11-13-608. Termination of associated entity or segment.
| (1) |
The termination of a segment does not affect the segment’s or the segment’s associated entity’s limitation on liabilities under this part. |
Terms Used In Utah Code 11-13-608
- Associated entity: means a taxed interlocal entity that adopts a segment's organizing resolution. See Utah Code 11-13-602
- Board: means the Permanent Community Impact Fund Board created by Section 35A-8-304, and its successors. See Utah Code 11-13-103
- Governing board: includes a board of directors described in an agreement, as amended, that creates a project entity. See Utah Code 11-13-103
- Governing body: means the body established in an organizing resolution to govern a segment. See Utah Code 11-13-602
- Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
- Member: means a public agency that, with another public agency, creates an interlocal entity under Section 11-13-203. See Utah Code 11-13-103
- Segment: means a segment created in accordance with Section 11-13-604. See Utah Code 11-13-602
| (2) |
A segment is terminated upon the termination of the segment’s associated entity. |
| (3) |
| (a) |
Subject to Subsection (3)(b), the termination of a segment’s associated entity or a segment may not affect the liability of the governing board, the governing body, a member of the governing board, a member of the governing body, an officer, an official, a contractor, or an employee for an action authorized:
| (i) |
before the termination of the associated entity or the segment by the governing board of the terminated associated entity or by the governing body of the terminated segment; or |
| (ii) |
after the termination of the associated entity or the segment by:
| (A) |
a majority of individuals serving as members of the governing board of the terminated associated entity at the time the associated entity is terminated; or |
| (B) |
a majority of the individuals serving as members of the governing body of the terminated segment at the time the segment is terminated. |
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| (b) |
Subsection (3)(a) applies to each action to:
| (i) |
provide for the claims, debts, obligations, or liabilities of the terminated associated entity or the terminated segment; or |
| (ii) |
otherwise wind up the affairs of the terminated associated entity or the terminated segment. |
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Enacted by Chapter 382, 2016 General Session
