PART I. 
GENERAL PROVISIONS



 



§421C-1  Definitions.  Except where the
context requires otherwise, wherever used in this chapter:



"Articles" means the articles of
incorporation.



"Association" means a consumer
cooperative association.



"Consumer cooperative association"
means a group enterprise, organized on a cooperative basis and incorporated
under this chapter such that:



(1)  Each member has one vote and only one vote,
except as may be altered in the articles or bylaws of a secondary cooperative
by provision for voting by member organizations;



(2)  The maximum rate at which any return is paid on
share or membership capital is limited; and



(3)  The allocation or distribution of net savings
after making provision for such separate funds as may be required or specially
permitted by statute, articles, or bylaws, is made to member patrons or to all
patrons, in proportion to their patronage; or is allocated in a manner which
benefits the general welfare of all of the members of the association.



"Directors" means the board of
directors of an association.



"Electric utility cooperative
association" means a consumer cooperative association that provides
electric utility service as a public utility.



"Interest-dividends" means the return
on share, membership fee, or membership capital of the association which is
limited in accordance with section 421C-19.



"Member" means a member of either a
stock or a nonstock association in accordance with section 421C-3.



"Net savings" means the total income
of an association minus the costs of operation.



"Patronage refund" means the amount
returned to the patrons in proportion to their patronage in accordance with
section 421C-25.



"Non-escheat patronage refunds" means
patronage refunds from an electric utility cooperative association for which a
five-year period has elapsed since the patronage refunds were made and for
which no claims have been made by the patrons to whom the refunds were
allocated.



"Share or membership capital" refers
to the capital paid into an association by a member in accordance with section
421C-3.



"Surplus funds" means funds of an
association which may be utilized for capital improvements, emergencies, or
other expenditures of the association upon the authorization of the directors
as specified in section 421C-25 or as otherwise specified in this chapter.



"Unclaimed property" includes moneys,
checks, drafts, interest, dividends, income, credit balances, overpayments,
deposits, refunds, and non-escheat patronage refunds. [L 1982, c 97, pt of §2;
am L 1984, c 217, §2; am L 1988, c 373, §21; am L 2005, c 52, §2]