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92_SB1540
LRB9210697DHgc
1 AN ACT in relation to corporations.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Business Corporation Act of 1983 is
5 amended by changing Section 2.35 as follows:
6 (805 ILCS 5/2.35) (from Ch. 32, par. 2.35)
7 Sec. 2.35. Meetings of the board of directors of a
8 residential cooperative corporation containing 24 or more
9 units and located in a city containing more than 1,000,000
10 inhabitants shall be open to any residential shareholder,
11 except for the portion of any meeting held (i) to discuss
12 litigation when an action against or on behalf of the
13 corporation has been filed and is pending in a court or
14 administrative tribunal, or when the board of directors finds
15 that such an action is probable or imminent, (ii) to consider
16 information regarding appointment, employment or dismissal of
17 an employee, or (iii) to discuss violations of rules and
18 regulations of the corporation by a residential shareholder.
19 Any residential shareholder may record by tape, film or other
20 means the proceedings at such meetings or portions thereof
21 required to be open by this Section. The board may prescribe
22 reasonable rules and regulations to govern the right to make
23 such recordings. Notice of such meetings shall be mailed or
24 delivered at least 48 hours prior thereto, unless a written
25 waiver of such notice is signed by the person or persons
26 entitled to such notice pursuant to the articles of
27 incorporation, bylaws, or other instrument before the meeting
28 is convened. Copies of notices of meetings of the board of
29 directors shall be posted in entranceways, elevators, or
30 other conspicuous places in the residential cooperative at
31 least 48 hours prior to the meeting of the board of
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1 directors. If there is no common entranceway for 7 or more
2 apartments, the board of directors may designate one or more
3 locations in the proximity of such units where the notices of
4 meetings shall be posted. For purposes of this Section,
5 "meeting of the board of directors" means any gathering of a
6 quorum of the members of the board of directors of the
7 residential cooperative held for the purpose of discussing
8 business of the cooperative. The provisions of this Section
9 shall apply to any residential cooperative containing 24 or
10 more units and located in a city containing more than
11 1,000,000 inhabitants situated in the State of Illinois
12 regardless of where such cooperative may be incorporated.
13 (Source: P.A. 85-1269.)
14 Section 10. The General Not For Profit Corporation Act
15 of 1986 is amended by changing Section 108.21 as follows:
16 (805 ILCS 105/108.21) (from Ch. 32, par. 108.21)
17 Sec. 108.21. Meetings of the board of directors of a
18 residential cooperative not-for-profit corporation containing
19 24 or more units and located in a city containing more than
20 1,000,000 inhabitants or containing 50 or more single family
21 units with individual unit legal descriptions based upon a
22 recorded plat of a subdivision and located in a county with a
23 population between 780,000 and 3,000,000 inhabitants shall be
24 open to any member, except for the portion of any meeting
25 held (i) to discuss litigation when an action against or on
26 behalf of the corporation has been filed and is pending in a
27 court or administrative tribunal, or when the board of
28 directors finds that such an action is probable or imminent,
29 (ii) to consider information regarding appointment,
30 employment or dismissal of an employee, or (iii) to discuss
31 violations of rules and regulations of the corporation by a
32 residential shareholder. Any member may record by tape, film
-3- LRB9210697DHgc
1 or other means the proceedings at such meetings or portions
2 thereof required to be open by this Section. The board may
3 prescribe reasonable rules and regulations to govern the
4 right to make such recordings. Notice of such meetings shall
5 be mailed or delivered at least 48 hours prior thereto,
6 unless a written waiver of such notice is signed by the
7 person or persons entitled to such notice pursuant to the
8 articles of incorporation, bylaws, other instrument before
9 the meeting is convened. Copies of notices of meetings of the
10 board of directors shall be posted in entranceways,
11 elevators, or other conspicuous places in the residential
12 cooperative at least 48 hours prior to the meeting of the
13 board of directors. If there is no common entranceway for 7
14 or more apartments, the board of directors may designate one
15 or more locations in the proximity of such units where the
16 notices of meetings shall be posted. For purposes of this
17 Section, "meeting of the board of directors" means any
18 gathering of a quorum of the members of the board of
19 directors of the residential cooperative held for the purpose
20 of discussing business of the cooperative. The provisions of
21 this Section shall apply to any residential cooperative
22 containing 24 or more units and located in a city containing
23 more than 1,000,000 inhabitants or containing 50 or more
24 single family units and located in a county with a population
25 between 780,000 and 3,000,000 inhabitants situated in the
26 State of Illinois regardless of where such cooperative may be
27 incorporated.
28 (Source: P.A. 91-465, eff. 8-6-99.)