Michigan Professional Corporation By-Laws
What the Michigan Professional Corporation By-Laws Are and Why They Matter
Purpose and Primary Benefits for Your Firm
Adopting clear bylaws establishes authoritative procedures for decision-making, clarifies roles for licensed professionals, and helps preserve limited liability. Bylaws support compliance with ESIGN (15 U.S.C. ch. 96) and UETA for electronic records and signatures when executed properly and can reduce internal disputes by documenting governance expectations.
Who Typically Prepares and Uses These By-Laws
Each group uses the bylaws differently: founders to set governance, officers to operate the business, and counsel to ensure regulatory conformity.
- Founding shareholders and licensed professionals who form the professional corporation.
- Corporate officers and the corporate secretary responsible for minute keeping and governance.
- Outside counsel or compliance officers who review bylaws for statutory and licensing compliance.
Step-by-Step: Adopt and Record Your By-Laws
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01Assemble Information: Gather Articles, professional license details, shareholder list, and registered agent info.
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02Draft Bylaws: Prepare a draft addressing directors, officers, meetings, voting, indemnification, and amendments.
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03Board Approval: Hold an organizational meeting; record resolution adopting bylaws in corporate minutes.
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04Store Records: Keep signed bylaws with the minute book and provide copies to officers and counsel.
Frequently Asked Questions About Michigan Professional Corporation By-Laws
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Are bylaws filed with the state?
No. Bylaws are internal corporate records; the Articles of Incorporation are filed with the Michigan Department of Licensing and Regulatory Affairs, while bylaws are retained in the corporate minute book.
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Can bylaws be executed electronically?
Yes. Electronic signatures are enforceable under the ESIGN Act (15 U.S.C. ch. 96) and UETA when intent, consent, attribution, and retention are satisfied, but verify professional board guidance for any additional requirements.
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Who must sign the bylaws?
Typically the incorporator or the board chair and corporate secretary sign the bylaws; identify who signs in the document and record approval in meeting minutes.
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Do bylaws require notarization or witnesses?
Generally no; bylaws are internal documents and are not usually notarized. Check specific professional licensing board rules for any special authentication requirements.
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How often should bylaws be reviewed?
Review bylaws annually or when governance, ownership, or licensing rules change; document amendments in the minutes and keep executed copies.
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What if bylaws conflict with Articles of Incorporation?
The Articles prevail. If a conflict exists, amend either the Articles (filed with state) or the bylaws to resolve inconsistency and record the change formally.
eSignature Pricing and Capability Snapshot for Executing By-Laws
| signNow | DocuSign | Adobe Sign | PandaDoc | HelloSign | |
|---|---|---|---|---|---|
| Starting Price | $8/user/mo | $15/user/mo | $14/user/mo | $19/user/mo | $15/user/mo |
| Free Trial | 7-day free trial, no credit card | Varies | Varies | Varies | Varies |
| Bulk Send | Yes | Yes | Yes | Yes | No |
| Audit Trail | Yes | Yes | Yes | Yes | Yes |
| HIPAA Compliant | Yes | Yes | Yes | No | No |
| Envelope Cap | No cap | 100 envelopes/user/year | Varies by plan | Varies by plan | Varies by plan |
Common Risks and Legal Consequences of Deficient By-Laws
Frequent Preparation Errors to Avoid
- Using overly generic language that doesn’t reflect professional licensing requirements.
- Failing to require directors or officers to hold required professional licenses.
- Not recording adoption in corporate minutes at the organizational meeting.
- Omitting procedures for amendments, resignations, or removal of directors.
Where to Send, Store, and Share Adopted By-Laws
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Corporate Minute Book: Store signed bylaws and meeting minutes in the official minute book.
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Officers and Counsel: Provide copies to the corporate secretary, CEO, and outside counsel.
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Shareholders: Distribute an executed copy to shareholders and record delivery.
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Regulatory Records: Retain copies for professional board audits or licensing reviews as required.
Configuring an Electronic Workflow to Execute By-Laws
| Field | Configuration |
|---|---|
| Signature Field | Assign signer role and required date field |
| Authentication | Email plus optional SMS code or ID verification |
| Template | Save executed bylaw version as reusable template |
| Retention | Enable document archive and exportable audit trail |
Technical Considerations for eSigning and Storage
Choose a platform that supports secure authentication, tamper-evident PDFs, and retention of an audit trail for governance documents.
- File Formats: PDF and Word (DOCX) supported
- Integrations: Works with Google Workspace, Microsoft 365, NetSuite
- Security: TLS in transit and AES-256 at rest
Real-World Examples of Executing Corporate Governance Documents
Optica Ventures — Operational Clarity
The leadership formalized bylaws to standardize board meetings and officer duties.
- They archived signed bylaws with minutes for investor diligence.
- Maintaining an auditable record reduced follow-up questions during capital raises and supported timely regulatory reporting.
Martin Properties — Remote Execution
A small professional firm used electronic signatures to finalize bylaws after an organizational meeting.
- The signatures included timestamps and an audit trail.
- Executing and storing the bylaws electronically allowed immediate distribution to stakeholders and avoided travel delays for licensed officers.