§ 18-441-1504. Disposition of assets.

DISPOSITION OF ASSETS.

(a)  Subject to subsection (b) of this section, a disposition of assets under Section 131 of this act must be approved by:

(1)  At least two-thirds (2/3) of the voting power of members present at a members meeting called under paragraph (2) of Section 132 of this act; and

(2)  If the limited cooperative association has investor members, at least a majority of the votes cast by patron members, unless the organic rules require a greater percentage vote by patron members.

(b)  The organic rules may require that the percentage of votes under paragraph (1) of subsection (a) of this section is:

(1)  A different percentage that is not less than a majority of members voting at the meeting;

(2)  Measured against the voting power of all members; or

(3)  A combination of paragraphs (1) and (2) of this subsection.

(c)  Subject to any contractual obligations, after a disposition of assets is approved and at any time before the consummation of the disposition, a limited cooperative association may approve an amendment to the contract for disposition or the resolution authorizing the disposition or approve abandonment of the disposition:

(1)  As provided in the contract or the resolution; and

(2)  Except as prohibited by the resolution, with the same affirmative vote of the board of directors and of the members as was required to approve the disposition.

(d)  The voting requirements for districts, classes, or voting groups under Section 36 of this act apply to approval of a disposition of assets under this article.

Added by Laws 2009, c. 68, § 133, eff. Jan. 1, 2010.