Termination of existence and distribution of assets

Source Credit

(a) Authority To Make Contingent Provisions.—The national convention, by resolution, may declare that the corporate existence will terminate on the occurrence of a specified event and provide for the disposition of any property remaining after the discharge of all liabilities.
(b) Procedure for Carrying Out Contingent Provisions.—(1) An authenticated copy of the national convention's resolution must be filed in the office of the United States District Court for the District of Columbia.
(2) The court shall take jurisdiction when—
(A) the declared event has occurred; and
(B) a petition is filed with the court reciting the relevant facts.
(3) On proof of the facts, the court shall enter an order vesting title and ownership in accordance with the resolution of the national convention.

History

(Pub. L. 105–225, Aug. 12, 1998, 112 Stat. 1485.)

Editorial Notes

In subsection (a), the words "declare that the corporate existence will terminate on the occurrence of a specified event" are substituted for "declare the event upon which the corporate existence of the organization is to terminate" for clarity. The word "satisfaction" is omitted as included in "discharge", and the word "obligations" is omitted as included in "liabilities". The word "outstanding" is omitted as unnecessary.
In subsection (b)(1), the word "duly" is omitted as unnecessary. The word "must" is substituted for "shall" for clarity because the filing is only required if the national convention decides to exercise its discretionary authority under subsection (a).
In subsection (b)(2)(B), the word "relevant" is substituted for "said" for clarity.
In subsection (b)(3), the word "due" is omitted as unnecessary. The word "order" is substituted for "decree" for consistency in the revised title and with other titles of the United States Code. The word "vesting" is substituted for "which shall be effective to vest" to eliminate unnecessary words.