Legislation

Search OpenLegislation Statutes
This entry was published on 2014-09-22
The selection dates indicate all change milestones for the entire volume, not just the location being viewed. Specifying a milestone date will retrieve the most recent version of the location before that date.
SECTION 1109
Judgment or final order of dissolution
Not-for-Profit Corporation (NPC) CHAPTER 35, ARTICLE 11
§ 1109. Judgment or final order of dissolution.

(a) In an action or special proceeding under this article if, in the
court's discretion, it shall appear that the corporation should be
dissolved, it shall make a judgment or final order dissolving the
corporation.

(b) In making its decision, the court shall take into consideration
the following criteria:

(1) In an action brought by the attorney-general, the interest of the
public is of paramount importance.

(2) In a special proceeding brought by directors or members, the
benefit to the members of a dissolution is of paramount importance.

(c) If the judgment or final order shall provide for a dissolution of
the corporation, the court may, in its discretion, provide therein for
the distribution of the property of the corporation to those entitled
thereto according to their respective rights. Any property of the
corporation described in subparagraph one of paragraph (c) of section
1002-a (Carrying out the plan of dissolution and distribution of assets)
shall be distributed in accordance with that section.

(d) The clerk of the court or such other person as the court may
direct shall transmit certified copies of the judgment or final order of
dissolution to the department of state and to the clerk of the county in
which the office of the corporation was located at the date of the
judgment or order. Upon filing by the department of state, the
corporation shall be dissolved.

(e) The corporation shall promptly thereafter transmit a certified
copy of the judgment or final order to the clerk of each other county in
which its certificate of incorporation was filed.