<html xmlns="http://www.w3.org/1999/xhtml" lang="en-US"><head><meta charset="UTF-8"><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.s2083626Normal { text-align: center; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2083626HG4 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2083626DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2083626HG4C { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2083626Normal-000000 { text-align: 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Legislature"></head><body><div><p dir="ltr" class="s2083626Normal"><span xml:space="preserve" class="s2083626HG4">CHAPTER </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16</span></a></p><p dir="ltr" class="s2083626Normal"><span xml:space="preserve" class="s2083626HG4C">COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS </span></p><p dir="ltr" class="s2083626Normal-000000"><span xml:space="preserve" class="s2083626DefaultParagraphFont"> </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-1" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-1</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Classes of members--Provisions in bylaws. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-2" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-2</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Annual member meeting--Time of meeting. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-3" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-3</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Special meetings. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-4" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-4</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Member meetings--Location--Virtual participation.</span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-5" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-5</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Member meetings--Notice--Virtual meeting.</span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-6" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-6</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Notice to delegates or alternates. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-7" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-7</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Member meetings--Quorum.</span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-8" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-8</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Action without meeting. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-9" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-9</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Consent to action without meeting. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-10" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-10</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Votes at meeting. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-11" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-11</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Votes by member cooperatives. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-12" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-12</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Vote by member owning membership stock. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-13" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-13</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Proxy votes--Delegate votes. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-14" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-14</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Member voting.</span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-15" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-15</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Voting by representatives. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-16" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-16</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Voting by organizations. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-17" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-17</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Voting rights conditioned upon membership payment. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-18" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-18</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Other votes prohibited. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-19" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-19</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Bylaws provisions for voting. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-20" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-20</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Percentage of vote. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-21" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-21</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Capital stock--Classes of stock. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-22" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-22</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Membership stock--Transfer of stock. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-23" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-23</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Cooperative dealing in own stock. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-24" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-24</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Consideration for stock. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-25" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-25</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Reacquisition of stock. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-26" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-26</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Stockholders' preemptive rights. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-27" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-27</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Stock certificates--Conditions to issuance. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-28" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-28</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Statements required on stock certificates. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-29" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-29</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Stock subscriptions--Irrevocability. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-30" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-30</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Liability of subscribers. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-31" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-31</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Missing securities--Issuance of duplicate. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-32" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-32</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Missing securities--Redemption--Procedure. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-33" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-33</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Liability on securities wrongfully transferred--Notice. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-34" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-34</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Definition of transfers and transferors. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-35" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-35</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Actions by stockholders or members--Allegations respecting ownership. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-36" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-36</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Actions by stockholders or members--Additional allegations. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-37" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-37</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Approval of court required for termination of action. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-38" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-38</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Expenses of maintaining action--Disposition of proceeds. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-39" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-39</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Security for costs--Amount of security. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-40" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-40</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Distribution of net proceeds. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-41" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-41</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Deductions from total proceeds. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-42" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-42</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Procedure for distribution. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-43" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-43</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-43" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-43</span></a><span class="s2083626DefaultParagraphFont">. Repealed by SL 2009, ch 230, § 1.</span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-44" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-44</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Payments to employees. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-45" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-45</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Dividends on capital stock--Conditions to payment. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-46" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-46</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Distributions to patrons. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-47" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-47</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Creation of reserves--Credit to patrons. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-48" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-48</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Ratio of patronage as determining payment to patron. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-49" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-49</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Classification of patrons. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-50" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-50</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Credit to surplus and reserves. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-51" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-51</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Remaining funds--Distribution to patrons--Distinction between members and nonmembers--Classification of patrons. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-52" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-52</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Manner of payment. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-53" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-53</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Application of proceeds to prior losses. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-54" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-54</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Unclaimed credits--Forfeiture to cooperative. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-55" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-55</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Procedure for forfeiture--Resolution--Time limit for claim. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-56" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-56</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Notice to claimant--Contents of notice. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-57" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-57</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Notice by publication. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-58" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-58</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Applicability to preexisting claims. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-59" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-59</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Discretionary payment to claimant after forfeiture. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-60" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-60</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Filing false document as felony. </span></p><p dir="ltr" class="s2083626B"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-61" rel="noopener"><span class="s2083626DefaultParagraphFont">47-16-61</span></a><span xml:space="preserve" class="s2083626DefaultParagraphFont">    Report of forfeited sums to administrator. </span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068965Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068965SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068965CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068965Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068965DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068965000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068965SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068965SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068965Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-1"><span class="s2068965SENU">47-16-1</span></a><span xml:space="preserve" class="s2068965SENU">. </span><span class="s2068965CL">Classes of members--Provisions in bylaws.</span></p><p dir="ltr" class="s2068965Normal-000000"><span class="s2068965DefaultParagraphFont">A cooperative may have one or more classes of members. Provisions for qualifications, requirements, method of acceptance, terms, conditions, termination, and other incidents of membership shall be set forth in the bylaws. Any person, including a partnership, a firm, an unincorporated association, a cooperative, a corporation, or a body politic, may become a member in accordance with the bylaws.