36 U.S.C. § 110305 — Restrictions
submitted 28 years ago by Pub. L. 105-225 to r/title-36-PATRIOTIC-AND-NATIONAL-OBSERVANCES-CEREMONIES-AND-ORGANIZATIONS · 157 words · no verdicts yet
This section restricts the corporation's activities. It cannot issue stock, pay dividends, or support political parties or candidates. Its income cannot benefit directors or officers, and it cannot make loans to directors, officers, or employees.
(a) Stock and Dividends.— The corporation cannot issue stock, or declare or pay a dividend.
(b) Political Activities.— Neither the corporation nor a director or officer, acting as such, can contribute to, support, or help a political party or candidate for public office.
(c) Distribution of Income or Assets.— The corporation's income or assets cannot benefit or go to a director or officer. This does not stop paying compensation to an officer or employee, if the corporation's executive committee approves the amount.
(d) Loans.— The corporation cannot make a loan to a director, officer, or employee. Directors who vote for or agree to such a loan, and officers who help make it, are jointly and individually liable to the corporation for the loan amount until it is repaid.
The corporation may not issue stock or declare or pay a dividend.
The corporation or a director or officer as such may not contribute to, support, or assist a political party or candidate for public office.
The income or assets of the corporation may not inure to the benefit of, or be distributed to, a director or officer. This subsection does not prevent the payment of compensation to an officer or employee in an amount approved by the executive committee of the corporation.
The corporation may not make a loan to a director, officer, or employee. Directors who vote for or assent to making a loan to a director, officer, or employee, and officers who participate in making the loan, are jointly and severally liable to the corporation for the amount of the loan until it is repaid.
Source credit: (Pub. L. 105–225, Aug. 12, 1998, 112 Stat. 1370.)
- 1998Enacted · Pub. L. 105-225 · 112 Stat. 1370
A history note hasn’t been published yet. The record shows enactment by Pub. L. 105-225 on 1998-08-12.
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