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Issue #215
March 6, 2008

Governor Signs Bill on Nonprofits' Electronic Communication

Governor Granholm signed into law SB 123, now Public Act 9 of 2008, allowing nonprofits to utilize electronic communication for several activities involving boards of directors and members. Specifically the bill allows groups to use forms of electronic communication to provide notice of meetings to their boards of directors or members, and for these individuals to participate in a meeting and vote via electronic communication, and more. Although these are already common practices, the Nonprofit Corporation Act did not previously specifically allow for these activities or allow for your bylaws to be amended permitting these activities.

The following are just examples of how this could impact your organization: a nonprofit may now provide notice of meetings via fax or email, could hold a board meeting via webinar, and could revise the organization's bylaws to permit voting via fax or email.

Click here to view Public Act 9 of 2008 online.  

MNA actively supported the passage of SB 123 and is very pleased that this amendment has been made to the Nonprofit Corporation Act. Please contact us if you have any questions.