</span></p><p dir="ltr" class="s2068965Normal"><span xml:space="preserve" class="s2068965000001"> </span></p><p dir="ltr" class="s2068965Normal"><span class="s2068965SCL">Source:</span><span xml:space="preserve" class="s2068965SCL-000002"> SDC 1939, § 11.1113 as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068966Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068966SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068966CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068966Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068966DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068966000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068966SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068966SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068966Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-2"><span class="s2068966SENU">47-16-2</span></a><span xml:space="preserve" class="s2068966SENU">. </span><span class="s2068966CL">Annual member meeting--Time of meeting.</span></p><p dir="ltr" class="s2068966Normal-000000"><span class="s2068966DefaultParagraphFont">An annual member meeting of a cooperative shall be held at the time fixed in or pursuant to the bylaws. In the absence of a bylaw provision, such meeting shall be held within six months after the close of the fiscal year at the call of the president or board of directors.</span></p><p dir="ltr" class="s2068966Normal"><span xml:space="preserve" class="s2068966000001"> </span></p><p dir="ltr" class="s2068966Normal"><span class="s2068966SCL">Source:</span><span xml:space="preserve" class="s2068966SCL-000002"> SDC 1939, § 11.1115 (2) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068967Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068967SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068967CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068967Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068967DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068967DefaultParagraphFont-000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068967000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068967SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068967SCL-000003 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068967Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-3"><span class="s2068967SENU">47-16-3</span></a><span xml:space="preserve" class="s2068967SENU">. </span><span class="s2068967CL">Special meetings.</span></p><p dir="ltr" class="s2068967Normal-000000"><span class="s2068967DefaultParagraphFont">Special member meetings of a cooperative may be called by the president, board of directors, or members having one</span><span class="s2068967DefaultParagraphFont-000001">-</span><span class="s2068967DefaultParagraphFont">fifth of the votes entitled to be cast at such meeting.</span></p><p dir="ltr" class="s2068967Normal"><span xml:space="preserve" class="s2068967000002"> </span></p><p dir="ltr" class="s2068967Normal"><span class="s2068967SCL">Source:</span><span xml:space="preserve" class="s2068967SCL-000003"> SDC 1939, § 11.1115 (3) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml" lang="en-US"><head><meta charset="UTF-8"><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.s2082646Normal { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2082646SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2082646CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2082646Statute { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2082646DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2082646000000 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2082646NoIndent { text-indent: 0.00in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2082646DefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2082646SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style><meta name="viewport" content="width=device-width, initial-scale=1"><meta name="twitter:card" content="summary"><meta property="og:title" content="SD 47-16-4 - Member meetings--Location--Virtual participation."><meta property="og:description" content="SDLRC Codified Law 47-16-4 - Member meetings--Location--Virtual participation."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes?Statute=47-16-4"><meta property="og:image" content="https://lawmakerdocuments.blob.core.usgovcloudapi.net/photos/logoshape.webp"><meta property="og:site_name" content="South Dakota Legislature"></head><body><div><p dir="ltr" class="s2082646Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-4" rel="noopener"><span class="s2082646SENU">47-16-4</span></a><span xml:space="preserve" class="s2082646SENU">. </span><span xml:space="preserve" class="s2082646CL">Member meetings--Location--Virtual participation. </span></p><p dir="ltr" class="s2082646Statute"><span class="s2082646DefaultParagraphFont">Unless the articles of incorporation or bylaws provide otherwise, the board of directors shall provide that member meetings of a cooperative are held at the principal office or such other place or by means of communication as the board of directors may determine.</span></p><p dir="ltr" class="s2082646Statute"><span class="s2082646DefaultParagraphFont">Unless the articles of incorporation or bylaws provide otherwise, the board of directors may allow a member, a delegate, or an alternate to participate in a member meeting by any means of communication through which the member, delegate, or alternate may communicate and vote at the meeting. Participation by such means of communication constitutes presence or attendance at the meeting.</span></p><p dir="ltr" class="s2082646Normal"><span xml:space="preserve" class="s2082646000000"> </span></p><p dir="ltr" class="s2082646NoIndent"><span xml:space="preserve" class="s2082646DefaultParagraphFont-000001">Source: </span><span class="s2082646SCL">SDC 1939, § 11.1115 (1) as enacted by SL 1965, ch 23, § 1; SL 2021, ch 194, § 2.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml" lang="en-US"><head><meta charset="UTF-8"><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.s2082647Normal { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2082647SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2082647CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2082647Statute { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2082647DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2082647000000 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2082647NoIndent { text-indent: 0.00in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2082647DefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2082647SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style><meta name="viewport" content="width=device-width, initial-scale=1"><meta name="twitter:card" content="summary"><meta property="og:title" content="SD 47-16-5 - Member meetings--Notice--Virtual meeting."><meta property="og:description" content="SDLRC Codified Law 47-16-5 - Member meetings--Notice--Virtual meeting."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes?Statute=47-16-5"><meta property="og:image" content="https://lawmakerdocuments.blob.core.usgovcloudapi.net/photos/logoshape.webp"><meta property="og:site_name" content="South Dakota Legislature"></head><body><div><p dir="ltr" class="s2082647Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-5" rel="noopener"><span class="s2082647SENU">47-16-5</span></a><span xml:space="preserve" class="s2082647SENU">. </span><span xml:space="preserve" class="s2082647CL">Member meetings--Notice--Virtual meeting. </span></p><p dir="ltr" class="s2082647Statute"><span class="s2082647DefaultParagraphFont">Written notice of a membership meeting of a cooperative, stating the place, day, and hour, and, in case of a special member meeting the purposes for which the meeting is called, shall be given no fewer than ten nor more than sixty days before the meeting, at the direction of the person calling the meeting.</span></p><p dir="ltr" class="s2082647Statute"><span xml:space="preserve" class="s2082647DefaultParagraphFont">The place of the meeting or special meeting may be virtual if the written notice specifies a means of communication to conduct the meeting that complies with the provisions of § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-4" rel="noopener"><span class="s2082647DefaultParagraphFont">47-16-4</span></a><span class="s2082647DefaultParagraphFont">.</span></p><p dir="ltr" class="s2082647Normal"><span xml:space="preserve" class="s2082647000000"> </span></p><p dir="ltr" class="s2082647NoIndent"><span xml:space="preserve" class="s2082647DefaultParagraphFont-000001">Source: </span><span class="s2082647SCL">SDC 1939, § 11.1115 (4) as enacted by SL 1965, ch 23, § 1; SL 2021, ch 194, § 3.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068970Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068970SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068970CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068970Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068970DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068970000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068970SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068970SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068970Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-6"><span class="s2068970SENU">47-16-6</span></a><span xml:space="preserve" class="s2068970SENU">. </span><span class="s2068970CL">Notice to delegates or alternates.</span></p><p dir="ltr" class="s2068970Normal-000000"><span class="s2068970DefaultParagraphFont">At any meeting of a cooperative at which members are to be represented by delegates, notice to such members may be given by notifying such delegates and their alternates. Notice may consist of a notice to all members or may be in the form of an announcement at the meeting at which such delegates or alternates were elected.</span></p><p dir="ltr" class="s2068970Normal"><span xml:space="preserve" class="s2068970000001"> </span></p><p dir="ltr" class="s2068970Normal"><span class="s2068970SCL">Source:</span><span xml:space="preserve" class="s2068970SCL-000002"> SDC 1939, § 11.1115 (5) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml" lang="en-US"><head><meta charset="UTF-8"><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.s2082648Normal { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2082648SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2082648CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2082648Statute { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2082648DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2082648000000 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2082648NoIndent { text-indent: 0.00in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2082648DefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2082648SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style><meta name="viewport" content="width=device-width, initial-scale=1"><meta name="twitter:card" content="summary"><meta property="og:title" content="SD 47-16-7 - Member meetings--Quorum."><meta property="og:description" content="SDLRC Codified Law 47-16-7 - Member meetings--Quorum."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes?Statute=47-16-7"><meta property="og:image" content="https://lawmakerdocuments.blob.core.usgovcloudapi.net/photos/logoshape.webp"><meta property="og:site_name" content="South Dakota Legislature"></head><body><div><p dir="ltr" class="s2082648Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-7" rel="noopener"><span class="s2082648SENU">47-16-7</span></a><span xml:space="preserve" class="s2082648SENU">. </span><span xml:space="preserve" class="s2082648CL">Member meetings--Quorum. </span></p><p dir="ltr" class="s2082648Statute"><span class="s2082648DefaultParagraphFont">A quorum at a member meeting of a cooperative shall be ten percent of the first one hundred members plus five percent of additional members, present or represented by delegate. Unless the bylaws fix a larger number of members to constitute a quorum, a quorum may never be more than fifty members nor fewer than five members, or a majority of all members, whichever is smaller. Members represented by signed vote may be counted in computing a quorum only on those questions as to which the signed vote is taken. The sufficiency or requirement of a quorum for the transaction of business at a district meeting of members shall be established in the bylaws. However, the quorum may not be fewer than five members.</span></p><p dir="ltr" class="s2082648Normal"><span xml:space="preserve" class="s2082648000000"> </span></p><p dir="ltr" class="s2082648NoIndent"><span xml:space="preserve" class="s2082648DefaultParagraphFont-000001">Source: </span><span class="s2082648SCL">SDC 1939, § 11.1116 as enacted by SL 1965, ch 23, § 1; SL 2000, ch 220, § 1; SL 2021, ch 194, § 4.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068972Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068972SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068972CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068972Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068972DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068972000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068972SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068972SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068972Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-8"><span class="s2068972SENU">47-16-8</span></a><span xml:space="preserve" class="s2068972SENU">. </span><span class="s2068972CL">Action without meeting.</span></p><p dir="ltr" class="s2068972Normal-000000"><span xml:space="preserve" class="s2068972DefaultParagraphFont">Action without a membership meeting may be taken by a cooperative pursuant to § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-9"><span class="s2068972DefaultParagraphFont">47-16-9</span></a><span class="s2068972DefaultParagraphFont">.