§ 23-17-17-2 — Termination, redemption, or cancellation of members or class of members of public benefit or mutual benefit corporation

Indiana § 23-17-17-2

• Jurisdiction: Indiana
• Title 23: BUSINESS AND OTHER ASSOCIATIONS
• Art. 17: NONPROFIT CORPORATIONS
• Ch. 17: Amendment of Articles of Incorporation

Text

(a) An amendment to articles of incorporation
or bylaws of a public benefit or mutual benefit corporation that would
terminate all members or a class of members or redeem or cancel all
memberships or a class of memberships must meet the requirements of
this article.
(b) Before adopting a resolution proposing an amendment under this
section, the board of directors of a mutual benefit corporation must
give notice of the general nature of the amendment to the members.
(c) After adopting a resolution proposing an amendment under this
section, the notice to members proposing the amendment must include
a statement of not more than five hundred (500) words opposing the
proposed amendment if the statement is submitted by:
(1) five (5) members; or
(2) members having at least three percent (3%) of the voting
power;
whichever is less, not later than twenty (20) days after the board of
directors has voted to submit the amendment to the members for
approval. In a public benefit corporation, the production and mailing
costs shall be paid by the requesting members. In a mutual benefit
corporation, the production and mailing costs shall be paid by the
corporation.
(d) An amendment under this section must be approved by the
members by a majority of the votes cast by each class.
(e) IC 23-17-8-2 does not apply to an amendment under this section
meeting the requirements of this article.

Legislative History

As added by P.L.179-1991, SEC.1. Amended by P.L.1-1992, SEC.119.