AACME® BYLAWS

 BYLAWS OF THE

 

THE AMERICAN ASSOCIATION OF CONTINUING MEDICAL EDUCATION® (AACME) 

 

ARTICLE I – NAME

 

 This organization, a not-for-profit organization under the laws of the State of California, shall be known as the AMERICAN ASSOCIATION OF CONTINUING MEDICAL EDUCATION® (“AACME”), with an approved trademark with a USPTO, formed in the State of California under the AMERICAN ASSOCIATION OF CONTINUING MEDICAL EDUCATION® (“AACME”).

The business of the organization may be conducted as the AMERICAN ASSOCIATION OF CONTINUING MEDICAL EDUCATION® or the “AACME”.

 

ARTICLE II – PURPOSES AND FUNCTIONS

 

 Section 2.01 PURPOSES:

The AACME® is organized exclusively for educational or scientific purposes.

The purposes of the AACME® are to: Promote global excellence in continuing medical education & professional development, by defining, reviewing, and publicizing CME standards related to CME structure, process and outcome; Measure healthcare organization’s educational performance against the AACME® peer-set standards; and Enhance the knowledge of physicians and health care professionals through the highest level of accreditation standards for continuing medical education programs (CME) that are vital for their ongoing knowledge and skills they need to provide their patients and communities with optimum care and which will assist them in understanding the disease mechanism, diagnosis, and treatments.

 

Section 2.02 FUNCTIONS

The AACME® shall:

       a) Set, review, publicize and administer standards and policy criteria for CME organizations for physicians and other health care professionals;

       b) Validate the competency of the accredited organizations of performing within the AACME® Accreditation Standards & Policies;

       c) Examine the adequacy of the CME standards nationally/internationally among AACME® certified continuing medical education institutions;

       d) Assist accredited organizations through an ongoing support to monitor, manage, and improve the quality of the contents and delivery methods of their CME programs;

       e) Suggest, advocate, and conduct, on a regular basis, methods to improve the CME learning methods and delivery;

       f) Promote multi-lateral learning methods to better encourage and enhance physicians and other health care professionals’ learning experience; and

       g) Ensure physicians, other health care professionals, the public, and the CME community, that CME programs, in which these organizations were accredited for, meet or exceed the                               AACME®’s criteria for compliance with the Accreditation Standards & Policies.

 

ARTICLE III – POWERS

 

 3.01 POWERS

 The organization shall have the power, directly or indirectly, alone or in conjunction or cooperation with others, to do any and all lawful acts which may be necessary or convenient to affect the educational purposes, for which the organization is organized, and to aid or assist other organizations or persons whose activities further accomplish, foster, or attain such purposes.  The powers of the organization may include, but not be limited to, the acceptance of contributions from the public and private sectors, whether financial or in-kind contributions.

 

3.02 Nonprofit Status and Exempt Activities Limitation.

        (a) Nonprofit Legal Status. The American Association of Continuing Medical Education® (“AACME”) is a California non-profit public benefit organization, recognized as tax exempt under Section 501(c)(3) of the United States Internal Revenue Code.

        (b) Exempt Activities Limitation. Notwithstanding any other provision of these Bylaws, no director, officer, employee, member, or representative of this organization shall take any action or carry on any activity by or on behalf of the organization not permitted to be taken or carried on by an organization exempt under Section 501(c)(3) of the Internal Revenue Code as it                     now exists or may be amended, or by any organization contributions to which are deductible under Section 170(c)(2) of such Code and Regulations as it now exists or may be amended. No               part of the net earnings of the organization shall inure to the benefit or be distributable to any director, officer, member, or other private person, except that the organization shall be                           authorized and empowered to pay reasonable compensation for services rendered and to make payments and distributions in furtherance of the purposes set forth in the Articles of                             Incorporation and these Bylaws.

        (c) Distribution Upon Dissolution. Upon termination or dissolution of the American Association of Continuing Medical Education® (“AACME”), any assets lawfully available for distribution shall be distributed to one (1) or more qualifying organizations described in Section 501(c)(3) of the 1986 Internal Revenue Code (or described in any corresponding provision of any successor statute) which organization or organizations have an educational purpose which, at least generally, includes a purpose similar to the terminating or dissolving organization.