</span></p><p dir="ltr" class="s2068972Normal"><span xml:space="preserve" class="s2068972000001"> </span></p><p dir="ltr" class="s2068972Normal"><span class="s2068972SCL">Source:</span><span xml:space="preserve" class="s2068972SCL-000002"> SDC 1939, § 11.1115 (6) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068973Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068973SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068973CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068973Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068973DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068973000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068973SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068973SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068973Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-9"><span class="s2068973SENU">47-16-9</span></a><span xml:space="preserve" class="s2068973SENU">. </span><span class="s2068973CL">Consent to action without meeting.</span></p><p dir="ltr" class="s2068973Normal-000000"><span class="s2068973DefaultParagraphFont">Any action which may be taken at a member meeting of a cooperative, may be taken without a meeting if a writing setting forth and approving the action taken shall be signed by a majority of the members entitled to vote on such action. In such cases, such consent shall have the same force and effect as if a meeting had been held.</span></p><p dir="ltr" class="s2068973Normal"><span xml:space="preserve" class="s2068973000001"> </span></p><p dir="ltr" class="s2068973Normal"><span class="s2068973SCL">Source:</span><span xml:space="preserve" class="s2068973SCL-000002"> SDC 1939, § 11.1126 as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068974Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068974SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068974CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068974Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068974DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068974000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068974SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068974SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068974Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-10"><span class="s2068974SENU">47-16-10</span></a><span xml:space="preserve" class="s2068974SENU">. </span><span class="s2068974CL">Votes at meeting.</span></p><p dir="ltr" class="s2068974Normal-000000"><span class="s2068974DefaultParagraphFont">At any member meeting of a cooperative composed of individual members and entity members, each individual member or entity member is entitled to only one vote.</span></p><p dir="ltr" class="s2068974Normal"><span xml:space="preserve" class="s2068974000001"> </span></p><p dir="ltr" class="s2068974Normal"><span class="s2068974SCL">Source:</span><span xml:space="preserve" class="s2068974SCL-000002"> SDC 1939, § 11.1114 (2) as enacted by SL 1965, ch 23, § 1; SL 2018, ch 260, § 4.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068975Normal { text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068975SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068975CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068975Normal-000000 { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068975DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2068975Normal-000001 { margin-left: 0.70in; text-indent: -0.45in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068975DefaultParagraphFont-000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068975000003 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068975SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068975SCL-000004 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068975Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-11"><span class="s2068975SENU">47-16-11</span></a><span xml:space="preserve" class="s2068975SENU">. </span><span class="s2068975CL">Votes by member cooperatives.</span></p><p dir="ltr" class="s2068975Normal-000000"><span class="s2068975DefaultParagraphFont">In the case of a cooperative composed only of member cooperative corporations, such member cooperatives shall have only one vote, except that the articles may permit either or both:</span></p><p dir="ltr" class="s2068975Normal-000001"><span class="s2068975DefaultParagraphFont">(1)    A member cooperative to cast additional votes not exceeding a number equal to its membership;</span></p><p dir="ltr" class="s2068975Normal-000001"><span class="s2068975DefaultParagraphFont">(2)    A cooperative whose member</span><span class="s2068975DefaultParagraphFont-000002">-</span><span class="s2068975DefaultParagraphFont">patrons include other cooperative corporations to base voting in whole or in part on a patronage basis.</span></p><p dir="ltr" class="s2068975Normal"><span xml:space="preserve" class="s2068975000003"> </span></p><p dir="ltr" class="s2068975Normal"><span class="s2068975SCL">Source:</span><span xml:space="preserve" class="s2068975SCL-000004"> SDC 1939, § 11.1114 (2) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068976Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068976SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068976CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068976Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068976DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068976000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068976SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068976SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068976Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-12"><span class="s2068976SENU">47-16-12</span></a><span xml:space="preserve" class="s2068976SENU">. </span><span class="s2068976CL">Vote by member owning membership stock.</span></p><p dir="ltr" class="s2068976Normal-000000"><span class="s2068976DefaultParagraphFont">A member owning membership stock of a cooperative gains no additional vote thereby.</span></p><p dir="ltr" class="s2068976Normal"><span xml:space="preserve" class="s2068976000001"> </span></p><p dir="ltr" class="s2068976Normal"><span class="s2068976SCL">Source:</span><span xml:space="preserve" class="s2068976SCL-000002"> SDC 1939, § 11.1114 (3) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068977Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068977SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068977CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068977Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068977DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068977000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068977SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068977SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068977Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-13"><span class="s2068977SENU">47-16-13</span></a><span xml:space="preserve" class="s2068977SENU">. </span><span class="s2068977CL">Proxy votes--Delegate votes.</span></p><p dir="ltr" class="s2068977Normal-000000"><span class="s2068977DefaultParagraphFont">Voting by proxy shall not be allowed in any cooperative, except that the bylaws may provide for representation of members by delegates apportioned territorially. A delegate shall cast the votes to which members represented by him are entitled.</span></p><p dir="ltr" class="s2068977Normal"><span xml:space="preserve" class="s2068977000001"> </span></p><p dir="ltr" class="s2068977Normal"><span class="s2068977SCL">Source:</span><span xml:space="preserve" class="s2068977SCL-000002"> SDC 1939, § 11.1114 (4) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml" lang="en-US"><head><meta charset="UTF-8"><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.s2082649Normal { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2082649SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2082649CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2082649Statute { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2082649DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2082649000000 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2082649NoIndent { text-indent: 0.00in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2082649DefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2082649SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style><meta name="viewport" content="width=device-width, initial-scale=1"><meta name="twitter:card" content="summary"><meta property="og:title" content="SD 47-16-14 - Member voting."><meta property="og:description" content="SDLRC Codified Law 47-16-14 - Member voting."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes?Statute=47-16-14"><meta property="og:image" content="https://lawmakerdocuments.blob.core.usgovcloudapi.net/photos/logoshape.webp"><meta property="og:site_name" content="South Dakota Legislature"></head><body><div><p dir="ltr" class="s2082649Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-14" rel="noopener"><span class="s2082649SENU">47-16-14</span></a><span xml:space="preserve" class="s2082649SENU">. </span><span xml:space="preserve" class="s2082649CL">Member voting. </span></p><p dir="ltr" class="s2082649Statute"><span class="s2082649DefaultParagraphFont">A member of a cooperative may submit a signed vote by mail or electronic means if the member has been previously notified in writing of the exact vote, motion or resolution upon which the vote is taken. The bylaws may limit use of signed votes.</span></p><p dir="ltr" class="s2082649Normal"><span xml:space="preserve" class="s2082649000000"> </span></p><p dir="ltr" class="s2082649NoIndent"><span xml:space="preserve" class="s2082649DefaultParagraphFont-000001">Source: </span><span class="s2082649SCL">SDC 1939, § 11.1114 (5) as enacted by SL 1965, ch 23, § 1; SL 2018, ch 260, § 5; SL 2021, ch 194, § 5.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068979Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068979SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068979CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068979Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068979DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068979000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068979SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068979SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068979Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-15"><span class="s2068979SENU">47-16-15</span></a><span xml:space="preserve" class="s2068979SENU">. </span><span class="s2068979CL">Voting by representatives.</span></p><p dir="ltr" class="s2068979Normal-000000"><span class="s2068979DefaultParagraphFont">In the absence of written notice that a person has been designated to represent an entity member of a cooperative, the member may be represented by any of its principal officers. Unless the bylaws provide otherwise, an individual may represent more than one entity member, and may also vote as an individual if the individual is a member.</span></p><p dir="ltr" class="s2068979Normal"><span xml:space="preserve" class="s2068979000001"> </span></p><p dir="ltr" class="s2068979Normal"><span class="s2068979SCL">Source:</span><span xml:space="preserve" class="s2068979SCL-000002"> SDC 1939, § 11.1114 (6) as enacted by SL 1965, ch 23, § 1; SL 2018, ch 260, § 6.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068980Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068980SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068980CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068980Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068980DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068980000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068980SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068980SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068980Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-16"><span class="s2068980SENU">47-16-16</span></a><span xml:space="preserve" class="s2068980SENU">. </span><span class="s2068980CL">Voting by organizations.</span></p><p dir="ltr" class="s2068980Normal-000000"><span class="s2068980DefaultParagraphFont">If the cooperative permits two or more persons, or a partnership, or an unincorporated association, or another cooperative, or a corporation, or a body politic to hold one membership, the bylaws may provide how such member vote is to be cast.</span></p><p dir="ltr" class="s2068980Normal"><span xml:space="preserve" class="s2068980000001"> </span></p><p dir="ltr" class="s2068980Normal"><span class="s2068980SCL">Source:</span><span xml:space="preserve" class="s2068980SCL-000002"> SDC 1939, § 11.1114 (1) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068981Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068981SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068981CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068981Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068981DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068981000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068981SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068981SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068981Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-17"><span class="s2068981SENU">47-16-17</span></a><span xml:space="preserve" class="s2068981SENU">. </span><span class="s2068981CL">Voting rights conditioned upon membership payment.</span></p><p dir="ltr" class="s2068981Normal-000000"><span class="s2068981DefaultParagraphFont">A person who has not fully paid for his membership may not vote except as expressly permitted in the bylaws.</span></p><p dir="ltr" class="s2068981Normal"><span xml:space="preserve" class="s2068981000001"> </span></p><p dir="ltr" class="s2068981Normal"><span class="s2068981SCL">Source:</span><span xml:space="preserve" class="s2068981SCL-000002"> SDC 1939, § 11.1114 (1) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068982Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068982SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068982CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068982Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068982DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068982000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068982SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068982SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068982Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-18"><span class="s2068982SENU">47-16-18</span></a><span xml:space="preserve" class="s2068982SENU">. </span><span class="s2068982CL">Other votes prohibited.