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Arizona Revised Statutes - Title 6 Banks and Financial Institutions - Chapter 3 Savings and Loan Associations

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  • 6-401 - Definitions
    In this chapter, unless the context otherwise requires: 1. "Account" means withdrawable capital deposited with or invested in an association in accordance with any plan...
  • 6-402 - Scope of chapter; application to federal associations and federal savings banks
    A. This chapter applies to all existing savings and loan associations, and other similar associations and savings banks by whatever name called, organized under this...
  • 6-403 - Prohibitions
    Except as authorized under this title: 1. No person or group of persons shall transact business within the scope of this chapter or do any...
  • 6-404 - General corporate powers
    An association operating under this chapter shall be a body corporate and politic and shall have all of the specific powers conferred by this chapter...
  • 6-405 - Power to borrow
    A. No insured institution shall borrow an aggregate amount exceeding one half the amount paid in and credited on accounts, except that with prior approval...
  • 6-405.01 - Capital notes and debentures
    A. With prior approval of the superintendent an association may issue and sell its capital notes or debentures. B. Capital notes and debentures legally issued...
  • 6-406 - Incidental powers
    An association also shall have any power conferred on a corporation by the general corporation laws of the state, and any power not prohibited by...
  • 6-407 - Applicants and initial capital
    A. Any five or more adult individuals, residents of this state, may apply for a permit to organize an association under this article. The minimum...
  • 6-408 - Application for permit to organize
    The application for a permit to organize an association shall be addressed to the superintendent in such form as he shall provide; shall be in...
  • 6-409 - Findings and hearings
    If the superintendent does not deny the application on the basis of the data submitted by the applicants and any other information in his possession,...
  • 6-410 - Superintendent's approval and issuance of permit to organize
    The superintendent shall not approve the application and issue a permit to organize unless he shall find: 1. A need exists for an association, and...
  • 6-411 - Subscription to capital and temporary organization
    Upon receipt of the permit to organize an association, the applicants shall constitute the organization committee and shall perfect a temporary organization by electing a...
  • 6-412 - Completion of organization
    A. When the board of directors has organized as provided in this chapter and the report of such organization has been filed with the superintendent,...
  • 6-413 - Contents of articles of incorporation
    A. The articles of incorporation shall set forth: 1. The name of the association. 2. The location of the principal place of business. 3. The...
  • 6-414 - Members
    A. The membership of an association shall consist of: 1. Every holder of an account or one or more shares of guaranty capital issued by...
  • 6-415 - Members' meetings
    A. Each annual meeting of the members shall be held at the time specified in the articles of incorporation; but the failure to hold an...
  • 6-416 - Record date for voting, dividend and other purposes
    For the purpose of determining the holders of accounts and of shares of guaranty capital, and membership entitled to notice of or to vote at...
  • 6-417 - Directors
    The business affairs of the association shall be exercised by its board of directors, which shall be elected, and shall exercise its powers, as follows:...
  • 6-418 - Waiver of notice
    Whenever notice is required to be given under this chapter, a waiver thereof in writing signed by the person or persons entitled to said notice...
  • 6-419 - Officers
    A. The officers of an association shall consist of a president, one or more vice presidents, secretary, treasurer, and such other officers as the by-laws...
  • 6-420 - Bonds of officers and employees
    A. Every person appointed or elected to any position requiring the receipt, payment, management or use of money belonging to an association, or whose duties...
  • 6-421 - Access to books and records; communication with members
    A. Every member or holder of capital shall have the right to inspect such books and records of the association as pertain to his account....
  • 6-422 - Types of capital; personal property
    A. The capital of an association may be represented by capital notes and debentures, accounts or guaranty capital, as provided in this article and as...
  • 6-423 - Accounts
    A. An association may maintain all types of deposit accounts and prescribe those terms and conditions relating to the accounts as are permissible for the...
  • 6-424 - Shares of guaranty capital; nature; consideration
    A. Shares of guaranty capital shall constitute a secondary reserve out of which losses shall be paid after all other available reserves have been exhausted,...
  • 6-425 - Shares of guaranty capital; authorization of issuance; minimum amount
    A. An association may provide for the issuance of shares of guaranty capital, either by its original articles of incorporation or by an amendment thereto....
  • 6-426 - Shares of guaranty capital; rights of existing shareholders
    When an association already in operation amends its articles of incorporation to authorize the issuance of shares of guaranty capital, or when an association already...
  • 6-427 - Shares of guaranty capital; advertisement; sales; collection of subscription
    A. All prospectae and advertising matter regarding the subscription for shares of guaranty capital shall include a statement to the effect that such shares of...
  • 6-428 - Retirement or reduction of shares of guaranty capital
    A. The board of directors of an association operating with guaranty capital may propose an amendment to the articles of incorporation providing for the retirement...
