Montana Code 35-14-207. Emergency bylaws
35-14-207. Emergency bylaws. (1) Unless the articles of incorporation provide otherwise, the board of directors may adopt bylaws to be effective only in an emergency as provided in subsection (4). The emergency bylaws, which are subject to amendment or repeal by the shareholders, may make all provisions necessary for managing the corporation during the emergency, including:
Terms Used In Montana Code 35-14-207
- Amendment: A proposal to alter the text of a pending bill or other measure by striking out some of it, by inserting new language, or both. Before an amendment becomes part of the measure, thelegislature must agree to it.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Quorum: The number of legislators that must be present to do business.
(a)procedures for calling a meeting of the board of directors;
(b)quorum requirements for the meeting; and
(c)designation of additional or substitute directors.
(2)All provisions of the regular bylaws not inconsistent with the emergency bylaws remain effective during the emergency. The emergency bylaws are not effective after the emergency ends.
(3)Corporate action taken in good faith in accordance with the emergency bylaws:
(a)binds the corporation; and
(b)may not be used to impose liability on a director, officer, employee, or agent of the corporation.
(4)An emergency exists for purposes of this section if a quorum of the board of directors cannot readily be assembled because of some catastrophic event.