</span></p><p dir="ltr" class="s2068982Normal-000000"><span xml:space="preserve" class="s2068982DefaultParagraphFont">Except as permitted in §§ </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-13"><span class="s2068982DefaultParagraphFont">47-16-13</span></a><span xml:space="preserve" class="s2068982DefaultParagraphFont"> to </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-17"><span class="s2068982DefaultParagraphFont">47-16-17</span></a><span class="s2068982DefaultParagraphFont">, inclusive, no person other than a member may vote at any member meeting of a cooperative.</span></p><p dir="ltr" class="s2068982Normal"><span xml:space="preserve" class="s2068982000001"> </span></p><p dir="ltr" class="s2068982Normal"><span class="s2068982SCL">Source:</span><span xml:space="preserve" class="s2068982SCL-000002"> SDC 1939, § 11.1114 as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068983Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068983SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068983CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068983Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068983DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068983000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068983SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068983SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068983Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-19"><span class="s2068983SENU">47-16-19</span></a><span xml:space="preserve" class="s2068983SENU">. </span><span class="s2068983CL">Bylaws provisions for voting.</span></p><p dir="ltr" class="s2068983Normal-000000"><span class="s2068983DefaultParagraphFont">The bylaws of a cooperative may set forth provisions, not inconsistent with this chapter, relating to the methods and procedures for voting.</span></p><p dir="ltr" class="s2068983Normal"><span xml:space="preserve" class="s2068983000001"> </span></p><p dir="ltr" class="s2068983Normal"><span class="s2068983SCL">Source:</span><span xml:space="preserve" class="s2068983SCL-000002"> SDC 1939, § 11.1114 (7) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068984Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068984SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068984CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068984Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068984DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068984000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068984SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068984SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068984Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-20"><span class="s2068984SENU">47-16-20</span></a><span xml:space="preserve" class="s2068984SENU">. </span><span class="s2068984CL">Percentage of vote.</span></p><p dir="ltr" class="s2068984Normal-000000"><span class="s2068984DefaultParagraphFont">Whenever the articles of a cooperative require the vote of a greater proportion of the members than required by this chapter, the articles control.</span></p><p dir="ltr" class="s2068984Normal"><span xml:space="preserve" class="s2068984000001"> </span></p><p dir="ltr" class="s2068984Normal"><span class="s2068984SCL">Source:</span><span xml:space="preserve" class="s2068984SCL-000002"> SDC 1939, § 11.1114 (8) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068985Normal { text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068985SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068985CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068985Normal-000000 { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068985DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2068985Normal-000001 { margin-left: 0.70in; text-indent: -0.45in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068985000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068985SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068985SCL-000003 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068985Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-21"><span class="s2068985SENU">47-16-21</span></a><span xml:space="preserve" class="s2068985SENU">. </span><span class="s2068985CL">Capital stock--Classes of stock.</span></p><p dir="ltr" class="s2068985Normal-000000"><span class="s2068985DefaultParagraphFont">A cooperative organized with capital stock may issue the amount of stock stated in its articles. Such stock may be divided into two or more classes with such designations, preferences, limitations, and relative rights as shall be stated in the articles, except that:</span></p><p dir="ltr" class="s2068985Normal-000001"><span class="s2068985DefaultParagraphFont">(1)    Stock as such has no voting power;</span></p><p dir="ltr" class="s2068985Normal-000001"><span class="s2068985DefaultParagraphFont">(2)    Stock without par value shall not be authorized or issued;</span></p><p dir="ltr" class="s2068985Normal-000001"><span class="s2068985DefaultParagraphFont">(3)    The rate of dividends upon stock shall not exceed eight percent of its par value for any year, and dividends may not be cumulative.</span></p><p dir="ltr" class="s2068985Normal"><span xml:space="preserve" class="s2068985000002"> </span></p><p dir="ltr" class="s2068985Normal"><span class="s2068985SCL">Source:</span><span xml:space="preserve" class="s2068985SCL-000003"> SDC 1939, § 11.1118 (1) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068986Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068986SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068986CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068986Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068986DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068986000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068986SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068986SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068986Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-22"><span class="s2068986SENU">47-16-22</span></a><span xml:space="preserve" class="s2068986SENU">. </span><span class="s2068986CL">Membership stock--Transfer of stock.</span></p><p dir="ltr" class="s2068986Normal-000000"><span class="s2068986DefaultParagraphFont">The articles of a cooperative may require that members own one or more shares of membership stock. Such stock shall be issued or transferred only to a person eligible to become a member, and only when such person satisfies other requisites for membership. Unless restricted by the articles, stock other than membership stock may be issued or transferred to any person.</span></p><p dir="ltr" class="s2068986Normal"><span xml:space="preserve" class="s2068986000001"> </span></p><p dir="ltr" class="s2068986Normal"><span class="s2068986SCL">Source:</span><span xml:space="preserve" class="s2068986SCL-000002"> SDC 1939, § 11.1118 (2) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068987Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068987SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068987CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068987Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068987DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068987000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068987SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068987SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068987Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-23"><span class="s2068987SENU">47-16-23</span></a><span xml:space="preserve" class="s2068987SENU">. </span><span class="s2068987CL">Cooperative dealing in own stock.</span></p><p dir="ltr" class="s2068987Normal-000000"><span class="s2068987DefaultParagraphFont">Unless the articles provide otherwise, a cooperative may acquire, recall, exchange, redeem, and reissue its own stock. Provisions in the articles and on the stock certificate may reserve to the cooperative a prior right to acquire any stock offered for sale, or a right to recall the stock of any stockholder, or both of said rights.</span></p><p dir="ltr" class="s2068987Normal"><span xml:space="preserve" class="s2068987000001"> </span></p><p dir="ltr" class="s2068987Normal"><span class="s2068987SCL">Source:</span><span xml:space="preserve" class="s2068987SCL-000002"> SDC 1939, § 11.1118 (3) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068988Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068988SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068988CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068988Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068988DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068988000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068988SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068988SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068988Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-24"><span class="s2068988SENU">47-16-24</span></a><span xml:space="preserve" class="s2068988SENU">. </span><span class="s2068988CL">Consideration for stock.</span></p><p dir="ltr" class="s2068988Normal-000000"><span class="s2068988DefaultParagraphFont">The consideration paid for stock recalled by the cooperative shall be its par value and accrued unpaid dividends, provided that if the book value of such stock is less than the par value, the consideration shall be such book value. The cooperative may set off obligations of the stockholder to it. If the remaining assets would be less than the aggregate amount payable to creditors and persons holding stock with preferential rights upon liquidation, no stock shall be acquired, recalled, exchanged, or redeemed for a consideration other than stock or certificates of equity interest of equal or subordinate rank.</span></p><p dir="ltr" class="s2068988Normal"><span xml:space="preserve" class="s2068988000001"> </span></p><p dir="ltr" class="s2068988Normal"><span class="s2068988SCL">Source:</span><span xml:space="preserve" class="s2068988SCL-000002"> SDC 1939, § 11.1118 (3) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068989Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068989SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068989CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068989Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068989DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068989000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068989SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068989SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068989Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-25"><span class="s2068989SENU">47-16-25</span></a><span xml:space="preserve" class="s2068989SENU">. </span><span class="s2068989CL">Reacquisition of stock.</span></p><p dir="ltr" class="s2068989Normal-000000"><span class="s2068989DefaultParagraphFont">When stock is acquired, recalled, exchanged, or redeemed by the cooperative, such stock is restored to the status of authorized but unissued stock.</span></p><p dir="ltr" class="s2068989Normal"><span xml:space="preserve" class="s2068989000001"> </span></p><p dir="ltr" class="s2068989Normal"><span class="s2068989SCL">Source:</span><span xml:space="preserve" class="s2068989SCL-000002"> SDC 1939, § 11.1118 (4) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068990Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068990SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068990CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068990Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068990DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068990000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068990SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068990SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068990Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-26"><span class="s2068990SENU">47-16-26</span></a><span xml:space="preserve" class="s2068990SENU">. </span><span class="s2068990CL">Stockholders' preemptive rights.</span></p><p dir="ltr" class="s2068990Normal-000000"><span class="s2068990DefaultParagraphFont">Stockholders of a cooperative as such have no preemptive right to purchase additional stock.</span></p><p dir="ltr" class="s2068990Normal"><span xml:space="preserve" class="s2068990000001"> </span></p><p dir="ltr" class="s2068990Normal"><span class="s2068990SCL">Source:</span><span xml:space="preserve" class="s2068990SCL-000002"> SDC 1939, § 11.1118 (5) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068991Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068991SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068991CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068991Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068991DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068991000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068991SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068991SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068991Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-27"><span class="s2068991SENU">47-16-27</span></a><span xml:space="preserve" class="s2068991SENU">. </span><span class="s2068991CL">Stock certificates--Conditions to issuance.</span></p><p dir="ltr" class="s2068991Normal-000000"><span class="s2068991DefaultParagraphFont">No stock certificate may be issued by a cooperative except upon payment of the par value of the stock it represents. No cooperative shall issue stock or bonds except for money, labor done, or money or property actually received; and all fictitious increase of stock or indebtedness shall be void. If payment for stock is not in money, the value of the consideration shall be determined by the board of directors and such determination, if made in good faith, shall be conclusive.</span></p><p dir="ltr" class="s2068991Normal"><span xml:space="preserve" class="s2068991000001"> </span></p><p dir="ltr" class="s2068991Normal"><span class="s2068991SCL">Source:</span><span xml:space="preserve" class="s2068991SCL-000002"> SDC 1939, § 11.1119 as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068992Normal { text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068992SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068992CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068992Normal-000000 { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068992DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2068992Normal-000001 { margin-left: 0.70in; text-indent: -0.45in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068992000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068992SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068992SCL-000003 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068992Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-28"><span class="s2068992SENU">47-16-28</span></a><span xml:space="preserve" class="s2068992SENU">. </span><span class="s2068992CL">Statements required on stock certificates.