Online General Meetings for Redevelopment and Reconstruction to Become Possible

Amendment Recognizing Electronic Voting in Disasters Passed Yesterday by National Assembly Judiciary Committee

[Asia Economy Reporter Jo Gang-wook] It is expected that redevelopment and reconstruction association general meetings, which have been disrupted due to social distancing measures amid the spread of COVID-19, can be held through electronic voting.

According to the Ministry of Land, Infrastructure and Transport on the 23rd, the amendment to the "Urban and Residential Environment Improvement Act" containing this provision passed the National Assembly's Legislation and Judiciary Committee the previous day. The core of this bill is to recognize the exercise of voting rights through electronic voting when it is difficult for association members to attend the general meeting in person due to disasters. The disasters referred to here include not only natural disasters such as typhoons and floods but also social disasters such as fires, traffic accidents, and infectious diseases, as defined in Article 3, Clause 1 of the "Framework Act on the Management of Disasters and Safety."

However, electronic voting is limited to cases where a disaster occurs and the local government recognizes that it is difficult for association members to attend in person. Under current law, resolutions at general meetings require, in principle, the attendance of a majority of members and the approval of a majority of those present, with at least 10% attending in person. For inaugural general meetings or the establishment of management disposition plans, at least 20% attendance is required.

Meanwhile, the amendment stipulates that if executives of maintenance project associations such as reconstruction and redevelopment or professional association managers are prosecuted for violating laws other than the Urban and Residential Environment Improvement Act (Dojeongbeop), the court shall issue separate judgments on violations of the Dojeongbeop. Currently, if association executives violate the Dojeongbeop and receive a fine of 1 million won or more, they are disqualified from serving as executives. There had been concerns that in cases of multiple offenses where the judgment is not finalized, even if the fine for violating the Dojeongbeop is less than 1 million won, if combined with other crimes it exceeds 1 million won, the individual could lose their qualification as an association executive, resulting in unfair disadvantages.