HD Video Conferencing for Board or Staff Meetings
Putting together a top-notch board of directors is a critical task for any company, but getting them together in one room for a board meeting can be a difficult, and expensive, task as well. This is why companies are turning to WebConference.com™ as a way to make it a little easier for directors to gather.
HOW VIDEO CONFERENCE HELPS BOARD MEETINGS
LEGALITIES OF VIRTUAL BOARD MEETINGS
The Scenario: You are the Director of Meetings for the National Insurance Company, Inc. The CEO comes to you and tells you that, due to budget cuts, the board of directors meeting needs to be held online rather than face to face. After much frantic research on meeting technology, you submit a proposal to the CEO for how the board meeting may be held online via Facebook. Board members, you explain to the CEO, can participate from their desktop computers from the comfort of their offices or homes all around the country. Board members will receive the agenda and handouts via email prior to the online meeting. For conversation, board members type in a "chat" box, which immediately pops up on everyone's computer screen, enabling virtual conversation and voting on items of business. Your CEO is thrilled with your ingenuity and the cost savings of a virtual meeting. Good job! Oh, except that this meeting may violate the law.
The Solution: If the organization for which you are planning a meeting is a corporation, be aware the law that applies to an organization is the law of the state where the organization is incorporated, which may be the same as or different than the state in which it is headquartered. Most states' laws require that all members of a corporation board of directors be able to "hear" one another simultaneously at a board meeting and follow the action taking place. An online meeting with no video and audio component would violate this legal requirement.
This is why many corporations are turning to WebConference.com™ which offers board members a simultaneous telephone conference call in addition to a virtual online video presence. The combination of multi-point audio and video, along with a voting mechanism and recording capability would satisfy the requirements of the law in most states.
Only an extreme minority of states (California and Illinois, predominately) have recently changed their corporate law to allow the board of directors of a corporation to meet in any manner in which all members can "communicate" with one another (rather than "hear" one another). The word "communicate" in the laws in these states would allow online meetings of a corporation board of directors, whether or not an audio component is included. But why take the risk? With WebConference.com™ you can have peace of mind along with a greater level of interaction. After all, it's the effectiveness of the meeting that matters most.