The correct answer is: A. $\frac{1}{3}$ of total number of directors or 2 directors, whichever is higher
A quorum is the minimum number of members of a deliberative assembly that must be present in order to conduct the business of the assembly. The quorum requirement is designed to ensure that decisions are made by a majority of the members, and to prevent a small minority from controlling the assembly.
The quorum requirement for a board meeting is typically set by the company’s bylaws. In the absence of a bylaw provision, the
default quorum requirement is a majority of the board members. However, many companies choose to set a higher quorum requirement, such as two-thirds of the board members.The option A, $\frac{1}{3}$ of total number of directors or 2 directors, whichever is higher, is the most common quorum requirement for a board meeting. This option ensures that a quorum can be met even if there are a few vacancies on the board.
The option B, $\frac{1}{2}$ of total number of directors or 3 directors, whichever is higher, is a more stringent quorum requirement. This option is typically used by companies that want to make sure that a majority of the board members are present at all board meetings.
The option C, $\frac{1}{2}$ of total number of directors or 3 directors, whichever is lower, is a less stringent quorum requirement. This option is typically used by companies that want to make it easier to meet a quorum, even if there are a few board members who are unable to attend a meeting.
The option D, None of the above, is incorrect because it does not specify a quorum requirement.