Powers

  1. Law
  2. Tennessee Code
  3. Public Utilities and Carriers
  4. Telephone Cooperatives
  5. Powers

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A cooperative has the power to:

  1. Sue and to be sued, in its corporate name;
  2. Have perpetual existence;
  3. Adopt a corporate seal and alter the same at pleasure;
  4. Furnish, improve and extend telephone service, provide extended area service and telephone toll service to its members, to governmental agencies and political subdivisions, and to other persons not in excess of ten percent (10%) of the number of its members; provided, that without regard to the ten percent (10%) limitation, telephone service may be made available by a cooperative through interconnection of facilities to any number of subscribers of other telephone systems, and through pay stations to any number of users; and provided further, that a cooperative which, prior to its becoming subject to this chapter, has acquired all or part of a telephone system or systems may continue service to persons served from such systems or facilities without requiring such persons to become members, but only if the number of persons so served does not exceed twenty-five percent (25%) of the total number of persons served by the cooperative and the twenty-five percent (25%) exception shall be reduced to ten percent (10%) within twelve (12) months from date of acquisition; and provided further, that such nonmembers shall have the right to become members upon such terms as may be prescribed in the bylaws;
  5. Connect and interconnect its telephone lines, facilities or system with other telephone lines or systems, and make its facilities available to persons furnishing telephone service within or without this state;
  6. Become a member in one (1) or more other cooperatives or corporations or own stock in one (1) or more other cooperatives or corporations;
  7. Construct, maintain, operate, purchase, take, receive, lease as lessee or otherwise acquire, and own, hold, use, equip, maintain, and operate, and sell, assign, transfer, convey, exchange, lease as lessor, mortgage, pledge, or otherwise dispose of or encumber, telephone communication lines or systems, lands, buildings, structures, exchanges, plants and equipment, and any and all kinds and classes of real or personal property whatsoever, which shall be deemed necessary, convenient, or appropriate to accomplish the purpose for which the cooperative is organized;
  8. Purchase or otherwise acquire, and own, hold, use, and exercise and sell, assign, transfer, convey, mortgage, pledge, hypothecate, or otherwise dispose of or encumber, franchises, rights, privileges, licenses, rights-of-way, or easements;
  9. Borrow money and otherwise contract indebtedness, and issue or guarantee notes, bonds, and other evidences of indebtedness therefor, and secure the payment thereof by mortgage, pledge, deed of trust, or any other encumbrance upon any or all of its then-owned or after-acquired real or personal property, assets, franchises, revenues or income;
  10. Make any and all contracts necessary or convenient for the full exercise of the powers in this chapter granted, including, but not limited to, contracts with any person for the purchase or sale of telephone service and in connection with any such contract to stipulate and agree to such covenants, terms, and conditions as the board of directors may deem appropriate, including covenants, terms and conditions with respect to resale rates, financial and accounting methods, services, operation and maintenance practices, and, consistent with § 65-29-122, the manner of disposing of the revenues of the properties operated and maintained by the cooperative;
  11. Construct, maintain, and operate telephone and communication lines, along, upon, under and across all public thoroughfares, including, without limitation, all roads, highways, streets, alleys, bridges, and causeways, and upon, under, and across all publicly owned lands; provided, that the respective authorities having jurisdiction thereof shall have the authority to designate or specify where poles shall be located;
  12. Condemn, subject to § 65-29-125, either the fee or such right, title, interest, or easement in property as the board of directors may deem necessary for its corporate purpose, and such property or interest in such property may be so acquired whether or not the same is owned or held for public use by corporations, associations, or persons having the power of eminent domain, or otherwise held or used for public purposes, and such power of condemnation may be exercised in the mode of procedure prescribed by §§ 29-16-101 — 29-16-122, 29-16-202 and 29-16-203 or in the mode or method of procedure prescribed by any other applicable statutory provisions now in force or hereafter enacted for the exercise of the power of eminent domain;
  13. Conduct its business and exercise any or all of its powers within or without this state;
  14. Adopt, amend, and repeal bylaws; and
  15. Do and perform any and all other acts and things and have and exercise any and all other powers which may be necessary, convenient, or appropriate to accomplish the purpose for which the cooperative is organized.


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