credit......Page 504
Authorization of Line of Credit With Cap on Each Transaction......Page 506
Authorization of Loan Terms Secured by Corporate Property......Page 508
Resolution Approving Loan to Corporation......Page 510
Promissory Note: Installment Payments of Principal and Interest (Amortized Loan)......Page 512
Promissory Note: Installment Payments of Principal and Interest (Amortized Loan) Secured by Corporate Property......Page 514
Promissory Note: Installment Payments of Principal and Interest (Amortized Loan) With Balloon Payment......Page 516
Promissory Note: Periodic Payments of Interest With Lump Sum Principal Payment......Page 518
Promissory Note: Lump Sum Payment of Principal and Interest at Specified Date......Page 520
Promissory Note: Lump Sum Payment of Principal and Interest on Demand by Noteholder......Page 522
Promissory Note: Variable Schedule of Payments of Principal and Interest......Page 524
Approval of Corporate Loan to Insider......Page 526
Promissory Note: Monthly Installment Payments of Principal and Interest (Amortized Loan)......Page 528
Promissory Note: Installment Payments of Principal and Interest (Amortized Loan) Secured by Property......Page 530
Promissory Note: Installment Payments of Principal and Interest (Amortized Loan) With Balloon Payment......Page 532
Promissory Note: Periodic Payments of Interest With Lump Sum Principal Payment......Page 534
Promissory Note: Lump Sum Payment of Principal and Interest at Specified Date......Page 536
Promissory Note: Lump Sum Payment of Principal and Interest on Demand by Noteholder......Page 538
Promissory Note: Variable Schedule of Payments of Principal and Interest......Page 540
Release of Promissory Note......Page 542
Authorization of Group Health, Accident, or Disability Insurance for Employees......Page 544
Adoption of Self-Insured Medical Reimbursement Plan......Page 546
Purchase of Group Term Life Insurance......Page 548
Authorization of Employee Death Benefit......Page 550
Agreement Regarding Death Benefits......Page 552
Purchase or Lease of Company Car......Page 554
Authorization of Payment of Standard Mileage Allowance to Employees......Page 556
Business Meal Expense Allotment for Employees......Page 558
On-Premises Meals and Lodging for Employees......Page 560
Authorization of Corporate Credit and Charge Cards for Employees......Page 562
Reimbursement of Actual Travel and Entertainment Expenses to Employees Under Accountable Reimbursement Plan......Page 564
Reimbursement of Actual Travel and Entertainment Expenses to Employees Under Nonaccountable Reimbursement Plan......Page 566
Authorization of Per Diem Travel Allowance for Employees......Page 568
Board Approval of Stock Bonus or Stock Option Plan......Page 570
Stock Issuance Resolutions......Page 371
Board of Directors’ Adoption of Retirement Plan......Page 572
Board of Directors’ Adoption of Profit-Sharing Plan......Page 574
Shareholder Ratification of Retirement Plan......Page 576
Declaration of Cash Dividend......Page 578
Authorization of Cash Dividend Payable in Installments......Page 580
Declaration of Year-End Dividend......Page 582
Declaration of Regular and Extra Dividend......Page 584
Declaration of Accumulated Dividend to Preferred Shareholders......Page 586
Authorization of Property Dividend to Shareholders......Page 588
Approval of the Issuance of Shares......Page 590
Sale and Issuance of Shares for Property......Page 592
Sale and Issuance of Shares for Indebtedness Canceled......Page 594
Sale and Issuance of Shares for Services......Page 596
Sale and Issuance of Capital Stock for Assets and Liabilities of a Business......Page 598
Bill of Sale and Agreement......Page 600
Issuance of Shares in Exchange for Assignment of Trademark, Service Mark, Patent, or Copyright......Page 602
Assignment......Page 604
Issuance of Shares in Return for Cash and Promissory Note......Page 606
Web Resources......Page 0
Index......Page 608
Related Products......Page 624