Code of Alabama - Title 2: Agriculture - Section 2-10-58 - Provisions of bylaws

Section 2-10-58 - Provisions of bylaws.

Each association incorporated under this article shall, within 30 days after its incorporation, adopt for its government and management bylaws not inconsistent with the powers granted by this article. A majority vote of the members or stockholders or their written assent is necessary to adopt such bylaws. Each association, under its bylaws, may also provide for any or all of the following matters:

(1) The time, place and manner of calling and conducting its meetings;
(2) The number of stockholders or members constituting a quorum;
(3) The right of members or stockholders to vote by proxy or by mail or by both and the conditions, manner, form and effects of such votes;
(4) The number of directors constituting a quorum;
(5) The qualification, compensation, duties and term of office of directors and officers, the time of their election and the mode and manner of giving notice thereof;
(6) Penalties for violations of the bylaws;
(7) The amount of entrance, organization and membership fees, if any, the manner and method of collection of the same and the purposes for which they may be used;
(8) The amount which each member or stockholder shall be required to pay annually or from time to time, if at all, to carry on the business of the association, the charge, if any, to be paid by each member or stockholder for services rendered by the association to him and the time of payment and manner of collection and the marketing contract between the association and its members or stockholders which every member or stockholder may be required to sign;
(9) The number and qualification of members or stockholders of the association and the conditions precedent to membership or ownership of common stock and the method, time and manner of permitting members to withdraw or the holders of common stock to transfer their stock;
(10) The manner of assignment and transfer of the interest of members and of the shares of common stock;
(11) The conditions upon which and the time when membership of any member shall cease;
(12) The automatic suspension of the rights of a member when he ceases to be eligible to membership in the association and the mode, manner and effect of the expulsion of a member; and
(13) The manner of determining the value of a member's interest and provision for its purchase by the association upon the death or withdrawal of a member or stockholder or upon the expulsion of a member or forfeiture of his membership or, at the option of the association, by conclusive appraisal by the board of directors.

In case of the withdrawal or expulsion of a member, the board of directors shall equitably and conclusively appraise his property interests in the association and shall fix the amount thereof in money which shall be paid to him within one year after such expulsion or withdrawal.

(Acts 1921, Ex. Sess., No. 31, p. 38; Code 1923, §7135; Code 1940, T. 2, §93.)

Last modified: May 3, 2021