§ 6:659 — Expulsion and withdrawal of members

Louisiana § 6:659

• Jurisdiction: Louisiana
• Title 6: Banks and Banking

Text

§659. Expulsion and withdrawal of members
A.(1) At any regularly called meeting the members may, by a two-thirds vote of
those present, expel any member from the corporation for cause. A member may withdraw
from a credit union, as provided in this Chapter, by filing a written notice of his intention.
(2) A credit union may expel a member for cause, pursuant to a written policy
adopted by its board of directors. This expulsion may occur solely by board action, without
the necessity of a meeting of the members. For the purposes of this Section, "cause" includes
conduct by the offending member that caused a loss to the credit union, violated the
membership agreement or any policy or procedure adopted by the board of directors, or
exhibited inappropriate behavior such as physical or verbal abuse of other credit union
members or staff.
(3) Any person so expelled shall have the right to file a written request to the board
of directors to reconsider the expulsion.
B. All amounts paid in on shares of an expelled or withdrawing member with any
dividends credited to his share to the date of expulsion or withdrawal shall be paid to the
member, but only as funds for this become available and only after deducting any amount
due to the corporation by the member. All deposits and shares of an expelled or withdrawing
member, with any interest accrued, shall be paid the member subject to sixty days notice, and
any amounts due to the corporation by the member shall be deducted. The member when
withdrawing shares has no further right in the credit union or to any of its benefits, but the
expulsion or withdrawal does not relieve the member from any remaining liability to the
corporation.

Legislative History

Acts 2019, No. 188, §1.