Restrictions

  1. Law
  2. USC 36
  3. Patriotic And National Observances, Ceremonies, And Organizations
  4. Patriotic and National Organizations
  5. Organizations
  6. LEGION OF VALOR OF THE UNITED STATES OF AMERICA, INCORPORATED
  7. Restrictions

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§130306. Restrictions

(a) Stock and Dividends.-The corporation may not issue stock or declare or pay a dividend.

(b) Political Activities.-The corporation or a director or officer as such may not contribute to, support, or assist a political party or candidate for public office.

(c) Distribution of Income or Assets.-The income or assets of the corporation may not inure to the benefit of, or be distributed to, a director, officer, or member except on dissolution or final liquidation of the corporation. This subsection does not prevent the payment of compensation to an officer in an amount approved by the executive committee of the corporation.

(d) Loans.-The corporation may not make a loan to a director, officer, or employee. Directors who vote for or assent to making a loan to a director, officer, or employee, and officers who participate in making the loan, are jointly and severally liable to the corporation for the amount of the loan until it is repaid.

( Pub. L. 105–225, Aug. 12, 1998, 112 Stat. 1375 .)

Historical and Revision Notes
Revised

Section

Source (U.S. Code)Source (Statutes at Large)
130306(a) 36:642. Aug. 4, 1955, ch. 546, §§9, 10, 12, 69 Stat. 489 .
130306(b) 36:640.  
130306(c) 36:639(a).  
130306(d) 36:639(b).  

In subsection (a), the words "any shares of" are omitted as unnecessary.

In subsection (b), the words "or otherwise" are omitted as unnecessary.

In subsection (c), the words "inure to the benefit of" are substituted for "inure to" for consistency in the revised title. The words "as provided in section 645 of this title" are omitted as unnecessary. The words "This subsection does not prevent" are substituted for "Nothing in this subsection, however, shall be construed to prevent" for consistency in the revised title and to eliminate unnecessary words. The reference to the "executive committee of the corporation" is retained although 36:637 and 36:638 do not create an executive committee.


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