§ 7132. — 7132. (Amended by Stats. 2009, Ch. 631, Sec. 16.)

California § 7132.

• Jurisdiction: California
• Code CORP: Corporations Code - CORP
• Div.: 2.
• Title 1.: DIVISION 2. NONPROFIT CORPORATION LAW
• Part 3.: PART 3. NONPROFIT MUTUAL BENEFIT CORPORATIONS
• Ch. 1.: CHAPTER 1. Organization and Bylaws
• Art. 3.: ARTICLE 3. Articles of Incorporation

Text

(a)
The articles of incorporation may set forth any or all of the following provisions, which shall not be effective unless expressly provided in the articles:
(1)
A provision limiting the duration of the corporation’s existence to a specified date.
(2)
A provision conferring upon the holders of any evidences of indebtedness, issued or to be issued by a corporation the right to vote in the election of directors and on any other matters on which members may vote under this part even if the corporation does not have members.
(3)
A provision conferring upon members the right to determine the
consideration for which memberships shall be issued.
(4)
In the case of a subordinate corporation instituted or created under the authority of a head organization, a provision setting forth either or both of the following:
(A)
That the subordinate corporation shall dissolve whenever its charter is surrendered to, taken away by, or revoked by the head organization granting it.
(B)
That in the event of its dissolution pursuant to an article provision allowed by subparagraph (A) or in the event of its dissolution for any reason, any assets of the corporation after compliance with the applicable provisions of Chapters 15 (commencing with Section 8510), 16 (commencing with Section 8610), and 17 (commencing with Section 8710) shall be distributed to the head organization.
(b)
Nothing contained in subdivision (a) shall affect the enforceability, as between the parties thereto, of any lawful agreement not otherwise contrary to public policy.
(c)
The articles of incorporation
may set forth any or all of the following provisions:
(1)
The names and addresses of the persons appointed to act as initial directors.
(2)
Provisions concerning the transfer of memberships, in accordance with Section 7320.
(3)
The classes of members, if any, and if there are two or more classes, the rights, privileges, preferences, restrictions and conditions attaching to each class.
(4)
A provision which would allow any member to have more or less than one vote in any election or other matter presented to the members for a vote.
(5)
A provision that requires an amendment to the articles, as provided in subdivision (a) of Section 7812, or to the bylaws, and any amendment or repeal of that
amendment, to be approved in writing by a specified person or persons other than the board or the members. However, this approval requirement, unless the articles specify otherwise, shall not apply if any of the following circumstances exist:
(A)
The specified person or persons have died or ceased to exist.
(B)
If the right of the specified person or persons to approve is in the capacity of an officer, trustee, or other status and the office, trust, or status has ceased to exist.
(C)
If the corporation has a specific proposal for amendment or repeal, and the corporation has provided written notice of that proposal, including a copy of the proposal, to the specified person or persons at the most recent address for each of them, based on the corporation’s records, and the corporation has not received written approval
or nonapproval within the period specified in the notice, which shall not be less than 10 nor more than 30 days commencing at least 20 days after the notice has been provided.
(6)
Any other provision, not in conflict with law, for the management of the activities and for the conduct of the affairs of the corporation, including any provision which is required or permitted by this part to be stated in the bylaws.

Legislative History

Amended by Stats. 2009, Ch. 631, Sec. 16. (AB 1233) Effective January 1, 2010.