2023 Nevada Revised Statutes › Chapter 116B - Condominium Hotel Act › NRS 116B.550 - Voting by units’ owners; use of proxies; voting by lessees of leased units; association prohibited from voting as owner of unit; voting without meeting.

1. Unless prohibited or limited by the declaration or bylaws and except as otherwise provided in this section, the units’ owners may vote at a meeting in person, by absentee ballot pursuant to paragraph (d) of subsection 2, by a proxy pursuant to subsections 3 to 8, inclusive, or, when a vote is conducted without a meeting, by paper or electronic ballot pursuant to subsection 9.
2. At a meeting of the units’ owners, the following requirements apply:
(a) Units’ owners who are present in person may vote by voice vote, show of hands, standing or any other method for determining the votes of the units’ owners, as designated by the person presiding at the meeting.
(b) If only one of several owners of a unit is present, that owner is entitled to cast all the votes allocated to that unit. If more than one of the owners are present, the votes allocated to that unit may be cast only in accordance with the agreement of a majority in interest of the owners, unless the declaration expressly provides otherwise. There is majority agreement if any one of the owners cast the votes allocated to the unit without protest being made promptly to the person presiding over the meeting by any of the other owners of the unit.
(c) Unless a greater number or fraction of the votes in the association is required by this chapter or the declaration, a majority of the votes cast determines the outcome of any action of the association.
(d) Subject to the provisions of subsection 1, a unit’s owner may vote by absentee ballot without being present at the meeting. The association promptly shall deliver an absentee ballot to a unit’s owner who requests it if the request is made at least 3 days before the scheduled meeting. Votes cast by absentee ballot must be included in the tally of a vote taken at that meeting.
(e) When a unit’s owner votes by absentee ballot, the association must be able to verify that the ballot is cast by the unit’s owner having the right to do so.
3. Except as otherwise provided in this section, votes allocated to a unit may be cast pursuant to a proxy executed by a unit’s owner. A unit’s owner may give a proxy only to a member of his or her immediate family, a tenant of the unit’s owner who resides in the condominium hotel, the hotel unit owner or another unit’s owner who resides in the condominium hotel. If a unit is owned by more than one person, each owner of the unit may vote or register protest to the casting of votes by the other owners of the unit through an executed proxy. A unit’s owner may revoke a proxy given pursuant to this section only by actual notice of revocation to the person presiding over a meeting of the association.
4. Before a vote may be cast pursuant to a proxy:
(a) The proxy must be dated.
(b) The proxy must not purport to be revocable without notice.
(c) The proxy must designate the meeting for which it is executed, and such a designation includes any recessed session of the meeting.
(d) The proxy must designate each specific item on the agenda of the meeting for which the unit’s owner has executed the proxy, except that the unit’s owner may execute the proxy without designating any specific items on the agenda of the meeting if the proxy is to be used solely for determining whether a quorum is present for the meeting. If the proxy designates one or more specific items on the agenda of the meeting for which the unit’s owner has executed the proxy, the proxy must indicate, for each specific item designated in the proxy, whether the holder of the proxy must cast a vote in the affirmative or the negative on behalf of the unit’s owner. If the proxy does not indicate whether the holder of the proxy must cast a vote in the affirmative or the negative for a particular item on the agenda of the meeting, the proxy must be treated, with regard to that particular item, as if the unit’s owner were present but not voting on that particular item.
(e) The holder of the proxy must disclose at the beginning of the meeting for which the proxy is executed and any recessed session of that meeting the number of proxies pursuant to which the holder will be casting votes.
5. A proxy terminates immediately after the conclusion of the meeting, and any recessed sessions of the meeting, for which it is executed.
6. A vote may not be cast pursuant to a proxy for the election or removal of a member of the executive board of an association.
7. The holder of a proxy may not cast a vote on behalf of the unit’s owner who executed the proxy in a manner that is contrary to the proxy.
8. A proxy is void if the proxy or the holder of the proxy violates any provision of subsections 3 to 7, inclusive.
9. An association may conduct a vote without a meeting, including, without limitation, a vote for the election or removal of a member of the executive board. If an association conducts a vote without a meeting, the following requirements apply:
(a) The association shall notify the units’ owners that the vote will be taken by ballot.
(b) The association shall deliver a paper or electronic ballot to every unit’s owner entitled to vote on the matter and may allow the units’ owners to vote by using a voting machine. Any such voting machine must be a mechanical voting system that has been approved by the Secretary of State in accordance with chapter 293B of NRS and, once voting begins, must be:
(1) Located in a prominent place within the common elements of the condominium hotel; and
(2) Available for use between the hours of 8 a.m. and 8 p.m. each day for a period of 15 consecutive days.
(c) The ballot must set forth each proposed action and provide an opportunity to vote for or against the action.
(d) When the association delivers the ballots, it shall also:
(1) Indicate the number of responses needed to meet the quorum requirements;
(2) State the percentage of votes necessary to approve each matter other than election of directors;
(3) Specify the time and date by which a ballot must be delivered to the association to be counted, which time and date may not be fewer than 3 days after the date the association delivers the ballot; and
(4) Describe the time, date and manner by which units’ owners wishing to deliver information to all units’ owners regarding the subject of the vote may do so.
(e) Except as otherwise provided in the declaration or bylaws, a ballot is not revoked after delivery to the association by death or disability of or attempted revocation by the person who cast that vote.
(f) Approval by ballot pursuant to this subsection is valid only if the number of votes cast by ballot equals or exceeds the quorum required to be present at a meeting authorizing the action.
