Rhode Island § 7-6-31 § 7-6-31. Dividends prohibited.

Rhode Island Statutes

§ 7-6-31 — § 7-6-31. Dividends prohibited.

Rhode Island·Title 7 Corporations, Associations and Partnerships·Ch. 7-6 Rhode Island Nonprofit Corporation Act

§ 7-6-31. Dividends prohibited.
A corporation may issue shares to its members, but no dividend shall be paid on the
            shares and no part of the income or profit of a corporation shall be distributed to
            its members, directors, or officers, except that dividends may be paid and income
            or profit may be distributed to its members by a corporation all of the members of
            which are corporations to which this chapter applies. A corporation may pay compensation
            in a reasonable amount to its members, directors, or officers for services rendered;
            may confer benefits upon its members in conformity with its purposes; and upon dissolution
            or final liquid

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§ 7-6-31. Dividends prohibited.

A corporation may issue shares to its members, but no dividend shall be paid on the shares and no part of the income or profit of a corporation shall be distributed to its members, directors, or officers, except that dividends may be paid and income or profit may be distributed to its members by a corporation all of the members of which are corporations to which this chapter applies. A corporation may pay compensation in a reasonable amount to its members, directors, or officers for services rendered; may confer benefits upon its members in conformity with its purposes; and upon dissolution or final liquidation, may make distributions to its members as permitted by this chapter; and no payment, benefit, or distribution is deemed to be a dividend or a distribution of income or profit.

Rhode Island § 7-6-31 (§ 7-6-31. Dividends prohibited.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.