The organization to receive the assets of the American Association of Continuing Medical Education® (“AACME”) hereunder shall be selected in the discretion of a majority of the managing body of the organization, and if its members cannot so agree, then the recipient organization shall be selected pursuant to a verified petition in equity filed in a court of proper jurisdiction against the American Association of Continuing Medical Education® (“AACME”), by one (1) or more of its managing body which verified petition shall contain such statements as reasonably indicate the applicability of this section.

The court upon a finding that this section is applicable shall select the qualifying organization or organizations to receive the assets to be distributed, giving preference if practicable to organizations located within the State of California.

In the event that the court shall find that this section is applicable but that there is no qualifying organization known to it which has an educational purpose, which, at least generally, includes a purpose similar to the American Association of Continuing Medical Education® (“AACME”), then the court shall direct the distribution of its assets lawfully available for distribution to the Treasurer of the State of California to be added to the general fund.

 

ARTICLE IV – MEMBERSHIP

 

4.01 No Membership Classes

The organization shall have no members who have any right to vote or title or interest in or to the organization, its properties and franchises.

 

4.02 Non-Voting Affiliates

The board of directors may approve classes of non-voting affiliates with rights, privileges, and obligations established by the board. Affiliates may be individuals, businesses, and other organizations that seek to support the mission of the organization. The board, a designated committee of the board, or any duly elected officer in accordance with board policy, shall have authority to admit any individual or organization as an affiliate, to recognize representatives of affiliates, and to make determinations as to affiliates’ rights, privileges, and obligations. At no time shall affiliate information be shared with or sold to other organizations or groups without the affiliate’s consent.  At the discretion of the board of directors, affiliates may be given endorsement, recognition and media coverage at fundraising activities, clinics, other events or at the organization website. Affiliates have no voting rights, and are not members of the organization.

 

4.03 Dues

Any dues for affiliates shall be determined by the board of directors.

 

ARTICLE V – MEMBERSHIP

 

5.01 Number of Directors

American Association of Continuing Medical Education® (“AACME”) shall have a board of directors consisting of at least 4 and no more than 15 directors and representing chapters. Within these limits, the board may increase or decrease the number of directors serving on the board, including for the purpose of staggering the terms of directors.

 

5.02 Powers

All organization powers shall be exercised by or under the authority of the board and the affairs of the American Association of Continuing Medical Education® (“AACME”) Shall be managed under the direction of the board, except as otherwise provided by law.

 

5.03 Terms

(a) All directors shall be elected to serve a one-year term, however the term may be extended until a successor has been elected.

(b) Director terms shall be staggered so that approximately half the number of directors will end their terms in any given year.

(c) Directors may serve terms in succession.

(d) The term of office shall be considered to begin January 1 and end December 31 of the second year in office, unless the term is extended until such time as a successor has been elected.

 

5.04 Qualifications and Election of Directors

In order to be eligible to serve as a director on the board of directors, the individual must be an affiliate within affiliate classifications created by the board of directors. Directors may be elected at any board meeting by the majority vote of the existing board of directors. The election of directors to replace those who have fulfilled their term of office shall take place in January of each year.

 

5.05 Vacancies

The board of directors may fill vacancies due to the expiration of a director’s term of office, resignation, death, or removal of a director or may appoint new directors to fill a previously unfilled board position, subject to the maximum number of directors under these Bylaws.

(a) Unexpected Vacancies.  Vacancies in the board of directors due to resignation, death, or removal shall be filled by the board for the balance of the term of the director being replaced.

 

5.06 Removal of Directors

A director may be removed by two-thirds of the vote of the board of directors then in office, if:

(a) the director is absent and unexcused from two or more meetings of the board of directors in a twelve month period. The board president is empowered to excuse directors from  attendance for a reason deemed adequate by the board president. The president shall not have the power to excuse him/herself from the board meeting attendance and in that case, the board vice president shall excuse the president. Or

(b) for cause or no cause, if before any meeting of the board at which a vote on removal will be made the director in question is given electronic or written notification of the board’s intention to discuss her/his case and is given the opportunity to be heard at a meeting of the board.