  • 6-429 - Issuance, delivery, and transfer of certificates and account books
    A. An association may evidence an account by one or more appropriate certificates. B. The holder of an account may transfer his rights in the...
  • 6-430 - Who may hold capital and membership
    Accounts, shares of guaranty capital, and membership in an association may be held: 1. By any person in his own right, regardless of his age...
  • 6-432 - Effect of payment to minor or fiduciary
    A. Unless the written agreement provides otherwise, or unless the association has had written notice of the terms under which a fiduciary holds an account,...
  • 6-433 - Payment on disability or death of holder in his own right of account
    A. If the holder in his own right of an account becomes disabled and a conservator has been appointed, by a court of competent jurisdiction,...
  • 6-434 - Shares and accounts of certain associations as legal investments; deposit of fiduciary monies
    A. All accounts of a federal savings and loan association and all accounts of a savings and loan association operating under the provisions of this...
  • 6-435 - Voluntary withdrawal of accounts
    A. A holder of an account may make application for withdrawal of, and the association may pay, all or any part of the withdrawal value...
  • 6-436 - Maturity of shares
    A. When a regular installment or prepaid share reaches maturity value by reason of payments or dividend credits, or both, all payments thereon by the...
  • 6-437 - Enforced retirement of accounts
    A. The board of directors, when authorized by the by-laws, and in conformity with the provisions of this section and of the by-laws, may retire...
  • 6-438 - Authorized charges applicable to members
    An association may charge initial membership fee and a fee for transfer of membership or capital, as may be authorized by the by-laws, but no...
  • 6-439 - Accounts subject to liens
    Every account shall be subject to a lien for the payment of such charges as lawfully may accrue thereon under the provisions of this chapter,...
  • 6-440 - Apportionment of profits
    The board of directors may apportion the profits of the association as the bylaws may prescribe, and each apportionment shall be made in accordance with...
  • 6-442 - Dividends and interest
    A. Subject to the restrictions set forth in this section and the association's bylaws, an association from time to time may determine the term, rate...
  • 6-443 - Bonus plans
    For the purpose of encouraging thrift, systematic savings and long-term investment, the board of directors may establish by resolution bonus plans for holders of accounts....
  • 6-444 - Promotional activities prohibited
    After the effective date hereof, an association shall not give for the opening of, or increasing the amount of, any account, any give-away that has...
  • 6-446 - Other investments and powers
    A. An association may invest funds as follows: 1. In an account of any state or federal association, the accounts of which are insured by...
  • 6-449 - General loan contract provisions
    A. Each loan, and any agreement for securing the same, shall be evidenced by one or more written instruments, consistent with sound lending practices in...
  • 6-450 - Modification agreements
    The association at any time may enter into a written agreement with the borrower to modify, in any manner not inconsistent with the provisions of...
  • 6-451 - Servicing of loans
    An association may contract to service a loan in any manner unless restricted by regulations prescribed by the superintendent and shall require sufficient compensation to...
  • 6-452 - Purchase of real or personal property at forced sale
    An association may purchase, at any sheriff's or other judicial sale, either public or private, any real or personal property upon which the association has...
  • 6-453 - Purchase of real estate for office and rental purposes
    An association may invest in land upon which to erect an office building, an office building or buildings and appurtenances, for the transaction of such...
  • 6-454 - Appraisal of real estate owned
    At the time of acquisition by purchase, foreclosure or otherwise, an association shall cause to be appraised, in the manner, and by appraisers appointed in...
  • 6-456 - Effect of unauthorized investments and loans; liability of officers
    A. Every loan or other investment made in violation of this chapter shall be due and payable according to its terms, and the obligation thereof...
  • 6-457 - Appraisals
    Every appraisal or reappraisal of property which an association is required to make shall be made as follows: 1. In accordance with the superintendent's rules...
  • 6-458 - Acknowledgments
    No acknowledgment of a deed, mortgage, or other instrument shall be invalid because such acknowledgment was taken before an officer authorized by the laws of...
  • 6-459 - Amendment of articles of incorporation
    An association may amend its articles of incorporation from time to time, in accordance with the procedure prescribed in this article; but the articles of...
  • 6-460 - Procedure to amend articles of incorporation
    The procedure to effect an amendment of articles of incorporation shall be as follows: 1. The board of directors shall adopt a resolution setting forth...
  • 6-461 - Existing associations; adoption of articles and by‑laws
    6-461. Existing associations; adoption of articles and by-laws Any existing association may, at an annual or special meeting, amend its present articles of incorporation or...
  • 6-462 - Conversion from state to federal association
    Any association operating under this chapter may become a federal association pursuant to the laws and regulations of the United States and in accordance with...
  • 6-463 - Conversion from federal to state association
    A. Any federal association may become an association operating under this chapter, pursuant to the laws and regulations of the United States and in accordance...
