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This entry was published on 2014-09-22
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General powers
Cooperative Corporations (CCO) CHAPTER 77, ARTICLE 2
§ 14. General powers. In addition to the powers and rights set out in
the business corporation law or, in the case of a membership
cooperative, the not-for-profit corporation law and subject thereto and
subject to the provisions of this chapter, a cooperative corporation
shall have the following additional specific powers to be exercised for
the furtherance of its lawful purposes and business:

(a) To define or limit its activities as set forth in its certificate
of incorporation or in its by-laws.

(b) To handle the products of non-members, except that, in the case of
a producers' cooperative corporation, such non-member products handled
in any year must not exceed the total of similar products handled for
its own members.

(c) To make advance payments or loans to members.

(d) To act as the agent or representative of any member, including
other cooperatives with which it is affiliated in any of the activities
of the member or other cooperative.

(e) To acquire, own, sell, transfer or pledge shares of capital stock
or bonds or other securities of any corporation or association engaged
in any directly related activity or in the warehousing, handling or
marketing of any of the products handled by the corporation.

(f) To establish reserves, and to invest the funds thereof in bonds or
in such other property as may be provided in the by-laws.

(g) To establish, secure, own and develop patents, trademarks and

(h) To set forth in its certificate of incorporation, by-laws or
member contracts the number, qualifications, classifications,
obligations and relative rights of its members; and general rules as to
the property and funds of the corporation, the property rights, voting
rights and interests of members and of its several classes of members,
the admission of new members, the resignation or removal of members, the
transfer, suspension, termination, forfeiture, retirement and purchase
of membership and membership certificates (including shares of stocks),
the methods thereof, the distribution to members, the making of
contracts with its members and with others, the holding of meetings and
elections, the establishment of voting districts, and the election of
delegates to represent the members in such districts or to represent
affiliated corporations or associations.

(i) To adopt and amend by-laws, consistent with law and the
certificate of incorporation, including emergency by-laws made pursuant
to subdivision seventeen of section twelve of the state defense
emergency act, relative to the foregoing subjects, the conduct and
management of the affairs of the corporation, the calling and conduct of
meetings, the amount of stock or the number or proportion of members or
delegates which must be represented at meetings of the shareholders,
members or delegates to constitute a quorum, the manner of voting, the
election, appointment, removal, powers, duties, terms and compensation
of its officers, directors and committees, and the fixing of procedures
and liabilities in case of violations of the by-laws or of the
obligations of members, officers or directors.

(j) To become a member of any other cooperative corporation with such
rights, powers and representations as may be prescribed in the
certificate of incorporation or the by-laws of the latter corporation.

(k) To act as agent for a non-member in the performance of such
services as are permitted under this chapter for its members.

(l) To enter into all proper contracts and agreements with any other
cooperative corporation for the cooperative and more economical carrying
on of its business or any portion thereof, or for the employment of
common facilities or agencies.

(m) To act as an agency for, or subsidiary of, any other cooperative
corporation or corporations.

(n) To act as a holding corporation for the properties of any other
cooperative corporation or corporations.

(o) To borrow money and contract debts, when necessary for the
exercise of its corporate rights and purposes; to issue and dispose of
its obligations for any amount so borrowed; and to pledge its property
and franchises to secure the payment of its debts.

(p) To limit the amount of indebtedness which may be incurred by it or
on its behalf.

(q) To possess and exercise all powers, rights and privileges,
including the acquisition of real property, necessary, suitable or
incidental to the purposes or activities for which the corporation is
organized or in which it is engaged.