Introduced By: Senators Bates and Irons
Date Introduced : March 19, 1999
It is enacted by the General Assembly as follows:
SECTION 1. Chapter 7-1 of the General Laws entitled "Corporations Generally" is hereby amended by adding thereto the following section:
{ADD 7-1-5.2. Mutual insurance associations, applicability of chapter. -- ADD} {ADD Notwithstanding any provision of section 7-1-5 to the contrary, and without intending hereby to limit those sections of chapter 1.1 of title 7 which may not be applicable to mutual associations by reason of the fact that such associations do not have shareholders, the following sections of Chapter 7-1.1 of Title 7 shall not apply to any insurance company organized as a mutual association: Section 7-1.1-5 Right of a corporation to acquire and dispose of its own shares, Section 7-1.1-14 Authorized shares, Section 7-1.1-19 Determination of amount of stated capital, Section 7-1.1-30 Quorum of shareholders required for shareholders' action, Section 7-1.1-62 Cancellation of other reacquired shares, Section 7-1.1-63 Reduction of stated capital in certain cases, Section 7-1.1-64 Creation and application of surplus and reserves, Section 7-1.1-73 Rights of shareholders to dissent, Section 7-1.1-74 Rights of dissenting shareholders, Section 7-1.1-90.1 Avoidance of a dissolution by stock buyout, and Section 7-1.1-123 License fees payable by domestic corporations. ADD}
SECTION 2. This act shall take effect upon passage.
