Quorum

Quorum indicates a number of people within an organisation is required to conduct a meeting and make appropriate decisions based on a specific subject. It indicates the majority of people participating in a meeting to provide their open ideas and make meaningful decisions. Quorum indicates that sufficient organisational people are present in a board meeting to discuss any specific matters before implementing any changes. Quorum is a minimum level of attendance that is required in a meeting and to make a decision within an organisation. Quorum is also an important indicator in “Lok sabha” to measure the majority of people’s presence in parliament to make a decision or to pass a government bill.

Quorum

There is no strict number to maintain a Quorum for conducting a meeting to make a meaningful decision effectively as it helps to measure the majority of people in a  group. It is possible to set a specific number of people required to be present in a board meeting of a company by implementing company policy. Quorum represents the number of people responsible for making an organisational decision or implementing any new rules, or regulations in parliament. The idea, as well as a guideline regarding Quorum, is introduced by “Robert’s Rules of Order” and it helps to protect a country and organisation from the decision-making ability of fewer people.  It is required to abandon the meeting when the criteria of Quorum are not met properly. There are specific rules and regulations in both “Lok sabha” and Rajya sabha to maintain a Quorum for making any political decision or implementing new rules, and regulations within a country.      

Quorum of “Lok Sabha”

Quorum is an important factor in “Lok Sabha” to make any political decision and pass any bill for a country. The rules of Quorum in “Lok Sabha” is one-tenth of the total membership of “Lok Sabha” that is required to present in making any decision as per the article 100(3) under the Indian constitution. A majority of people in “Lok Sabha” is needed to be present in parliament while making any decision. Without maintaining Quorum, it is not possible to pass a government bill or take any decision. Quorum of “Lok Sabha” indicates a specific number of people from different political parties are needed to be present to discuss any rules, or regulations. 

Quorum indicates the majority of people are present and participate in making a meaningful decision in the Lok Sabha. If there is no Quorum then the speaker of “Lok Sabha” is responsible to cancel the meeting and scheduled for the next meeting to discuss a political matter. Indian constitution fixed strength of “Lok Sabha” is one-tenth to hold a meeting for making an important political decision. Therefore, Quorum is an important factor for conducting a meeting in “Lok Sabha” for implementing any government decision and discussing any political issues for the country.   

Quorum Board Meetings

A quorum is a minimum member of an assembly which is called a deliberative assembly and which also uses parliamentary procedure that is important to conduct business. Under Article 100 of the Indian Constitution stipulates that a minimum 10% of members must be present in quorum or in “House of Parliament”. For example, in Indian membership, if there are 250 members in a quorum or in the “House of Parliament” then 25 participants have to be present to conduct proceedings. In addition, quorum refers to all members in which all must be present in a house meeting. In addition, for each of them Rajya Sabha and Lok Sabha must be established through the Indian Constitution and create one-tenth of the membership in total. Thus, in the session, there must be at least 55 members in Lok Sabha and 25 members must be present and conduct the meeting in Rajya Sabha. Apart from this, individuals in meetings have 6 years commitment and while they’re growing a casual vacancy they must be replaced through elections. The quorum for a meeting which is for the board of directors of a company states “one-third of its full strengths” or “two of directors”, in which it constitutes a higher participation on quorum under a proper subsection of Indian Constitution. Under “Section 173 of the Companies Act, 2013”, mainly deals with board meetings and regulations which are laid down under this act. Board of meeting also shall be conveyed by giving notice of 7 days and which must be written in the registered address of the company. In addition, transacting some other matters, meetings shall be called with a shorter notice and condition which implies with 1 independent director. In case of the absence of an independent director, all decisions made by only the directors and which are also circulated to other directors. Under “Companies Act, 2013”, board meetings are recorded in a minute book and that must be maintained by the company secretary. Apart from this, the director can only inspect this minute book, not any of the members. Every board meeting needs proper planning and documents need to fulfil the appropriate agenda in quorum which is required to be followed mainly by a company. No board meeting is established without a quorum and due to some ungovernable situation quorum may be restricted for a few directors of the house. In addition, the result of reduction includes “registration, death, removal, disqualification” for directors or mainly constituted through vacancy automatic. 

Conclusions

The study concludes on the concept of quorum and why a quorum is important in the case of general or private meetings of companies. It summarises various acts under which the decisions regarding the quorum of a meeting are determined.