Activities not constituting transacting business.

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  • (1) Activities of a foreign cooperative which do not constitute transacting business in this state under this part include:
    • (a) maintaining, defending, and settling an action or proceeding;
    • (b) holding meetings of the foreign cooperative's members or directors or carrying on any other activity concerning the foreign cooperative's internal affairs;
    • (c) maintaining accounts in financial institutions;
    • (d) maintaining offices or agencies for the transfer, exchange, and registration of the foreign cooperative's own securities or maintaining trustees or depositories with respect to those securities;
    • (e) selling through independent contractors;
    • (f) soliciting or obtaining orders, whether by mail or electronic means, through employees, agents, or otherwise, if the orders require acceptance outside this state before they become contracts;
    • (g) creating or acquiring indebtedness, mortgages, or security interests in real or personal property;
    • (h) securing or collecting debts or enforcing mortgages or other security interests in property securing the debts, and holding, protecting, and maintaining property so acquired;
    • (i) conducting an isolated transaction that is completed within 30 days and is not one in the course of similar transactions; and
    • (j) transacting business in interstate commerce.
  • (2) For purposes of this part, the ownership in this state of income-producing real property or tangible personal property, other than property excluded under Subsection (1), constitutes transacting business in this state.
  • (3) This section does not apply in determining the contacts or activities that may subject a foreign cooperative to service of process, taxation, or regulation under law of this state other than this chapter.




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