 

5.07 Board of Directors Meetings.

(a)  Regular Meetings. The board of directors shall have a minimum of four (4) regular meetings each calendar year at times and places fixed by the board. Board meetings shall be held upon four (4) days notice by first-class mail, electronic mail, or facsimile transmission or forty-eight (48) hours notice delivered personally or by telephone. If sent by mail, facsimile transmission, or electronic mail, the notice shall be deemed to be delivered upon its deposit in the mail or transmission system. Notice of meetings shall specify the place, day, and hour of meeting. The purpose of the meeting need not be specified.

(b) Special Meetings. Special meetings of the board may be called by the president, vice president, secretary, treasurer, or any two (2) other directors of the board of directors. A special meeting must be preceded by at least 2 days notice to each director of the date, time, and place, but not the purpose, of the meeting.

(c) Waiver of Notice. Any director may waive notice of any meeting, in accordance with California law.

 

5.08 Manner of Acting

(a) Quorum. A majority of the directors in office immediately before a meeting shall constitute a quorum for the transaction of business at that meeting of the board. No business shall be considered by the board at any meeting at which a quorum is not present.

(b) Majority Vote. Except as otherwise required by law or by the articles of incorporation, the act of the majority of the directors present at a meeting at which a quorum is present shall be the act of the board.

(c) Hung Board Decisions. On the occasion that directors of the board are unable to make a decision based on a tied number of votes, the president or treasurer in the order of presence shall have the power to swing the vote based on his/her discretion.

(d) Participation. Except as required otherwise by law, the Articles of incorporation, or these Bylaws, directors may participate in a regular or special meeting through the use of any means of communication by which all directors participating may simultaneously hear each other during the meeting, including in person, internet video meeting or by telephonic conference call.

 

 5.09 Compensation for Board Service

Directors shall receive no compensation for carrying out their duties as directors.  The board may adopt policies providing for reasonable reimbursement of directors for expenses incurred in conjunction with carrying out board responsibilities, such as travel expenses to attend board meetings.

 

5.10 Compensation for Professional Services by Directors

Directors are not restricted from being remunerated for professional services provided to the organization.  Such remuneration shall be reasonable and fair to the organization and must be reviewed and approved in accordance with the board Conflict of Interest policy and state law.

 

5.11 Compensation for Board Service

Directors shall receive no compensation for carrying out their duties as directors.  The board may adopt policies providing for reasonable reimbursement of directors for expenses incurred in conjunction with carrying out board responsibilities, such as travel expenses to attend board meetings.

 

5.12 Compensation for Professional Services by Directors

Directors are not restricted from being remunerated for professional services provided to the organization. Such remuneration shall be reasonable and fair to the organization and must be reviewed and approved in accordance with the board Conflict of Interest policy and state law.

 

ARTICLE VI – COMMITTEES

 

6.01 Committees

The board of directors may, by the resolution adopted by a majority of the directors then in office, designate one or more committees, each consisting of two or more directors, to serve at the pleasure of the board.  Any committee, to the extent provided in the resolution of the board, shall have all the authority of the board, except that no committee, regardless of board resolution, may:

(a) take any final action on matters which also requires board members’ approval or approval of a majority of all members;

(b) fill vacancies on the board of directors of in any committee which has the authority of the board;

(c) amend or repeal Bylaws or adopt new Bylaws;

(d) amend or repeal any resolution of the board of directors which by its express terms is not so amendable or repealable;

(e) appoint any other committees of the board of directors or the members of these committees;

(f) expend corporate funds to support a nominee for director; or

(g) approve any transaction;

i. to which the organization is a party and one or more directors have a material financial interest; or

ii. between the organization and one or more of its directors or between the organization or any person in which one or more of its directors have a material financial interest.

 

6.2  Meetings and Action of Committees

Meetings and action of the committees shall be governed by and held and taken in accordance with, the provisions of Article IV of these Bylaws concerning meetings of the directors, with such changes in the context of those Bylaws as are necessary to substitute the committee and its members for the board of directors and its members, except that the time for regular meetings of committees may be determined either by resolution of the board of directors or by resolution of the committee.  Special meetings of the committee may also be called by resolution of the board of directors.  Notice of special meetings of committees shall also be given to any and all alternate members, who shall have the right to attend all meetings of the committee.  Minutes shall be kept of each meeting of any committee and shall be filed with the corporate records.  The board of directors may adopt rules for the governing of the committee not inconsistent with the provision of these Bylaws.

