Join Early Retirement Today
Reply
 
Thread Tools Display Modes
What am I not seeing here?
Old 05-06-2006, 12:29 PM   #1
Recycles dryer sheets
 
Join Date: Dec 2004
Posts: 282
What am I not seeing here?

I serve on an endowment board and part of the bylaws read as thus, "The investment committee shall have the ability to make transactions in an amount less than $50,001. Any investment in excess of $50,000 shall require Board approval."

I read this as a befuddling statement and asked about it to the Board and they responded that it is correct.

My question is how can it be correct performed as it's written? Am I just dense?
__________________
time flies like an arrow, fruit flies like a banana
larry is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Re: What am I not seeing here?
Old 05-06-2006, 12:34 PM   #2
Recycles dryer sheets
poboy's Avatar
 
Join Date: Jan 2006
Posts: 362
Re: What am I not seeing here?

To have a little fun suggest an investment of $50,000.50.
That fifty cents might make the earth spin backwards.
__________________
Fat, drunk, and stupid is no way to go through life, son.
poboy is offline   Reply With Quote
Re: What am I not seeing here?
Old 05-06-2006, 12:43 PM   #3
Recycles dryer sheets
 
Join Date: Dec 2004
Posts: 282
Re: What am I not seeing here?

Yes, I think it's poorly written. Is this common? Any tips for a better clause?
__________________
time flies like an arrow, fruit flies like a banana
larry is offline   Reply With Quote
Re: What am I not seeing here?
Old 05-06-2006, 01:14 PM   #4
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Sep 2005
Location: Northern IL
Posts: 26,806
Re: What am I not seeing here?

I think that those two numbers, $50,001 and $50,000 are odd, and are distracting you from the real meaning.

I assume they mean that:

A) the investment committee can make transactions up to (and including) $50,000 *without* Board Approval.

B) the investment committee needs Board Approval to make transactions over $50,000.

The odd wording may have been an attempt to avoid excluding $50,000 exactly, but that is normally done by saying '$50,000 and more require approval', or '$50,000 and less do not require approval'.

Odd, but still better than some ad copy ' up to 50% and 60% off list price, or more!'.

ERD50
ERD50 is offline   Reply With Quote
Re: What am I not seeing here?
Old 05-06-2006, 01:16 PM   #5
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
youbet's Avatar
 
Join Date: Mar 2005
Location: Chicago
Posts: 13,148
Re: What am I not seeing here?

Quote:
Originally Posted by larry
"The investment committee shall have the ability to make transactions in an amount less than $50,001.* Any investment in excess of $50,000 shall require Board approval."

I read this as a befuddling statement and asked about it to the Board and they responded that it is correct.

My question is how can it be correct performed as it's written?* Am I just dense?
It's just redundent. *You may spend up to and including $50k whether that's less than $50,001 or not more than $50,000 doesn't matter. *The fact they didn't take it to the penny is inconsequential.

So, yes it can be performed. *No, you're not dense. *Now, get to work on the business of the endowment board! * *

__________________
"I wasn't born blue blood. I was born blue-collar." John Wort Hannam
youbet is online now   Reply With Quote
Re: What am I not seeing here?
Old 05-06-2006, 01:21 PM   #6
Moderator Emeritus
Martha's Avatar
 
Join Date: Feb 2004
Location: minnesota
Posts: 13,228
Re: What am I not seeing here?

Damn lawyers can't write.
__________________
.


No more lawyer stuff, no more political stuff, so no more CYA

Martha is offline   Reply With Quote
Re: What am I not seeing here?
Old 05-06-2006, 02:36 PM   #7
Recycles dryer sheets
 
Join Date: Dec 2004
Posts: 282
Re: What am I not seeing here?

Thanks for the advice. It seems to me that things should be a little clearer and that some things should be more clear when things aren't understood. I never not enjoy this board!
__________________
time flies like an arrow, fruit flies like a banana
larry is offline   Reply With Quote
Re: What am I not seeing here?
Old 05-06-2006, 05:05 PM   #8
Moderator Emeritus
Nords's Avatar
 
Join Date: Dec 2002
Location: Oahu
Posts: 26,855
Re: What am I not seeing here?

Quote:
Originally Posted by Martha
Damn lawyers can't write.
Does that mean they don't get paid?
__________________
*

Co-author (with my daughter) of “Raising Your Money-Savvy Family For Next Generation Financial Independence.”
Author of the book written on E-R.org: "The Military Guide to Financial Independence and Retirement."

I don't spend much time here— please send a PM.
Nords is offline   Reply With Quote
Re: What am I not seeing here?
Old 05-06-2006, 05:39 PM   #9
Thinks s/he gets paid by the post
free4now's Avatar
 
Join Date: Dec 2005
Posts: 1,228
Re: What am I not seeing here?

That statement looks like it wasn't written by a lawyer, or at least not a good lawyer.

The first thing that came into my head was "If I want to do a 120k transaction all I have to do is break it up into three 40k transactions and wala no approval needed".
free4now is offline   Reply With Quote
Re: What am I not seeing here?
Old 05-06-2006, 07:24 PM   #10
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
youbet's Avatar
 
Join Date: Mar 2005
Location: Chicago
Posts: 13,148
Re: What am I not seeing here?

Quote:
Originally Posted by Martha
Damn lawyers can't write.
No one has ever debated that. But, we still love 'em. And pay 'em.
__________________
"I wasn't born blue blood. I was born blue-collar." John Wort Hannam
youbet is online now   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


» Quick Links

 
All times are GMT -6. The time now is 08:07 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2024, vBulletin Solutions, Inc.