(g) If the vote is for the election or removal of a member of the executive board and the executive board chooses to use electronic voting:
(1) If the vote is for the election of a member of the executive board, an association shall send or provide, in the manner and time that ballots are sent or provided pursuant to paragraph (a) of subsection 8 of NRS 116B.445:
(I) A paper ballot and a return envelope, prepaid by United States mail, to any unit’s owner who has opted out of receiving electronic notices pursuant to subsection 2 of NRS 116B.513; and
(II) An electronic ballot to any unit’s owner who has designated an electronic mail address at which to receive notices pursuant to subsection 3 of NRS 116B.513.
(2) If the vote is for the removal of a member of the executive board, the association must send or provide, in the manner and time that ballots are sent or provided pursuant to paragraph (a) of subsection 2 of NRS 116B.450:
(I) A paper ballot and a return envelope, prepaid by United States mail, to any unit’s owner who has opted out of receiving electronic notices pursuant to subsection 2 of NRS 116B.513; and
(II) An electronic ballot to any unit’s owner who has designated an electronic mail address at which to receive notices pursuant to subsection 3 of NRS 116B.513.
(3) If the association allows units’ owners to vote by using a voting machine, the association must provide to each unit’s owner, not less than 15 days before the date on which voting begins, a notice of the opportunity to vote by using a voting machine that provides the location at which the voting machine will be available for use and the days and times during which the voting machine will be available for use. The association shall also provide with the notice a form that allows a unit’s owner to opt out of voting by using a voting machine and instead receive a paper ballot. If a unit’s owner returns the form to the association within 15 days after receiving the notice, the association shall send a paper ballot and a return envelope, prepaid by United States mail, to the mailing address of the unit’s owner or to any other mailing address designated in writing by the unit’s owner.
(4) A meeting of the units’ owners must be held in the manner set forth in NRS 116B.445 or 116B.450 to open and count the paper ballots and review and announce the results obtained from the electronic ballots or voting machine, as applicable, and enter the results into the meeting record. Any paper ballots must be opened and counted in a manner that may be readily observed by the units’ owners in attendance at the meeting and must not occur privately behind closed doors or in an area that is not open to observation by the units’ owners in attendance.
(5) Any electronic voting must be conducted by an independent third party through the use of an online voting system, a voting machine, or both an online voting system and a voting machine. The independent third party shall be deemed to be a data collector pursuant to NRS 603A.030 and is subject to the obligations and liabilities of chapter 603A of NRS with regard to the security and privacy of any personal information, as that term is defined in NRS 603A.040, that is provided or maintained through the use of an online voting system or voting machine. The independent third party conducting the electronic voting may not be any of the following persons and may not share voting results or information with any of the following persons before the meeting held pursuant to subparagraph (4):
(I) A candidate for or member of the executive board or an officer of the association;
(II) A person who resides in a unit with, is married to, is domestic partners with, or is related by blood, adoption or marriage within the third degree of consanguinity or affinity to another person who is a member of the executive board or an officer of the association or performs the duties of a community manager for the association;
(III) An officer, employee, agent or director of a corporate owner of a unit, a trustee or designated beneficiary of a trust that owns a unit, a partner of a partnership that owns a unit, a member or manager of a limited-liability company that owns a unit or a fiduciary of an estate that owns a unit if the unit is also owned by another person who is a member of the executive board or an officer of the association or serves as the community manager for the association;
(IV) A person who performs the duties of a community manager for the association, an affiliate of the community manager, an employee of the company by whom the community manager is employed or an affiliate of the company, the spouse of any such person or the parent or child of any such person by blood, adoption or marriage;
(V) The declarant of the association or an affiliate of the declarant;
(VI) A unit’s owner or resident of the association; or
(VII) Any person who stands to gain any personal profit or compensation of any kind from a matter before the executive board of the association other than payment only for conducting voting services for the association.
10. If the declaration requires that votes on specified matters affecting the condominium hotel must be cast by the lessees of leased units rather than the units’ owners who have leased the units:
(a) This section applies to the lessees as if they were the units’ owners;
(b) The units’ owners who have leased their units to the lessees may not cast votes on those specified matters;
(c) The lessees are entitled to notice of meetings, access to records and other rights respecting those matters as if they were the units’ owners; and
(d) The units’ owners must be given notice, in the manner provided in this chapter, of all meetings at which the lessees are entitled to vote.
11. If any votes are allocated to a unit that is owned by the association, those votes may not be cast, by proxy or otherwise, for any purpose.
12. As used in this section, "online voting system" means an Internet-based voting system with a process that has the ability:
(a) To authenticate:
(1) The identity of a unit’s owner; and
(2) The validity of each electronic vote to ensure that the vote is not altered in transit;
(b) To enable a unit’s owner to transmit an electronic ballot to the online voting system in a way that ensures the secrecy and integrity of the ballot;
(c) To transmit an electronic receipt to each unit’s owner who casts an electronic vote;
(d) To separate any authenticating or identifying information from an electronic ballot, thereby rendering it impossible to match an electronic ballot to a specific unit’s owner;
(e) To store electronic votes and keep them accessible to units’ owners and the Office of the Ombudsman for the purposes of recounts, inspections and reviews;
(f) To count all lawful votes; and
(g) To identify, reject and record the basis for rejection of all unlawful votes, including, without limitation, a vote by a unit’s owner whose voting rights have been suspended, a vote by a person who is not a unit’s owner and duplicate votes.
(Added to NRS by 2007, 2230; A 2015, 1234; 2023, 975)