36 U.S.C. § 150708 — Restrictions
submitted 28 years ago by Pub. L. 105-225 to r/title-36-PATRIOTIC-AND-NATIONAL-OBSERVANCES-CEREMONIES-AND-ORGANIZATIONS · 190 words · no verdicts yet
The corporation cannot issue stock, pay dividends, or fund political candidates, parties, or legislation. Its money cannot benefit its directors, officers, or members except when it dissolves. It also cannot loan money to directors, officers, or employees.
(a) Stock and Dividends. The corporation may not issue stock or declare or pay a dividend.
(b) Political Activities. Neither the corporation, nor a director, officer, or member acting in that role, may contribute to, support, or help a political party or a candidate for elective public office. They also may not advocate for, sponsor, or promote legislation in Congress or in a state legislature.
(c) Distribution of Income or Assets. The corporation's income or assets cannot benefit or be given to a director, officer, or member, except when the corporation dissolves or finally liquidates. This does not stop the executive committee from setting the executive director's terms of employment, as allowed under section 150705(e).
(d) Loans. The corporation may not make a loan to a director, officer, or employee. If directors vote for or agree to such a loan, or officers help make it, they are all personally and jointly responsible to the corporation for repaying it, until it is paid back.
The corporation may not issue stock or declare or pay a dividend.
The corporation or a director, officer, or member as such may not contribute to, support, or assist a political party or candidate for elective public office, or advocate, sponsor, or promote legislation in the Congress of the United States or in the legislature of a State.
The income or assets of the corporation may not inure to the benefit of, or be distributed to, a director, officer, or member except on dissolution or final liquidation of the corporation. This subsection does not prevent the executive committee from adopting terms of employment of the executive director as provided in section 150705(e) of this title.
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. 1393.)
- 1998Enacted · Pub. L. 105-225 · 112 Stat. 1393
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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