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2018 Georgia Code 14-3-612 | Car Wreck Lawyer

TITLE 14 CORPORATIONS, PARTNERSHIPS, AND ASSOCIATIONS

Section 3. Nonprofit Corporations, 14-3-101 through 14-3-1703.

ARTICLE 6 MEMBERSHIP

14-3-612. Liability for dues, assessments, or fees.

A member may become liable to the corporation for dues, assessments, or fees; provided, however, that an article or bylaw provision or a resolution adopted by the board authorizing or imposing dues, assessments, or fees does not, of itself, create liability.

(Code 1981, §14-3-612, enacted by Ga. L. 1991, p. 465, § 1.)

COMMENT

This section is taken from the Model Act. Unlike shareholders of business corporations, who rarely obligate themselves to make continuing payments to the corporation, members of nonprofit corporations often agree to make payments to the corporation. This section is intended to clarify that the mere existence of a bylaw provision or director resolution purporting to impose dues or assessments does not create liability for a member without that member's agreement or consent or knowing acceptance of something of value from the corporation.

Difficult factual questions concerning whether there has been consent will no doubt arise. A member's agreement to abide by the corporation's bylaws, as amended from time to time, would not evidence such consent. On the other hand, a member's agreement to pay such dues, fees or assessments as the board may from time to time establish would evidence such consent.

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