§ 439 — Membership; liability; transfer of shares

§ 439. Membership; liability; transfer of shares. 1. Membership in the\nsavings and loan bank shall be limited to savings and loan associations,\nexcept, that the directors of the savings and loan bank may, in their\ndiscretion, permit federal savings and loan associations located in this\nstate to be or become members of the savings and loan bank. Every member\nshall pay one hundred dollars for each share of the capital of the\nsavings and loan bank issued to it.\n 2. Members of the savings and loan bank shall not be individually\nliable for the payment of its debts.\n 3. Shares shall not be transferable, except that a member, which is\nnot liable to the savings and loan bank for any direct obligation may\ntransfer its shares therein to another savings and loan association, by\nand with the consent of the board of directors of the savings and loan\nbank; or it may retire from membership and receive back such sums as it\nhas paid for its shares, upon giving one year's notice in writing to the\nsavings and loan bank of such intention, provided, however, that no\nwithdrawal shall be permitted by the board of directors, which shall\nreduce the total amount of the capital of the savings and loan bank\nbelow five hundred thousand dollars. The board of directors may, in\ntheir discretion, waive such notice, in the event of the liquidation of\nany member, and pay back such sums as it has paid for its shares even\nthough such payment should result in a reduction of capital below five\nhundred thousand dollars. Any member liable to the savings and loan bank\nfor any direct obligation which holds shares in excess of the number\nrequired by the by-laws of the savings and loan bank, may transfer such\nexcess shares to another savings and loan association, by and with the\nconsent of the board of directors of the savings and loan bank; or it\nmay, by and with the consent of the board of directors of the savings\nand loan bank, withdraw such excess shares and receive back such sum as\nit has paid for such excess shares, upon giving one year's notice in\nwriting to the savings and loan bank of such intention, provided,\nhowever, that no withdrawal of shares shall be permitted by the board of\ndirectors, which shall reduce the total amount of the capital of the\nsavings and loan bank below five hundred thousand dollars.\n