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By OPLawSocialMedia on Business & Business Attorney

The Role of Bylaws in Governing Corporate Operations: A Legal Perspective

The video features attorney Roy Oppenheim explaining the role and importance of bylaws in a corporation. After forming a corporation and filing the articles of incorporation, the next step is to establish the bylaws. These rules, referred to as the ‘glue’ of a corporation, dictate the company’s operations. They govern interactions between shareholders and directors, detail the election process, decision-making protocols, and more. Oppenheim emphasizes the complexity of creating bylaws and advises seeking the help of a corporate attorney to avoid misunderstandings or missteps.

Hi, Attorney Roy Oppenheim here. I want to talk to you today a little bit about what the bylaws are of a corporation. So, you’ve decided to form a corporation, you’ve filed your articles of incorporation. Presumably, you’ve spoken to an attorney about the corporation being the right vehicle that you’re going to use versus an LLC or some other format, and now you need the bylaws.

The bylaws are the rules that govern the company. They’re the rules that govern the company between you and the shareholders and the directors, how they get elected, who does the electing, when they get elected, how decisions are made. It’s the glue. And with that glue, the business can function and operate. And we do bylaws all the time. Sometimes they get very complicated. Sometimes they’re not that complicated. But you ought not to do them yourself because you may not understand the significance and ramifications about changes that you want to make. So, always good to have a corporate attorney, even someone in our concierge program, our flat fee legal program, involved with your formation of your articles, as well as, of course, your bylaws. Roy Oppenheim “From the Trenches.” Thank you.