State Codes and Statutes
Statutes > Virginia > Title-56 > Chapter-16 > 56-493§ 56-493. Membership; voting; nonprofit operation.
A cooperative may issue to its members certificates of membership. Onlymembers shall be entitled to vote at the meetings of the members of thecooperative. A member entitled to vote may vote in person or, unless thearticles of incorporation or the bylaws otherwise provide, may vote by proxyexecuted in writing by the member, appointing some other member to cast hisvote, or may vote by his duly authorized attorney-in-fact, who shall be amember. If a member is not voting in person, by proxy, or byattorney-in-fact, the spouse of such member shall be entitled to vote for themember, in person or by proxy, if permitted by the articles of incorporationor bylaws. No proxy shall be valid after eleven months from its date unlessotherwise provided in the proxy. When directors or officers are to be electedby members, the bylaws may provide that such elections may be conducted bymail. The liability of each member shall be limited to the unpaid portion ofhis membership fee or subscription to capital stock, and any unpaid bills fortelephone service from the cooperative. The equity of members of a nonstockcooperative shall be in proportion to the revenue paid the cooperative byeach member. A cooperative shall be operated on a nonprofit basis for themutual benefit of its members. The bylaws of the cooperative or its contractwith its members shall contain such provisions relative to the disposition ofrevenues and receipts as may be necessary and appropriate to establish andmaintain its nonprofit and cooperative character.
(1950, p. 591; 1956, c. 434; 1968, c. 100; 1992, c. 6; 1996, c. 708.)
