What Does Cumulative Voting Mean?
In cumulative voting, voters cast as many votes as there are seats. They can put multiple votes on one or more candidates. Unlike winner-take-all systems, voters are not limited to giving only one vote to a candidate. In “regular” or “statutory” voting, shareholders may not give more than one vote per share to any single nominee.
Voters get as many votes as there are people to be elected. Voters could give all of their votes to one candidate, split them up among two or give one vote to each of the three candidates.
For example, if there are five people to be elected, voters selecting two candidates would give each candidate 2.5 votes. The five candidates with the most votes win seats.
Stated another way, under cumulative voting, each owner is entitled to vote their percentage common interest multiplied by the number of vacancies on the board. The resulting percentage may be divided among candidates in the way the owner wishes. For example, if the owner has a common interest of one percent and three vacancies exist on the board, the owner will have a total of three votes (or three percent) to divide among the three candidates. The owner may give all votes to one candidate, or divide them either between two candidates or among all three.