Legal implications of board decisions made by email vote

Legal implications of board decisions made by email vote

Modern board portals enable collegial bodies to conduct a legally effective decision-making process remotely using mobile devices via a web interface. This article will analyze the legal implications of board decisions made through email voting.

Board software – electronic voting for quick board decisions

The use of information and telecommunication technologies in the framework of corporate procedures is not a novelty in legal realities. Today, electronic voting technologies are gaining the trust of executives around the world. Creating a secure e-voting system is a very urgent task. Electronic voting is more convenient than traditional voting, more fair and secure, and allows you to fulfill several specific requirements that cannot be foreseen with traditional voting. The reason for the significant discussions about the introduction of electronic voting technologies was the rapid development of digital-age technologies that have penetrated all spheres of society. In organizations with collegiate management bodies, joint-stock companies, holdings, and state or non-profit organizations, voting on draft decisions adopted during meetings of boards of directors, commissions, committees, and boards is an obligatory stage. The board management software functionality makes it possible to conduct full-fledged and legitimate electronic voting within the system, generate a ballot and meeting minutes, and approve the minutes.

The service’s popularity is due to its ease of use and high level of information security. Today many board portals broadcast meetings on the Internet, and the shareholder can fully participate in the meeting: get acquainted with the agenda, use an automated board email vote template, listen to reports, and study materials, and vote in real-time on the agenda through his personal account.

The benefits of email voting for the boards

Automation of voting increases the speed of decision-making and their entry into force for the subsequent formation of instructions and control over their execution. The board management software offers the following benefits for streamlining the board voting procedures:

  • Electronic voting system on agenda items with the ability to leave a comment;
  • Notifications of voting results by email;
  • Differentiation of access to information following the role of the user in the system;
  • Ability to reuse user report templates, model charters, voting ballots;
  • Creation and control of execution of instructions following the results of meetings;
  • Access to the system from anywhere in the world, from a computer, through mobile applications on IOS or Android devices;
  • Expansion of the voting function for participants, with the ability to leave an explanation for the left vote;
  • Exclusion of erroneously completed ballots;
  • The use of secure communication channels that protect against changes in the content of the document and forgery of the signature;
  • Participation in voting, acquaintance with materials and documents even without an Internet connection.

Another advantage of voting through the system is the automatic calculation of voting results. Voting results are available 1 hour after the end of voting, while traditional voting can take up to 10 calendar days to count votes.

How does the system work?

Access to the board software does not require unique technical means; connection to the platform is possible anywhere in the world with the Internet. As a result, the meeting organizer received the opportunity to send informational messages of any content by email to all or individual participants in the meeting. At the same time, sending each message can be accompanied by a corresponding email notification.

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