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36 U.S.C. § 70107Restrictions

submitted 28 years ago by Pub. L. 105-225 to r/title-36-PATRIOTIC-AND-NATIONAL-OBSERVANCES-CEREMONIES-AND-ORGANIZATIONS · 131 words · no verdicts yet

in plain englishAI-generated · not legal advice

The corporation cannot issue stock or pay dividends. It cannot give its income or assets to a director, officer, or member, or loan them money. It also cannot claim that Congress or the U.S. government approves or backs its activities.

(a) Stock and Dividends — The corporation may not issue stock or declare or pay a dividend. (b) Distribution of Income or Assets — While the charter created by this chapter lasts, the corporation's income or assets cannot go to a director, officer, or member. This does not stop the corporation from paying reasonable compensation to an officer or employee, or reimbursing their actual, necessary expenses, if the board of directors approves the amount. (c) Loans — The corporation may not lend money to a director, officer, employee, or member. (d) Claim of Governmental Approval or Authority — The corporation cannot claim that Congress approved its activities, or that it has the authority of the U.S. government, for anything it does.
the actual law source: uscode.house.gov ↗public domain
(a)Stock and Dividends.—

The corporation may not issue stock or declare or pay a dividend.

(b)Distribution of Income or Assets.—

The income or assets of the corporation may not inure to the benefit of, or be distributed to, a director, officer, or member during the life of the charter granted by this chapter. This subsection does not prevent the payment of reasonable compensation to an officer or employee or reimbursement for actual necessary expenses in amounts approved by the board of directors.

(c)Loans.—

The corporation may not make a loan to a director, officer, employee, or member.

(d)Claim of Governmental Approval or Authority.—

The corporation may not claim congressional approval or the authority of the United States Government for any of its activities.

Source credit: (Pub. L. 105–225, Aug. 12, 1998, 112 Stat. 1348.)

history & why it existsrecord from the source credit
  • 1998Enacted · Pub. L. 105-225 · 112 Stat. 1348

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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