Vermont Statutes Title 11 Sec. 1008
§ 1008. Primary elections for directors
The bylaws may provide that primary elections shall be held in each district, to elect the directors apportioned to such districts, and that the result of all such primary elections may be ratified by the next regular meeting of the association or may be deemed the act of the association.
Vermont Statutes Title 11 Sec. 1008
Terms Used In Vermont Statutes Title 11 Sec. 1008
- Director: means a director of a mutual benefit enterprise. See
- Member: means a person that is admitted as a patron member or investor member or both in a mutual benefit enterprise. See
- Mutual benefit enterprise: means an enterprise organized under this title. See
- Person: means an individual; corporation; business trust; cooperative; estate; trust; partnership; limited partnership; limited liability company; mutual benefit enterprise; joint venture; association; public corporation; government or governmental subdivision, agency, or instrumentality; or any other legal or commercial entity. See
§ 1008. Liability for improper distributions; limitation of action
(a) A director who consents to a distribution that violates section 1007 of this title is personally liable to the mutual benefit enterprise for the amount of the distribution that exceeds the amount that could have been distributed without the violation if it is established that in consenting to the distribution the director failed to comply with sections 818-819c of this title.
(b) A member or transferee of financial rights that received a distribution knowing that the distribution was made in violation of section 1007 of this title is personally liable to the mutual benefit enterprise to the extent the distribution exceeded the amount that should have been properly paid.
(c) A director against whom an action is commenced under subsection (a) of this section may:
(1) implead in the action any other director who is liable under subsection (a) of this section and compel contribution from the person; and
(2) implead in the action any person that is liable under subsection (b) of this section and compel contribution from the person in the amount the person received as described in subsection (b) of this section.
(d) An action under this section is barred if it is commenced later than two years after the distribution. (Added 2011, No. 84 (Adj. Sess.), § 1, eff. April 20, 2012.)