17:45A-7 - Rights against association not affected by conversion; exception
17:45A-7.Ā Rights against association not affected by conversion; exception
The conversion of an association into a mutual life insurance company shallĀ not affect the right of any creditor or member of any such association, but allĀ rights of all persons against such association before its conversion shallĀ continue unaffected and shall be enforced against the mutual life insuranceĀ company in the same manner they could have been enforced against theĀ association had its conversion not taken place; except that all rights of assessment, or reduction in benefits in lieu of assessment, prescribed in the certificate of incorporation or by-laws of the mutual benefit association, or provided for in any certificate, policy or contract of such association, shall be canceled. "Assessment,"Ā as used herein, means the right to require the payment of a sum in addition to the weekly or other periodical dues, contributions, premiums and fees required under the terms of any certificate, policy or contract.
L.1955, c. 230, p. 892, s. 7.
Ā
The conversion of an association into a mutual life insurance company shallĀ not affect the right of any creditor or member of any such association, but allĀ rights of all persons against such association before its conversion shallĀ continue unaffected and shall be enforced against the mutual life insuranceĀ company in the same manner they could have been enforced against theĀ association had its conversion not taken place; except that all rights of assessment, or reduction in benefits in lieu of assessment, prescribed in the certificate of incorporation or by-laws of the mutual benefit association, or provided for in any certificate, policy or contract of such association, shall be canceled. "Assessment,"Ā as used herein, means the right to require the payment of a sum in addition to the weekly or other periodical dues, contributions, premiums and fees required under the terms of any certificate, policy or contract.
L.1955, c. 230, p. 892, s. 7.
Ā