Disposal of assets--Authorization by members--Notice and approval.

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47-18-9. Disposal of assets--Authorization by members--Notice and approval.

Except as authorized by the members, the board of directors of a cooperative may not dispose of all or substantially all of the cooperative's fixed assets. At any meeting the members may authorize the disposition of all or substantially all of a cooperative's fixed assets if:

(1)Notice that such disposition will be considered at such meeting has been given to all persons entitled to vote thereon; and

(2)Such disposition has been approved by three-fourths of those voting at the meeting.

Source: SDC 1939, §11.1130 (1) as enacted by SL 1965, ch 23, §1.


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