 

6.3 Informal Action By The Board of Directors

Any action required or permitted to be taken by the board of directors at a meeting may be taken without a meeting if consent in writing, setting forth the action so taken, shall be agreed by the consensus of a quorum.  For purposes of this section an e-mail transmission from an e-mail address on record constitutes a valid writing.  The intent of this provision is to allow the board of directors to use email to approve actions, as long as a quorum of board members gives consent.

 

ARTICLE VII – OFFICERS

 

 7.01 Board Officers

The officers of the organization shall be a board president, vice-president, secretary, and treasurer, all of whom shall be chosen by, and serve at the pleasure of, the board of directors.  Each board officer shall have the authority and shall perform the duties set forth in these Bylaws or by resolution of the board or by direction of an officer authorized by the board to prescribe the duties and authority of other officers. The board may also appoint additional vice-presidents and such other officers as it deems expedient for the proper conduct of the business of the organization, each of whom shall have such authority and shall perform such duties as the board of directors may determine.  One person may hold two or more board offices, but no board officer may act in more than one capacity where action of two or more officers is required.

 

7.02 Term of Office

Each officer shall serve a one-year term of office and may not serve more than three (3) consecutive terms of office. Unless unanimously elected by the board at the end of his/her three (3) year terms or to fill a vacancy in an officer position, each board officer’s term of office shall begin upon the adjournment of the board meeting at which elected and shall end upon the adjournment of the board meeting during which a successor is elected.

 

7.03 Removal and Resignation

The board of directors may remove an officer at any time, with or without cause. Any officer may resign at any time by giving written notice to the organization without prejudice to the rights, if any, of the organization under any contract to which the officer is a party. Any resignation shall take effect at the date of the receipt of the notice or at any later time specified in the notice, unless otherwise specified in the notice. The acceptance of the resignation shall not be necessary to make it effective.

 

7.04 Board President

The board president shall be the chief volunteer officer of the organization. The board president shall lead the board of directors in performing its duties and responsibilities, including, if present, presiding at all meetings of the board of directors, and shall perform all other duties incident to the office or properly required by the board of directors.

 

7.05 Vice President

In the absence or disability of the board president, the ranking vice-president or vice-president designated by the board of directors shall perform the duties of the board president. When so acting, the vice-president shall have all the powers of and be subject to all the restrictions upon the board president. The vice-president shall have such other powers and perform such other duties prescribed for them by the board of directors or the board president. The vice-president shall normally accede to the office of board president upon the completion of the board president’s term of office.

 

7.06 Secretary

The secretary shall keep or cause to be kept a book of minutes of all meetings and actions of directors and committees of directors. The minutes of each meeting shall state the time and place that it was held and such other information as shall be necessary to determine the actions taken and whether the meeting was held in accordance with the law and these Bylaws. The secretary shall cause notice to be given of all meetings of directors and committees as required by the Bylaws. The secretary shall have such other powers and perform such other duties as may be prescribed by the board of directors or the board president. The secretary may appoint, with approval of the board, a director to assist in performance of all or part of the duties of the secretary.

 

7.07 Treasurer

The treasurer shall be the lead director for oversight of the financial condition and affairs of the organization. The treasurer shall oversee and keep the board informed of the financial condition of the organization and of audit or financial review results.  In conjunction with other directors or officers, the treasurer shall oversee budget preparation and shall ensure that appropriate financial reports, including an account of major transactions and the financial condition of the organization, are made available to the board of directors on a timely basis or as may be required by the board of directors.  The treasurer shall perform all duties properly required by the board of directors or the board president. The treasurer may appoint, with approval of the board a qualified fiscal agent or member of the staff to assist in performance of all or part of the duties of the treasurer.

 

7.08 Non-Director Officers

The board of directors may designate additional officer positions of the organization and may appoint and assign duties to other non-director officers of the organization.

