(a)  The certificate of incorporation or the bylaws shall establish qualifications and the method of acceptance and termination of members. Upon completion of their probationary period, all regular full-time or part-time employees shall be offered membership in the workers’ cooperative. Acceptance as a member in a workers’ cooperative shall be evidenced by a membership share, which shall be issued for a fee, to be paid in such terms and conditions as are provided in the bylaws.

Terms Used In Rhode Island General Laws 7-6.2-6

  • 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.
  • Member: means a natural person who has been accepted in and owns a membership share issued by a workers' cooperative. See Rhode Island General Laws 7-6.2-2

(b)  A workers’ cooperative shall issue a class of voting stock designated as “membership shares”. Each member shall own only one membership share, and only members may own membership shares.

(c)  Membership shares shall be issued for a fee as shall be determined from time to time by the directors. No certificate for a membership share shall be issued until its fee has been paid in full. Each member is entitled to a certificate for his or her membership share upon fulfilling the requirements in the cooperative’s articles of incorporation and bylaws.

(d)  Members of a workers’ cooperative shall have all the rights and responsibilities of stockholders of a corporation organized under the provisions of chapter 1.2 of Title 7, except as otherwise provided in this chapter.

History of Section.
P.L. 2017, ch. 370, § 1; P.L. 2017, ch. 378, § 1.