Updated on August 26th, 2022
California corporate bylaws are created by the incorporators or board of directors of a corporation to outline the operations of the entity, regulate the directors and shareholders, and maintain efficiency within the company. The bylaws are contained within a written document that covers the election of directors, directors and shareholders meetings, issuance of shares, and duties of the elected officers.
A Californian corporation may choose not to establish bylaws, in which case, the default statutes in the California code will be applied to the entity. While the state statutes were created to cover almost all matters relating to the operations of a corporation, most entities still create their own bylaws to ensure they cover all the intricacies of their specific company.