  • 6-464 - Effect of conversion
    When an association effects a conversion in accordance with either of the two preceding sections, the corporate functions of such association shall not be interrupted;...
  • 6-465 - Merger of associations or corporations
    A. An association operating under this chapter may merge into or with one or more associations, whether operating under this chapter or otherwise, or into...
  • 6-466 - Effect of merger
    A. The continuing association or corporation shall be considered the same business and corporate entity as each merging association or corporation, with all of the...
  • 6-467 - Authority to liquidate
    An association may liquidate voluntarily in accordance with a plan of voluntary liquidation which has been adopted in the manner provided in this article.
  • 6-468 - Decision as to liquidation; adoption of plan
    A. At any annual or special meeting of the members, the members may vote to liquidate the association, and may adopt a plan of liquidation...
  • 6-469 - Election of liquidators; report; supervision
    A. Upon adoption of a plan of voluntary liquidation, the members shall proceed to elect, with cumulative voting permitted as in elections of directors, not...
  • 6-470 - Protection and liquidation of assets
    The liquidators are authorized to advance funds of the association and to take such other action as is advisable to preserve, protect, or purchase at...
  • 6-471 - Filing and payment of claims
    A. The liquidators shall fix a time for all persons having claims against the association, other than as members thereof, to present such claims, and...
  • 6-472 - Final distribution and dissolution
    When all assets have been liquidated and all expenses, claims and holders of withdrawable capital have been paid, dissolution of the association shall be accomplished...
  • 6-474 - Accounting practices and records
    A. Every association shall maintain in this state a detailed record of all transactions of the association at its home office, or at a branch...
  • 6-475 - Branch office
    A. A branch office is a legally established place of business of the association, other than the home office, authorized by the board of directors...
  • 6-476 - Examination
    The superintendent shall make a report of each examination to the board of directors of the association examined, and if the affairs of the association...
  • 6-477 - Audit by public accountant
    An audit of the affairs of the association shall be made annually as of the end of its fiscal year by or under the direction...
  • 6-478 - Reports to superintendent and members
    A. Every association operating under this chapter shall file with the superintendent within sixty days following the close of each fiscal year of such association,...
  • 6-479 - Information to federal authorities
    The superintendent may give copies of reports of his examinations of an association, and copies of the association's reports to him, and any other information...
  • 6-482 - Receiver; appointment; transfer of assets; powers; liability
    A. If the court grants a petition for receivership filed by the superintendent, the superintendent shall be appointed as receiver and may forthwith take possession...
  • 6-483 - Procedure for liquidation; rights of share transferor
    A. The liquidation under this article of an association, and a receivership thereof, may, at the discretion of the receiver or receivers, be conducted and...
  • 6-484 - Illegal use of name; classification
    No person shall use the name "building and loan company", "building and loan association", "savings and loan company", or "savings and loan association" unless complying...
  • 6-486 - Rehabilitation of associations; definition of plan
    A. When the business, property and affairs of any association are in the possession of the superintendent for liquidation, or when an association is in...
  • 6-487 - Proposal of plan; petition; notice of hearing
    A. A plan may be proposed by the superintendent or by an association subject to the approval of the superintendent. If proposed by an association,...
  • 6-488 - Hearing; fairness of plan
    A. At the time and place fixed for the hearing, or at the time and place to which the hearing may be continued by the...
  • 6-489 - Consents required for plan to operate; exceptions
    A. After completion of the hearing provided by section 6-488, the court shall approve, modify or disapprove the plan. The plan shall not become operative...
  • 6-490 - Time of giving consents; jurisdiction of court
    A. The consents required by section 6-489 may be given before the plan is presented to the court, or after the presentation and before the...
  • 6-491 - Effect of approval and consents
    A. When a plan has been approved by the court and the required consents given, the plan shall be binding upon the superintendent, the association,...
  • 6-492 - Appeals
    A. An appeal from an order of the superior court approving a plan shall not be effectual for any purpose, unless within thirty days after...
  • 6-493 - Securities defined; power to issue under plan
    A. The term "securities", as used in this article in respect to any plan, includes not only shares of guaranty capital and evidences of accounts...
  • 6-494 - Authority of fiduciaries
    An executor, administrator, guardian, receiver, trustee of any kind or nature, and an insurance company may consent to any plan or exchange any shares of...
  • 6-495 - Reservation of powers to legislature
    The legislature shall have power to amend, repeal, or modify this chapter, and such amendments or modifications shall be binding upon any and all associations...
  • 6-496 - Applicability of other statutes
    Whenever in any statute the terms "savings and loan", "building and loan", "mutual building and loan", or other similar names are used with reference to...
  • 6-497 - Effect on existing associations
    With respect to any existing association: 1. The valid articles of incorporation, bylaws, shares, contracts and obligations of such association shall continue in full force...
  • Last modified: February 19, 2012