</span></p><p dir="ltr" class="s2068992Normal-000000"><span class="s2068992DefaultParagraphFont">Each certificate for stock of a cooperative shall bear the manual or facsimile signature of a principal officer and shall state:</span></p><p dir="ltr" class="s2068992Normal-000001"><span class="s2068992DefaultParagraphFont">(1)    The name of the cooperative, the number, par value, and class of the shares represented by the certificate, and whether or not it is membership stock.</span></p><p dir="ltr" class="s2068992Normal-000001"><span class="s2068992DefaultParagraphFont">(2)    Any restrictions on the issuance or transfer of such stock, including those provided by law and the articles.</span></p><p dir="ltr" class="s2068992Normal-000001"><span class="s2068992DefaultParagraphFont">(3)    If more than one class of stock is authorized, the designation of the several classes, and their respective preferences, limitations, and relative right. In lieu of the full statement, this information may be given in summary form, or the certificate may state that the cooperative will, upon request, furnish the information required by this subdivision.</span></p><p dir="ltr" class="s2068992Normal"><span xml:space="preserve" class="s2068992000002"> </span></p><p dir="ltr" class="s2068992Normal"><span class="s2068992SCL">Source:</span><span xml:space="preserve" class="s2068992SCL-000003"> SDC 1939, § 11.1119 as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068993Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068993SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068993CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068993Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068993DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068993000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068993SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068993SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068993Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-29"><span class="s2068993SENU">47-16-29</span></a><span xml:space="preserve" class="s2068993SENU">. </span><span class="s2068993CL">Stock subscriptions--Irrevocability.</span></p><p dir="ltr" class="s2068993Normal-000000"><span class="s2068993DefaultParagraphFont">A subscription for stock of a cooperative is irrevocable for six months unless otherwise provided by the subscription agreement or unless all subscribers consent to the revocation.</span></p><p dir="ltr" class="s2068993Normal"><span xml:space="preserve" class="s2068993000001"> </span></p><p dir="ltr" class="s2068993Normal"><span class="s2068993SCL">Source:</span><span xml:space="preserve" class="s2068993SCL-000002"> SDC 1939, § 11.1120 as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068994Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068994SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068994CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068994Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068994DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068994000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068994SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068994SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068994Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-30"><span class="s2068994SENU">47-16-30</span></a><span xml:space="preserve" class="s2068994SENU">. </span><span class="s2068994CL">Liability of subscribers.</span></p><p dir="ltr" class="s2068994Normal-000000"><span class="s2068994DefaultParagraphFont">Except for debts lawfully contracted between the member and the cooperative, no member or patron is liable for the debts of the cooperative to an amount exceeding the sum remaining unpaid on his subscription for shares of the cooperative, and the sum unpaid on such members membership fees, if such fee is required by the cooperative.</span></p><p dir="ltr" class="s2068994Normal"><span xml:space="preserve" class="s2068994000001"> </span></p><p dir="ltr" class="s2068994Normal"><span class="s2068994SCL">Source:</span><span xml:space="preserve" class="s2068994SCL-000002"> SDC 1939, § 11.1120 as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068995Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068995SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068995CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068995Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068995DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068995000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068995SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068995SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068995Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-31"><span class="s2068995SENU">47-16-31</span></a><span xml:space="preserve" class="s2068995SENU">. </span><span class="s2068995CL">Missing securities--Issuance of duplicate.</span></p><p dir="ltr" class="s2068995Normal-000000"><span class="s2068995DefaultParagraphFont">When a security issued by a cooperative is missing, the cooperative shall issue a duplicate security if the owner so requests and furnishes an indemnity acceptable to the cooperative.</span></p><p dir="ltr" class="s2068995Normal"><span xml:space="preserve" class="s2068995000001"> </span></p><p dir="ltr" class="s2068995Normal"><span class="s2068995SCL">Source:</span><span xml:space="preserve" class="s2068995SCL-000002"> SDC 1939, § 11.1121 (1) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068996Normal { text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068996SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068996CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068996Normal-000000 { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068996DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2068996Normal-000001 { margin-left: 0.70in; text-indent: -0.45in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068996000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068996SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068996SCL-000003 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068996Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-32"><span class="s2068996SENU">47-16-32</span></a><span xml:space="preserve" class="s2068996SENU">. </span><span class="s2068996CL">Missing securities--Redemption--Procedure.</span></p><p dir="ltr" class="s2068996Normal-000000"><span class="s2068996DefaultParagraphFont">If records of a cooperative showing ownership of securities or apportionment of equity interest in the assets are missing and the information contained in such records is necessary to a proposed redemption of the interest, the cooperative may give notice and redeem as follows:</span></p><p dir="ltr" class="s2068996Normal-000001"><span class="s2068996DefaultParagraphFont">(1)    The cooperative shall set aside an amount equal to the value of the interests to be redeemed;</span></p><p dir="ltr" class="s2068996Normal-000001"><span class="s2068996DefaultParagraphFont">(2)    The cooperative shall give notice of such redemption to all owners of interests of which the cooperative has knowledge;</span></p><p dir="ltr" class="s2068996Normal-000001"><span class="s2068996DefaultParagraphFont">(3)    If there are interests, the ownership of which is unknown to the cooperative, it shall publish notice of the redemption at least once in a newspaper of general circulation in the county of this state in which is located the last known address of each person to be named in the notice. If no address is listed or the address is outside this state, the notice shall be published in the county in which the holder of the property has its principal place of business within this state; and</span></p><p dir="ltr" class="s2068996Normal-000001"><span xml:space="preserve" class="s2068996DefaultParagraphFont">(4)    Any unclaimed outstanding interest represented by the missing records may then be terminated in accordance with §§ </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-54"><span class="s2068996DefaultParagraphFont">47-16-54</span></a><span xml:space="preserve" class="s2068996DefaultParagraphFont"> to </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-59"><span class="s2068996DefaultParagraphFont">47-16-59</span></a><span class="s2068996DefaultParagraphFont">, inclusive.</span></p><p dir="ltr" class="s2068996Normal"><span xml:space="preserve" class="s2068996000002"> </span></p><p dir="ltr" class="s2068996Normal"><span class="s2068996SCL">Source:</span><span xml:space="preserve" class="s2068996SCL-000003"> SDC 1939, § 11.1121 (2) as enacted by SL 1965, ch 23, § 1; SL 2012, ch 224, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068997Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068997SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068997CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068997Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068997DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068997000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068997SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068997SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068997Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-33"><span class="s2068997SENU">47-16-33</span></a><span xml:space="preserve" class="s2068997SENU">. </span><span class="s2068997CL">Liability on securities wrongfully transferred--Notice.</span></p><p dir="ltr" class="s2068997Normal-000000"><span class="s2068997DefaultParagraphFont">A cooperative is not liable for acting upon wrongful transfers of its securities unless it has notice that the certificate was not transferred by a proper person or has notice that the transfer was wrongful.</span></p><p dir="ltr" class="s2068997Normal"><span xml:space="preserve" class="s2068997000001"> </span></p><p dir="ltr" class="s2068997Normal"><span class="s2068997SCL">Source:</span><span xml:space="preserve" class="s2068997SCL-000002"> SDC 1939, § 11.1122 (1) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068998Normal { text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068998SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068998CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068998Normal-000000 { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068998DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2068998Normal-000001 { margin-left: 0.70in; text-indent: -0.45in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-right: 0; margin-bottom: .001pt; } span.s2068998000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068998SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068998SCL-000003 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068998Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-34"><span class="s2068998SENU">47-16-34</span></a><span xml:space="preserve" class="s2068998SENU">. </span><span class="s2068998CL">Definition of transfers and transferors.</span></p><p dir="ltr" class="s2068998Normal-000000"><span xml:space="preserve" class="s2068998DefaultParagraphFont">As used in § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-33"><span class="s2068998DefaultParagraphFont">47-16-33</span></a><span class="s2068998DefaultParagraphFont">:</span></p><p dir="ltr" class="s2068998Normal-000001"><span class="s2068998DefaultParagraphFont">(1)    "Proper person" means the registered owner or last prior transferee, whether or not described as fiduciary for another, or his authorized agent, legal representative, or successor to his interest by operation of law;</span></p><p dir="ltr" class="s2068998Normal-000001"><span class="s2068998DefaultParagraphFont">(2)    "Transfer" includes a redemption or recall of stock;</span></p><p dir="ltr" class="s2068998Normal-000001"><span class="s2068998DefaultParagraphFont">(3)    "Wrongful transfer" means a transfer which is in excess of the authorization or capacity of the transferor, or which is made in breach of the transferor's fiduciary duty.</span></p><p dir="ltr" class="s2068998Normal"><span xml:space="preserve" class="s2068998000002"> </span></p><p dir="ltr" class="s2068998Normal"><span class="s2068998SCL">Source:</span><span xml:space="preserve" class="s2068998SCL-000003"> SDC 1939, § 11.1122 (2) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2068999Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068999SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068999CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2068999Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2068999DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068999000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2068999SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2068999SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2068999Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-35"><span class="s2068999SENU">47-16-35</span></a><span xml:space="preserve" class="s2068999SENU">. </span><span class="s2068999CL">Actions by stockholders or members--Allegations respecting ownership.</span></p><p dir="ltr" class="s2068999Normal-000000"><span class="s2068999DefaultParagraphFont">No action may be instituted or maintained in the right of any association by a member or stockholder unless he alleges in his complaint that he was a member or registered stockholder when any part of the transaction of which he complains took place, or that his stock thereafter devolved upon him by operation of law from a stockholder at such time.</span></p><p dir="ltr" class="s2068999Normal"><span xml:space="preserve" class="s2068999000001"> </span></p><p dir="ltr" class="s2068999Normal"><span class="s2068999SCL">Source:</span><span xml:space="preserve" class="s2068999SCL-000002"> SDC 1939, § 11.1153 (1) (a) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069000Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069000SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069000CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069000Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069000DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069000000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069000SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069000SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069000Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-36"><span class="s2069000SENU">47-16-36</span></a><span xml:space="preserve" class="s2069000SENU">. </span><span class="s2069000CL">Actions by stockholders or members--Additional allegations.