§ 501A.1210 — Dissolution action by attorney general — administrative dissolution

Iowa § 501A.1210

• Jurisdiction: Iowa
• Title XII: BUSINESS ENTITIES
• Ch. 501A: COOPERATIVE ASSOCIATIONS ACT

Text

1. Conditions to begin action. A cooperative may be dissolved involuntarily by a decree
of a court in this state in an action filed by the attorney general if it is established that any of
the following applies:
a. The articles and certificate of organization were procured through fraud.
b. Thecooperativewasorganizedforapurposenotpermittedbythischapterorprohibited
by state law.
c. The cooperative has flagrantly violated a provision of this chapter, has violated a
provision of this chapter more than once, or has violated more than one provision of this
chapter.
d. The cooperative has acted, or failed to act, in a manner that constitutes surrender or
abandonment of the cooperative’s franchise, privileges, or enterprise.
2. Notice to cooperative. An action shall not be commenced under subsection 1 until
thirty days after notice to the cooperative by the attorney general of the reason for the filing
of the action. If the reason for filing the action is an act that the cooperative has done, or
omitted to do, and the act or omission may be corrected by an amendment of the articles or
§501A.1210, COOPERATIVE ASSOCIATIONS ACT 58
bylaws or by performance of or abstention from the act, the attorney general shall give the
cooperative thirty additional days to make the correction before filing the action.