This text of Iowa § 501A.1008 (Reversion of disbursements) is published on Counsel Stack Legal Research, covering Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.
1.Once a person’s membership interest or other member’s equity in a cooperative is
deemed abandoned under section 556.5, the cooperative may retain any disbursement
held by the cooperative for or owing to the person. The cooperative may also deliver the
disbursement to the treasurer of state for disposition as abandoned property pursuant to
sections 556.5 and 556.11.
2.Ifthecooperativeelectstoretainthedisbursementunderthissection, thedisbursement
shall be deposited into a reversion fund established by the cooperative.
3.Adisbursementhavinganaggregatevalueoffiftydollarsormorethatisretainedbythe
§501A.1008, COOPERATIVE ASSOCIATIONS ACT 50
cooperative shall be forfeited to the cooperative only if the cooperative publishes at least one
notice of the abandoned property in a publication regul
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1. Once a person’s membership interest or other member’s equity in a cooperative is
deemed abandoned under section 556.5, the cooperative may retain any disbursement
held by the cooperative for or owing to the person. The cooperative may also deliver the
disbursement to the treasurer of state for disposition as abandoned property pursuant to
sections 556.5 and 556.11.
2. Ifthecooperativeelectstoretainthedisbursementunderthissection, thedisbursement
shall be deposited into a reversion fund established by the cooperative.
3. Adisbursementhavinganaggregatevalueoffiftydollarsormorethatisretainedbythe
§501A.1008, COOPERATIVE ASSOCIATIONS ACT 50
cooperative shall be forfeited to the cooperative only if the cooperative publishes at least one
notice of the abandoned property in a publication regularly distributed to its membership or
in a newspaper having a general circulation in the county where the cooperative is located.
The notice shall include all of the following:
a. The name and address of the cooperative.
b. The name of the person who has an interest in the disbursement according to the
records of the cooperative.
c. A brief description of the type of disbursement retained by the cooperative.
d. A statement that the disbursement will be forfeited to the cooperative unless the person
files a claim for the disbursement within the period provided for in this section.
4. a. Subject to this subsection, a person asserting an interest in the disbursement may
file a claim for it with the cooperative in a manner and according to procedures required
by the cooperative. If a person is entitled to an abandoned membership interest, or other
interest as provided in section 556.20 or 556.21, the cooperative shall also pay the person the
disbursementdepositedinthereversionfundthatisrealizedoraccruedfromthemembership
interest or other interest.
b. If a person has not filed a claim for the disbursement within six months after the first
date that the notice of abandoned property is first published as provided in this section, the
disbursement shall be forfeited to the cooperative.
5. The disbursements deposited into the reversion fund that are forfeited to the
cooperative shall be used as provided in this subsection. The cooperative may authorize the
payment of forfeited disbursements to persons claiming interests in forfeited disbursements
as provided in the cooperative’s articles of organization or bylaws. Otherwise, forfeited
disbursements shall be used as the directors deem suitable for any of the following purposes:
a. Teaching and promoting cooperation. The directors may deposit the amounts of
disbursements into the education fund as established by the cooperative.
b. Economic development including private or joint public and private investments
involving the creation of economic opportunities for the cooperative’s members or the
retention of existing sources of income that would otherwise be lost.