16-16-804. Election of directors and composition of board.

256 words·~1 min read·/ut/title-16/chapter-16/16-16-804

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(1)Unless the organic rules require a greater number:

(a)the number of directors that shall be patron members may not be fewer than:

(i)one, if there are two or three directors;

(ii)two, if there are four or five directors;

(iii)three, if there are six through eight directors; or

(iv)1/3 of the directors if there are at least nine directors; and

(b)a majority of the board of directors shall be elected exclusively by patron members.

(2)Unless the organic rules otherwise provide, if a limited cooperative association has investor members, the directors who are not elected exclusively by patron members are elected by the investor members.

(3)Subject to Subsection

(1), the organic rules may provide for the election of all or a specified number of directors by one or more districts or classes of members.

(4)Subject to Subsection

(1), the organic rules may provide for the nomination or election of directors by districts or classes, directly or by district delegates.

(5)If a class of members consists of a single member, the organic rules may provide for the member to appoint a director or directors.

(6)Unless the organic rules otherwise provide, cumulative voting for directors is prohibited.

(7)Except as otherwise provided by the organic rules, Subsection

(5), or Sections 16-16-303 , 16-16-516 , 16-16-517 , and 16-16-809 , member directors shall be elected at an annual members meeting.

Amended by Chapter 378 , 2010 General Session