§ 170106 - Restrictions

CHAPTER 1701— PARALYZED VETERANS OF AMERICA

(a) The corporation may not engage in business for profit.

(b) The corporation may not issue stock.

(c) The corporation shall be nonpolitical and may not provide financial aid to, or otherwise promote the candidacy of, an individual seeking public office.

(d) The income or assets of the corporation may not inure to the benefit of, or be distributed to, a director, officer, member, or employee during the life of the corporation or on its dissolution or final liquidation. This subsection does not prevent the payment of reasonable compensation to an officer or employee or reimbursement for actual necessary expenses in amounts approved by the board of directors.

(e) The corporation may not make a loan to a director, officer, member, or employee. Directors who vote for or assent to making such a loan, and officers who participate in making the loan, are jointly and severally liable to the corporation for the amount of the loan until it is repaid.

Notes

Historical and Revision Notes RevisedSectionSource (U.S. Code)Source (Statutes at Large) 170106(a), (b)36:1155.Aug. 11, 1971, Pub. L. 92–93, §§ 5, 6, 14, 85 Stat. 318, 319. 170106(c)36:1156. 170106(d)36:1164(a). 170106(e)36:1164(b).

In subsection (a), the words “pecuniary” and “or gain” are omitted as unnecessary.

In subsection (b), the word “capital” is omitted as unnecessary.

In subsection (c), the words “as an organization” are omitted as unnecessary.

In subsection (d), the words “inure to the benefit of” are substituted for “inure to” for consistency in the revised title.