</span></p><p dir="ltr" class="s2069000Normal-000000"><span class="s2069000DefaultParagraphFont">No action may be instituted or maintained in the right of any association by any member or stockholder unless he alleges in his complaint with particularity his efforts to secure from the board of directors such action as he desires. He shall allege further that he has either informed the corporation or board in writing of the ultimate facts of each cause of action against each director or that he has delivered to the cooperative or board a copy of the complaint which he proposes to file. He shall state the reasons for his failure to obtain such action or the reasons for not making such effort.</span></p><p dir="ltr" class="s2069000Normal"><span xml:space="preserve" class="s2069000000001"> </span></p><p dir="ltr" class="s2069000Normal"><span class="s2069000SCL">Source:</span><span xml:space="preserve" class="s2069000SCL-000002"> SDC 1939, § 11.1153 (1) (b) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069001Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069001SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069001CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069001Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069001DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069001000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069001SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069001SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069001Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-37"><span class="s2069001SENU">47-16-37</span></a><span xml:space="preserve" class="s2069001SENU">. </span><span class="s2069001CL">Approval of court required for termination of action.</span></p><p dir="ltr" class="s2069001Normal-000000"><span class="s2069001DefaultParagraphFont">An action instituted or maintained in the right of any association by any member or stockholder shall not be dismissed or compromised without the approval of the court.</span></p><p dir="ltr" class="s2069001Normal"><span xml:space="preserve" class="s2069001000001"> </span></p><p dir="ltr" class="s2069001Normal"><span class="s2069001SCL">Source:</span><span xml:space="preserve" class="s2069001SCL-000002"> SDC 1939, § 11.1153 (2) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069002Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069002SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069002CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069002Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069002DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069002000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069002SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069002SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069002Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-38"><span class="s2069002SENU">47-16-38</span></a><span xml:space="preserve" class="s2069002SENU">. </span><span class="s2069002CL">Expenses of maintaining action--Disposition of proceeds.</span></p><p dir="ltr" class="s2069002Normal-000000"><span class="s2069002DefaultParagraphFont">If anything is recovered or obtained as the result of an action instituted or maintained in the right of any association by any member or stockholder, whether by means of compromise and settlement or by a judgment, the court may, out of the proceeds of the action, award the plaintiff the reasonable expenses of maintaining the action, including reasonable attorney's fees, and may direct the plaintiff to account to the cooperative for the remainder of such proceeds.</span></p><p dir="ltr" class="s2069002Normal"><span xml:space="preserve" class="s2069002000001"> </span></p><p dir="ltr" class="s2069002Normal"><span class="s2069002SCL">Source:</span><span xml:space="preserve" class="s2069002SCL-000002"> SDC 1939, § 11.1153 (3) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069003Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069003SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069003CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069003Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069003DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069003000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069003SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069003SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069003Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-39"><span class="s2069003SENU">47-16-39</span></a><span xml:space="preserve" class="s2069003SENU">. </span><span class="s2069003CL">Security for costs--Amount of security.</span></p><p dir="ltr" class="s2069003Normal-000000"><span class="s2069003DefaultParagraphFont">In any action brought in the right of a cooperative by less than three percent of the members or by holders of less than three percent of any class of stock outstanding, the defendants may require the plaintiff to give security for the reasonable expenses of defending such action, including attorney's fees. The amount of such security may thereafter be increased or decreased in the discretion of the court upon showing that the security provided is or may be inadequate or is excessive.</span></p><p dir="ltr" class="s2069003Normal"><span xml:space="preserve" class="s2069003000001"> </span></p><p dir="ltr" class="s2069003Normal"><span class="s2069003SCL">Source:</span><span xml:space="preserve" class="s2069003SCL-000002"> SDC 1939, § 11.1153 (4) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069004Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069004SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069004CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069004Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069004DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069004000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069004SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069004SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069004Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-40"><span class="s2069004SENU">47-16-40</span></a><span xml:space="preserve" class="s2069004SENU">. </span><span class="s2069004CL">Distribution of net proceeds.</span></p><p dir="ltr" class="s2069004Normal-000000"><span xml:space="preserve" class="s2069004DefaultParagraphFont">At least once annually the directors of a cooperative shall determine and distribute net proceeds as provided by §§ </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-41"><span class="s2069004DefaultParagraphFont">47-16-41</span></a><span xml:space="preserve" class="s2069004DefaultParagraphFont"> to </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-53"><span class="s2069004DefaultParagraphFont">47-16-53</span></a><span class="s2069004DefaultParagraphFont">, inclusive.</span></p><p dir="ltr" class="s2069004Normal"><span xml:space="preserve" class="s2069004000001"> </span></p><p dir="ltr" class="s2069004Normal"><span class="s2069004SCL">Source:</span><span xml:space="preserve" class="s2069004SCL-000002"> SDC 1939, § 11.1131 as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069005Normal { text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2069005SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069005CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069005Normal-000000 { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2069005DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2069005Normal-000001 { margin-left: 0.70in; text-indent: -0.45in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-right: 0; margin-bottom: .001pt; } span.s2069005000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069005SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069005SCL-000003 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069005Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-41"><span class="s2069005SENU">47-16-41</span></a><span xml:space="preserve" class="s2069005SENU">. </span><span class="s2069005CL">Deductions from total proceeds.</span></p><p dir="ltr" class="s2069005Normal-000000"><span class="s2069005DefaultParagraphFont">In determining net proceeds of a cooperative, there shall be deducted from total proceeds:</span></p><p dir="ltr" class="s2069005Normal-000001"><span class="s2069005DefaultParagraphFont">(1)    All operating expenses and costs;</span></p><p dir="ltr" class="s2069005Normal-000001"><span class="s2069005DefaultParagraphFont">(2)    The cost of supplies, commodities, equipment, and other property or services procured or sold for patrons;</span></p><p dir="ltr" class="s2069005Normal-000001"><span class="s2069005DefaultParagraphFont">(3)    The cost of services performed for patrons;</span></p><p dir="ltr" class="s2069005Normal-000001"><span class="s2069005DefaultParagraphFont">(4)    All taxes and all other expenses;</span></p><p dir="ltr" class="s2069005Normal-000001"><span class="s2069005DefaultParagraphFont">(5)    Reasonable and necessary reserves for depreciation, depletion and obsolescence of physical property, doubtful accounts, and other valuation reserves, all of which shall be established in accordance with usual and customary accounting practices.</span></p><p dir="ltr" class="s2069005Normal"><span xml:space="preserve" class="s2069005000002"> </span></p><p dir="ltr" class="s2069005Normal"><span class="s2069005SCL">Source:</span><span xml:space="preserve" class="s2069005SCL-000003"> SDC 1939, § 11.1131 (1) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069006Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069006SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069006CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069006Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069006DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069006000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069006SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069006SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069006Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-42"><span class="s2069006SENU">47-16-42</span></a><span xml:space="preserve" class="s2069006SENU">. </span><span class="s2069006CL">Procedure for distribution.</span></p><p dir="ltr" class="s2069006Normal-000000"><span xml:space="preserve" class="s2069006DefaultParagraphFont">After the deductions required by § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-41"><span class="s2069006DefaultParagraphFont">47-16-41</span></a><span xml:space="preserve" class="s2069006DefaultParagraphFont">, the remainder of the total proceeds of a cooperative are net proceeds and shall be distributed and paid as provided by §§ </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-44"><span class="s2069006DefaultParagraphFont">47-16-44</span></a><span xml:space="preserve" class="s2069006DefaultParagraphFont"> and </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-45"><span class="s2069006DefaultParagraphFont">47-16-45</span></a><span class="s2069006DefaultParagraphFont">.</span></p><p dir="ltr" class="s2069006Normal"><span xml:space="preserve" class="s2069006000001"> </span></p><p dir="ltr" class="s2069006Normal"><span class="s2069006SCL">Source:</span><span xml:space="preserve" class="s2069006SCL-000002"> SDC 1939, § 11.1131 (2) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /> <HTML> <HEAD> <HTML> <HEAD> <meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS47-16-43 </title> <META NAME="Keywords" Content="South Dakota Codified Laws SDCL 47-16-43 "> <META NAME="Description" Content="South Dakota Codified Laws 47-16-43"> </HEAD> <BODY> <!-- File converted by Wp2Html Version 4.0 --> <!-- Email Andrew@brackenbeds.co.uk for more details --> <!-- WP Style Open: System_34 --><!-- WP Style End: System_34 --> <Div align="full"> <!-- WP Paired Style On: SENU -->&nbsp;&nbsp;&nbsp;&nbsp;<!-- WP Style End: SENU --> 47-16-43. <!-- WP Paired Style Off: SENU -->&nbsp;<!-- WP Style End: SENU --> Repealed by SL 2009, ch 230, &#167;&nbsp;1.<p> </BODY> </HTML> <br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069008Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069008SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069008CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069008Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069008DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069008000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069008SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069008SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069008Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-44"><span class="s2069008SENU">47-16-44</span></a><span xml:space="preserve" class="s2069008SENU">. </span><span class="s2069008CL">Payments to employees.</span></p><p dir="ltr" class="s2069008Normal-000000"><span class="s2069008DefaultParagraphFont">A share of the net proceeds of a cooperative may be set aside for or paid to employees. Such amount shall for all purposes except the computation of net proceeds be deemed an expense of operation of the cooperative.</span></p><p dir="ltr" class="s2069008Normal"><span xml:space="preserve" class="s2069008000001"> </span></p><p dir="ltr" class="s2069008Normal"><span class="s2069008SCL">Source:</span><span xml:space="preserve" class="s2069008SCL-000002"> SDC 1939, § 11.1131 (2) (b) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069009Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069009SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069009CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069009Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069009DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069009000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069009SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069009SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069009Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-45"><span class="s2069009SENU">47-16-45</span></a><span xml:space="preserve" class="s2069009SENU">. </span><span class="s2069009CL">Dividends on capital stock--Conditions to payment.</span></p><p dir="ltr" class="s2069009Normal-000000"><span class="s2069009DefaultParagraphFont">In a cooperative organized with capital stock such dividend from net proceeds may be paid upon capital stock as is authorized by the articles. No dividend may be paid if the capital is impaired or if payment of such dividend would result in an impairment of capital.