Statute · California Food and Agricultural Code

Cal. Food & Agric. Code § 54120 — Bylaws

Cal. Food & Agric. Code § 54120

Type
Statute
Source
California Food and Agricultural Code
Jurisdiction
California
Date
1998-01-01
Current through
Nov 2, 2026 (California Legislative Counsel)

The bylaws may prescribe the amount of any dividends that may be declared on the stock or membership capital. To the extent that dividends are payable out of the excess of association income over association expenses attributable to business transacted with or for members, dividends shall not…

Citator

Cal. Food & Agric. Code § 54120 — Bylaws is in force in the current edition of the Code, and nothing recorded condemns it.

The bylaws may prescribe the amount of any dividends that may be declared on the stock or membership capital. To the extent that dividends are payable out of the excess of association income over association expenses attributable to business transacted with or for members, dividends shall not exceed 8 percent per annum. Dividends are in the nature of interest, and do not affect the nonprofit character of any association that is organized pursuant to this chapter.