§ 7-6-7 — § 7-6-7. Guarantee authorized by members.

Rhode Island § 7-6-7

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

Text

§ 7-6-7. Guarantee authorized by members.

Each corporation has the power to make guarantees, although not in furtherance of its corporate purposes, when authorized at a meeting of members by the affirmative vote of a majority of the members entitled to vote on the guarantees, or a greater percentage that may be provided by the articles of incorporation or bylaws, or if there are no members, or no members entitled to vote on the guarantees, by the affirmative vote of a majority of the directors in office, or a greater percentage that is provided by the articles of incorporation or bylaws. If authorized by a like vote, a corporation has the power to mortgage, pledge, or give a security interest in all or any of its property, franchises, and income to secure the guarantee or to secure obligations other than its own.

Legislative History

P.L. 1984, ch. 380, § 1; P.L. 1984, ch. 444, § 1.