</span></p><p dir="ltr" class="s2069009Normal"><span xml:space="preserve" class="s2069009000001"> </span></p><p dir="ltr" class="s2069009Normal"><span class="s2069009SCL">Source:</span><span xml:space="preserve" class="s2069009SCL-000002"> SDC 1939, § 11.1131 (2) (c) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069010Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069010SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069010CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069010Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069010DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069010000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069010SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069010SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069010Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-46"><span class="s2069010SENU">47-16-46</span></a><span xml:space="preserve" class="s2069010SENU">. </span><span class="s2069010CL">Distributions to patrons.</span></p><p dir="ltr" class="s2069010Normal-000000"><span xml:space="preserve" class="s2069010DefaultParagraphFont">Unless the articles or bylaws of a cooperative otherwise expressly provide, none of the remainder of the net proceeds after distributions and payments pursuant to §§ </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-44"><span class="s2069010DefaultParagraphFont">47-16-44</span></a><span xml:space="preserve" class="s2069010DefaultParagraphFont"> and </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-45"><span class="s2069010DefaultParagraphFont">47-16-45</span></a><span xml:space="preserve" class="s2069010DefaultParagraphFont"> shall constitute income of the cooperative but all thereof shall be distributed and paid to patrons, whether members or not, as provided by §§ </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-47"><span class="s2069010DefaultParagraphFont">47-16-47</span></a><span xml:space="preserve" class="s2069010DefaultParagraphFont"> to </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-49"><span class="s2069010DefaultParagraphFont">47-16-49</span></a><span class="s2069010DefaultParagraphFont">, inclusive.</span></p><p dir="ltr" class="s2069010Normal"><span xml:space="preserve" class="s2069010000001"> </span></p><p dir="ltr" class="s2069010Normal"><span class="s2069010SCL">Source:</span><span xml:space="preserve" class="s2069010SCL-000002"> SDC 1939, § 11.1131 (3) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069011Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069011SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069011CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069011Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069011DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069011000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069011SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069011SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069011Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-47"><span class="s2069011SENU">47-16-47</span></a><span xml:space="preserve" class="s2069011SENU">. </span><span class="s2069011CL">Creation of reserves--Credit to patrons.</span></p><p dir="ltr" class="s2069011Normal-000000"><span class="s2069011DefaultParagraphFont">Reasonable reserves for necessary purposes may be created by a cooperative, which shall be credited to patrons in accordance with the ratio which their patronage bears to total patronage.</span></p><p dir="ltr" class="s2069011Normal"><span xml:space="preserve" class="s2069011000001"> </span></p><p dir="ltr" class="s2069011Normal"><span class="s2069011SCL">Source:</span><span xml:space="preserve" class="s2069011SCL-000002"> SDC 1939, § 11.1131 (3) (a) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069012Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069012SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069012CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069012Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069012DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069012000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069012SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069012SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069012Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-48"><span class="s2069012SENU">47-16-48</span></a><span xml:space="preserve" class="s2069012SENU">. </span><span class="s2069012CL">Ratio of patronage as determining payment to patron.</span></p><p dir="ltr" class="s2069012Normal-000000"><span xml:space="preserve" class="s2069012DefaultParagraphFont">All the remainder of the net proceeds of a cooperative after reserves created pursuant to § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-47"><span class="s2069012DefaultParagraphFont">47-16-47</span></a><span xml:space="preserve" class="s2069012DefaultParagraphFont"> shall be distributed and paid to patrons in accordance with the ratio which their patronage bears to total patronage.</span></p><p dir="ltr" class="s2069012Normal"><span xml:space="preserve" class="s2069012000001"> </span></p><p dir="ltr" class="s2069012Normal"><span class="s2069012SCL">Source:</span><span xml:space="preserve" class="s2069012SCL-000002"> SDC 1939, § 11.1131 (3) (b) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069013Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069013SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069013CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069013Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069013DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069013000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069013SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069013SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069013Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-49"><span class="s2069013SENU">47-16-49</span></a><span xml:space="preserve" class="s2069013SENU">. </span><span class="s2069013CL">Classification of patrons.</span></p><p dir="ltr" class="s2069013Normal-000000"><span xml:space="preserve" class="s2069013DefaultParagraphFont">There shall be no distinction between the persons entitled to reserves and distributions under §§ </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-47"><span class="s2069013DefaultParagraphFont">47-16-47</span></a><span xml:space="preserve" class="s2069013DefaultParagraphFont"> and </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-48"><span class="s2069013DefaultParagraphFont">47-16-48</span></a><span class="s2069013DefaultParagraphFont">, but such reserves and distribution may be based upon business done with particular departments or in particular commodities, supplies, or services, or upon classification of business according to the type or nature thereof.</span></p><p dir="ltr" class="s2069013Normal"><span xml:space="preserve" class="s2069013000001"> </span></p><p dir="ltr" class="s2069013Normal"><span class="s2069013SCL">Source:</span><span xml:space="preserve" class="s2069013SCL-000002"> SDC 1939, § 11.1131 (3) (c) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069014Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069014SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069014CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069014Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069014DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069014000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069014SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069014SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069014Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-50"><span class="s2069014SENU">47-16-50</span></a><span xml:space="preserve" class="s2069014SENU">. </span><span class="s2069014CL">Credit to surplus and reserves.</span></p><p dir="ltr" class="s2069014Normal-000000"><span class="s2069014DefaultParagraphFont">If the articles or bylaws of a cooperative so provide, any of the net proceeds may be credited to allocated or unallocated surplus or reserves of the cooperative.</span></p><p dir="ltr" class="s2069014Normal"><span xml:space="preserve" class="s2069014000001"> </span></p><p dir="ltr" class="s2069014Normal"><span class="s2069014SCL">Source:</span><span xml:space="preserve" class="s2069014SCL-000002"> SDC 1939, § 11.1131 (4) (a) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069015Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069015SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069015CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069015Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069015DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069015000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069015SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069015SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069015Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-51"><span class="s2069015SENU">47-16-51</span></a><span xml:space="preserve" class="s2069015SENU">. </span><span class="s2069015CL">Remaining funds--Distribution to patrons--Distinction between members and nonmembers--Classification of patrons.</span></p><p dir="ltr" class="s2069015Normal-000000"><span xml:space="preserve" class="s2069015DefaultParagraphFont">If the articles or bylaws of a cooperative so provide, none of the remainder of the net proceeds after credits pursuant to § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-50"><span class="s2069015DefaultParagraphFont">47-16-50</span></a><span xml:space="preserve" class="s2069015DefaultParagraphFont"> shall constitute income to the cooperative, but all thereof shall be distributed and paid in accordance with the ratio which individual patronage bears to total patronage, either to all patrons, to member patrons only, or to all patrons with nonmembers receiving a lower proportion than members, as the bylaws may provide. There shall be no other distinction between members and nonmembers, but distribution may be based on business done with particular departments, or in particular commodities, supplies, or services, or upon classification of business according to type or nature thereof.</span></p><p dir="ltr" class="s2069015Normal"><span xml:space="preserve" class="s2069015000001"> </span></p><p dir="ltr" class="s2069015Normal"><span class="s2069015SCL">Source:</span><span xml:space="preserve" class="s2069015SCL-000002"> SDC 1939, § 11.1131 (4) (b) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069016Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069016SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069016CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069016Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069016DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069016000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069016SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069016SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069016Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-52"><span class="s2069016SENU">47-16-52</span></a><span xml:space="preserve" class="s2069016SENU">. </span><span class="s2069016CL">Manner of payment.</span></p><p dir="ltr" class="s2069016Normal-000000"><span xml:space="preserve" class="s2069016DefaultParagraphFont">The distribution and payment of net proceeds of a cooperative under §§ </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-46"><span class="s2069016DefaultParagraphFont">47-16-46</span></a><span xml:space="preserve" class="s2069016DefaultParagraphFont"> to </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-51"><span class="s2069016DefaultParagraphFont">47-16-51</span></a><span class="s2069016DefaultParagraphFont">, inclusive, may be in cash, credits, stock, certificates or interest, revolving fund certificates, letters of advice, or other certificates or securities of the cooperative or of other associations or corporations, in other property, or in any combination thereof.</span></p><p dir="ltr" class="s2069016Normal"><span xml:space="preserve" class="s2069016000001"> </span></p><p dir="ltr" class="s2069016Normal"><span class="s2069016SCL">Source:</span><span xml:space="preserve" class="s2069016SCL-000002"> SDC 1939, § 11.1131 (5) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069017Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069017SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069017CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069017Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069017DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069017000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069017SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069017SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069017Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-53"><span class="s2069017SENU">47-16-53</span></a><span xml:space="preserve" class="s2069017SENU">. </span><span class="s2069017CL">Application of proceeds to prior losses.</span></p><p dir="ltr" class="s2069017Normal-000000"><span class="s2069017DefaultParagraphFont">All or any part of the net proceeds of a cooperative may be applied to losses incurred in prior years, and the bylaws may also include any reasonable provisions for the apportionment of losses.</span></p><p dir="ltr" class="s2069017Normal"><span xml:space="preserve" class="s2069017000001"> </span></p><p dir="ltr" class="s2069017Normal"><span class="s2069017SCL">Source:</span><span xml:space="preserve" class="s2069017SCL-000002"> SDC 1939, § 11.1131 (6) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069018Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069018SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069018CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069018Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069018DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069018000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069018SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069018SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069018Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-54"><span class="s2069018SENU">47-16-54</span></a><span xml:space="preserve" class="s2069018SENU">. </span><span class="s2069018CL">Unclaimed credits--Forfeiture to cooperative.