Utah Code 16-4-301. Enforcement of assessment
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(1) Payment of a delinquent assessment may be enforced by a corporation in one or more of the following ways:
Terms Used In Utah Code 16-4-301
- 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.
- Corporation: means a nonprofit corporation or a profit corporation. See Utah Code 16-4-102
- Fiduciary: A trustee, executor, or administrator.
- Share: means a share as defined in:(4)(a) Section 16-6a-102 for a nonprofit corporation; and(4)(b) Section 16-10a-102 for a profit corporation. See Utah Code 16-4-102
- Water company: means a corporation in which a shareholder has the right, based on the shareholder's shares, to receive a proportionate share of water delivered by the corporation. See Utah Code 16-4-102
(1)(a) imposition of a late charge, penalty, or interest;(1)(b) suspension of one or more benefits of share ownership, including the right to vote, to transfer shares, or to delivery of water in the case of a water company;(1)(c) sale at public auction of the shares on which payment is delinquent; and(1)(d) any other enforcement method specified in the corporation‘s articles of incorporation.
(2) In an enforcement action, the corporation may recover the delinquent assessment, any late charge, penalty, or interest, and all costs of collection, including attorney fees.
(3)
(3)(a) The board of directors shall follow enforcement procedures:
(3)(a)(i) as set forth in the articles of incorporation or bylaws; or
(3)(a)(ii) as determined by the board of directors in a manner consistent with the board of directors’ fiduciary duty to shareholders.