California Statutes

§ 7420. — 7420. (Amended by Stats. 2015, Ch. 44, Sec. 20.)

California·Code CORP Corporations Code - CORP·Div. 2.·Title 1. DIVISION 2. NONPROFIT CORPORATION LAW·Part 3. PART 3. NONPROFIT MUTUAL BENEFIT CORPORATIONS·Ch. 4. CHAPTER 4. Distributions·Art. 2. ARTICLE 2. Liability of Members
(a)Any person who with knowledge of facts indicating the impropriety thereof receives any distribution, including a payment in redemption of a membership, prohibited by this chapter is liable to the corporation for the amount so received by the person with interest thereon at the legal rate on judgments until paid.
(b)Any person who with knowledge of facts indicating the impropriety thereof receives any distribution, including a payment in redemption of a membership, prohibited by this chapter is liable to the corporation for the benefit of the head organization, or of all of the creditors entitled to institute an action under subdivision (c), for the amount so received by the person with interest thereon at the legal rate on judgments until paid, but not exceeding the obligations

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California § 7420. (7420. (Amended by Stats. 2015, Ch. 44, Sec. 20.)) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Legislative History

Amended by Stats. 2015, Ch. 44, Sec. 20. (SB 161) Effective January 1, 2016.
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