</span></p><p dir="ltr" class="s2069018Normal-000000"><span xml:space="preserve" class="s2069018DefaultParagraphFont">Any share of corporate stock membership, credit, dividend, profit, patronage refund, distribution, interest, payment, or other money or property right held by a cooperative for, or owing by it to, a member, stockholder, or participating patron, or other person or persons entitled thereto, who has not within six years claimed the same or corresponded in writing with the cooperative concerning the same may be forfeited to the cooperative in the manner provided by §§ </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-55"><span class="s2069018DefaultParagraphFont">47-16-55</span></a><span xml:space="preserve" class="s2069018DefaultParagraphFont"> to </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-59"><span class="s2069018DefaultParagraphFont">47-16-59</span></a><span class="s2069018DefaultParagraphFont">, inclusive.</span></p><p dir="ltr" class="s2069018Normal"><span xml:space="preserve" class="s2069018000001"> </span></p><p dir="ltr" class="s2069018Normal"><span class="s2069018SCL">Source:</span><span xml:space="preserve" class="s2069018SCL-000002"> SDC 1939, § 11.1132 as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069019Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069019SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069019CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069019Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069019DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069019000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069019SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069019SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069019Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-55"><span class="s2069019SENU">47-16-55</span></a><span xml:space="preserve" class="s2069019SENU">. </span><span class="s2069019CL">Procedure for forfeiture--Resolution--Time limit for claim.</span></p><p dir="ltr" class="s2069019Normal-000000"><span xml:space="preserve" class="s2069019DefaultParagraphFont">A motion or resolution may be passed or adopted by the board of directors of a cooperative declaring the forfeiture of any money or property described in § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-54"><span class="s2069019DefaultParagraphFont">47-16-54</span></a><span xml:space="preserve" class="s2069019DefaultParagraphFont"> unless the same is claimed by the person or persons entitled thereto within six months after notice of such forfeiture is given.</span></p><p dir="ltr" class="s2069019Normal"><span xml:space="preserve" class="s2069019000001"> </span></p><p dir="ltr" class="s2069019Normal"><span class="s2069019SCL">Source:</span><span xml:space="preserve" class="s2069019SCL-000002"> SDC 1939, § 11.1132 (1) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069020Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069020SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069020CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069020Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069020DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069020000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069020SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069020SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069020Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-56"><span class="s2069020SENU">47-16-56</span></a><span xml:space="preserve" class="s2069020SENU">. </span><span class="s2069020CL">Notice to claimant--Contents of notice.</span></p><p dir="ltr" class="s2069020Normal-000000"><span xml:space="preserve" class="s2069020DefaultParagraphFont">If the name and address of any person entitled to receive the money or property mentioned in § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-54"><span class="s2069020DefaultParagraphFont">47-16-54</span></a><span xml:space="preserve" class="s2069020DefaultParagraphFont"> is shown on the records of the cooperative, and the money or property is of the value of fifty dollars or more, a notice shall be mailed or electronically transmitted to each person at the last known address. The notice shall describe the money or property referred to, state the name of each person who appears to be entitled to money or property as shown by the records of the cooperative, and state that the money or property will be forfeited to the cooperative six months from the date the notice is mailed or electronically transmitted unless the money or property is claimed and proper evidence of ownership is submitted within that time. The notice shall be dated and signed and mailed or electronically transmitted on behalf of the cooperative by its secretary or any other duly authorized individual.</span></p><p dir="ltr" class="s2069020Normal"><span xml:space="preserve" class="s2069020000001"> </span></p><p dir="ltr" class="s2069020Normal"><span class="s2069020SCL">Source:</span><span xml:space="preserve" class="s2069020SCL-000002"> SDC 1939, § 11.1132 (2) as enacted by SL 1965, ch 23, § 1; SL 2018, ch 260, § 7.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069021Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069021SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069021CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069021Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069021DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069021000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069021SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069021SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069021Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-57"><span class="s2069021SENU">47-16-57</span></a><span xml:space="preserve" class="s2069021SENU">. </span><span class="s2069021CL">Notice by publication.</span></p><p dir="ltr" class="s2069021Normal-000000"><span xml:space="preserve" class="s2069021DefaultParagraphFont">If the name or address of any person entitled to receive the money or property described in § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-54"><span class="s2069021DefaultParagraphFont">47-16-54</span></a><span xml:space="preserve" class="s2069021DefaultParagraphFont"> is not shown upon the records of the cooperative, or if the name or address is known by the cooperative's secretary to be incorrect, then the cooperative shall publish a notice at least once in a newspaper of general circulation in the county of this state in which is located the last known address of each person to be named in the notice. If no address is listed or the address is outside this state, the notice shall be published in the county in which the holder of the property has its principal place of business within this state. No cooperative is required to publish any item that is less than one hundred twenty-five dollars, unless the cooperative considers the publication to be in the interest of the cooperative. The notice may state that the forfeiture becomes effective six months after the first publication.</span></p><p dir="ltr" class="s2069021Normal"><span xml:space="preserve" class="s2069021000001"> </span></p><p dir="ltr" class="s2069021Normal"><span class="s2069021SCL">Source:</span><span xml:space="preserve" class="s2069021SCL-000002"> SDC 1939, § 11.1132 (3) as enacted by SL 1965, ch 23, § 1; SL 2012, ch 224, § 2; SL 2013, ch 230, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069022Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069022SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069022CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069022Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069022DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069022000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069022SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069022SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069022Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-58"><span class="s2069022SENU">47-16-58</span></a><span xml:space="preserve" class="s2069022SENU">. </span><span class="s2069022CL">Applicability to preexisting claims.</span></p><p dir="ltr" class="s2069022Normal-000000"><span xml:space="preserve" class="s2069022DefaultParagraphFont">Sections </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-54"><span class="s2069022DefaultParagraphFont">47-16-54</span></a><span xml:space="preserve" class="s2069022DefaultParagraphFont"> to </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-57"><span class="s2069022DefaultParagraphFont">47-16-57</span></a><span xml:space="preserve" class="s2069022DefaultParagraphFont">, inclusive, apply to all money or property described in § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-54"><span class="s2069022DefaultParagraphFont">47-16-54</span></a><span class="s2069022DefaultParagraphFont">, payment or delivery of which was authorized either before or after July 1, 1965.</span></p><p dir="ltr" class="s2069022Normal"><span xml:space="preserve" class="s2069022000001"> </span></p><p dir="ltr" class="s2069022Normal"><span class="s2069022SCL">Source:</span><span xml:space="preserve" class="s2069022SCL-000002"> SDC 1939, § 11.1132 (4) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069023Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069023SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069023CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069023Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069023DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069023000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069023SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069023SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069023Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-59"><span class="s2069023SENU">47-16-59</span></a><span xml:space="preserve" class="s2069023SENU">. </span><span class="s2069023CL">Discretionary payment to claimant after forfeiture.</span></p><p dir="ltr" class="s2069023Normal-000000"><span xml:space="preserve" class="s2069023DefaultParagraphFont">Notwithstanding the forfeiture of any money or property as provided in §§ </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-54"><span class="s2069023DefaultParagraphFont">47-16-54</span></a><span xml:space="preserve" class="s2069023DefaultParagraphFont"> to </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-58"><span class="s2069023DefaultParagraphFont">47-16-58</span></a><span class="s2069023DefaultParagraphFont">, inclusive, the board of directors, in its discretion, at any time after such forfeiture, may authorize the payment of any such money, or delivery of any such property, to the person or persons who would have been entitled to receive the same in the absence of such forfeiture.</span></p><p dir="ltr" class="s2069023Normal"><span xml:space="preserve" class="s2069023000001"> </span></p><p dir="ltr" class="s2069023Normal"><span class="s2069023SCL">Source:</span><span xml:space="preserve" class="s2069023SCL-000002"> SDC 1939, § 11.1132 (5) as enacted by SL 1965, ch 23, § 1.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069024Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069024SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069024CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069024Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069024DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069024000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069024SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069024SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s2069024Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-60"><span class="s2069024SENU">47-16-60</span></a><span xml:space="preserve" class="s2069024SENU">. </span><span class="s2069024CL">Filing false document as felony.</span></p><p dir="ltr" class="s2069024Normal-000000"><span class="s2069024DefaultParagraphFont">A person who files, or causes to be filed, a document required to be filed by this chapter, which he knows to be materially false in any respect, is guilty of a Class 6 felony.</span></p><p dir="ltr" class="s2069024Normal"><span xml:space="preserve" class="s2069024000001"> </span></p><p dir="ltr" class="s2069024Normal"><span class="s2069024SCL">Source:</span><span xml:space="preserve" class="s2069024SCL-000002"> SL 1983, ch 15, § 38.</span></p></div></body></html><br /><hr><br /><html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 47-16 - COOPERATIVES--MEMBERSHIP, STOCK AND DISTRIBUTIONS</title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069025Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069025SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069025CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069025Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069025DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069025000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069025SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069025SCL-000002 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } body { text-decoration-skip-ink: none; } </style></head><body><div><p dir="ltr" class="s2069025Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-61"><span class="s2069025SENU">47-16-61</span></a><span xml:space="preserve" class="s2069025SENU">. </span><span class="s2069025CL">Report of forfeited sums to administrator.</span></p><p dir="ltr" class="s2069025Normal-000000"><span xml:space="preserve" class="s2069025DefaultParagraphFont">Cooperatives organized pursuant to chapters </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-15"><span class="s2069025DefaultParagraphFont">47-15</span></a><span xml:space="preserve" class="s2069025DefaultParagraphFont"> and </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-21"><span class="s2069025DefaultParagraphFont">47-21</span></a><span xml:space="preserve" class="s2069025DefaultParagraphFont"> shall report to the administrator all sums forfeited pursuant to procedures as provided in §§ </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-54"><span class="s2069025DefaultParagraphFont">47-16-54</span></a><span xml:space="preserve" class="s2069025DefaultParagraphFont"> to </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=47-16-59"><span class="s2069025DefaultParagraphFont">47-16-59</span></a><span class="s2069025DefaultParagraphFont">, inclusive. A municipally owned utility which provides for forfeiture of unclaimed property by ordinance shall deposit sums forfeited to its treasury and annually report such deposits to the administrator.</span></p><p dir="ltr" class="s2069025Normal"><span xml:space="preserve" class="s2069025000001"> </span></p><p dir="ltr" class="s2069025Normal"><span class="s2069025SCL">Source:</span><span xml:space="preserve" class="s2069025SCL-000002"> SL 1992, ch 312, § 40.</span></p></div></body></html>