 

ARTICLE VIII – CONTRACTS, CHECKS, LOANS, INDEMNIFICATION AND RELATED MATTERS

 

 8.01 Contracts and other Writings

Except as otherwise provided by resolution of the board or board policy, all contracts, deeds, leases, mortgages, grants, and other agreements of the organization shall be executed on its behalf by the treasurer or other persons to whom the organization has delegated authority to execute such documents in accordance with policies approved by the board.

 

8.02 Checks, Drafts

All checks, drafts, or other orders for payment of money, notes, or other evidence of indebtedness issued in the name of the organization, shall be signed by such officer or officers, agent or agents, of the organization and in such manner as shall from time to time be determined by resolution of the board.

 

8.03 Deposits

All funds of the organization not otherwise employed shall be deposited from time to time to the credit of the organization in such banks, trust companies, or other depository as the board or a designated committee of the board may select.

 

8.04 Loans

No loans shall be contracted on behalf of the organization and no evidence of indebtedness shall be issued in its name unless authorized by resolution of the board. Such authority may be general or confined to specific instances.

 

8.05 Indemnification

(a) Mandatory Indemnification. The organization shall indemnify a director or former director, who was wholly successful, on the merits or otherwise, in the defense of any proceeding to                        which he or she was a party because he or she is or was a director of the organization against reasonable expenses incurred by him or her in connection with the proceedings.

(b) Permissible Indemnification. The organization shall indemnify a director or former director made a party to a proceeding because he or she is or was a director of the organization, against liability incurred in the proceeding, if the determination to indemnify him or her has been made in the manner prescribed by the law and payment has been authorized in the manner prescribed by law.

(c) Advance for Expenses. Expenses incurred in defending a civil or criminal action, suit or proceeding may be paid by the organization in advance of the final disposition of such action, suit or proceeding, as authorized by the board of directors in the specific case, upon receipt of (I) a written affirmation from the director, officer, employee or agent of his or her good faith belief that he or she is entitled to indemnification as authorized in this article, and (II) an undertaking by or on behalf of the director, officer, employee or agent to repay such amount, unless it shall ultimately be determined that he or she is entitled to be indemnified by the organization in these Bylaws.

(d) Indemnification of Officers, Agents and Employees. An officer of the organization who is not a director is entitled to mandatory indemnification under this article to the same extent as a director.  The organization may also indemnify and advance expenses to an employee or agent of the organization who is not a director, consistent with California Law and public policy, provided that such indemnification, and the scope of such indemnification, is set forth by the general or specific action of the board or by contract.

 

ARTICLE IX – MISCELLANEOUS

 

9.01 Books and Records

The organization shall keep correct and complete books and records of account and shall keep minutes of the proceedings of all meetings of its board of directors, a record of all actions taken by board of directors without a meeting, and a record of all actions taken by committees of the board. In addition, the organization shall keep a copy of the organization’s Articles of incorporation and Bylaws as amended to date.

 

9.02 Fiscal Year

The fiscal year of the organization shall be from January 1 to December 31 of each year.

 

9.03 Conflict of Interest

The board shall adopt and periodically review a conflict of interest policy to protect the organization’s interest when it is contemplating any transaction or arrangement which may benefit any director, officer, employee, affiliate, or member of a committee with board-delegated powers.

 

9.04 Nondiscrimination Policy

The officers, directors, committee members, employees, and persons served by this organization shall be selected entirely on a nondiscriminatory basis with respect to age, sex, race, religion, national origin, and sexual orientation.  It is the policy of the American Association of Continuing Medical Education® (“AACME”) not to discriminate on the basis of race, creed, ancestry, marital status, gender, sexual orientation, age, physical disability, veteran’s status, political service or affiliation, color, religion, or national origin.

 

9.05 Bylaw Amendment

These Bylaws may be amended, altered, repealed, or restated by a vote of the majority of the board of directors then in office at a meeting of the Board, provided, however,

(a) that no amendment shall be made to these Bylaws which would cause the organization to cease to qualify as an exempt organization under Section 501 (c)(3) of the Internal Revenue Code of 1986, or the corresponding section of any future Federal tax code; and,

(b) that an amendment does not affect the voting rights of directors. An amendment that does affect the voting rights of directors further requires ratification by a two-thirds of the vote of  a quorum of directors at a Board meeting.

(c) that all amendments be consistent with the Articles of Incorporation.