sch.6-sec.62Winding up (CNL Part 4.5 )

sch.6-sec.62 Winding up (CNL Part 4.5 )

A non-distributing co-operative is prohibited from distributing any surplus to members either during its operations or when it is wound up. If there are surplus funds after winding up, those funds must be given to another entity that also prevents distribution to its members. The co-operative may specify this entity in its rules and if the entity, for some reason, no longer exists when the co-operative is wound up, then the rule can provide a process for determining an alternative recipient of the funds. The winding up of the co-operative must be in accordance with Part 4.5 of the Law. If, on the winding up or dissolution, there remains after the satisfaction of all its debts and liabilities any property, this must not be paid to or distributed among the members of the co-operative but must be given or transferred to ...................... (insert name of entity to receive surplus) . If the entity specified in subrule (2) does not exist at the time of the winding up or dissolution of the co-operative, any surplus property after the satisfaction of all its debts and liabilities must be given or transferred to an institution or institutions: with objects similar to those of the co-operative; and whose constitution prohibits the distribution of its property among its members; and chosen by the members of the co-operative at or before the dissolution or, in default, by a judge of the court with jurisdiction in the matter. If the co-operative does not wish to specify an entity to receive any surplus after winding up the following subrule is suitable: If, on the winding up or dissolution, there remains any property after the satisfaction of all its debts and liabilities, this must not be paid to or distributed among the members of the co-operative but must be given or transferred to an institution or institutions: with objects similar to those of the co-operative; and whose constitution prohibits the distribution of its property among its members; and chosen by the members of the co-operative at or before the dissolution or, in default, by a judge of the court with jurisdiction in the matter. (sch.6-sec.62-ssec.1) The winding up of the co-operative must be in accordance with Part 4.5 of the Law. (sch.6-sec.62-ssec.2) If, on the winding up or dissolution, there remains after the satisfaction of all its debts and liabilities any property, this must not be paid to or distributed among the members of the co-operative but must be given or transferred to ...................... (insert name of entity to receive surplus) . (sch.6-sec.62-ssec.3) If the entity specified in subrule (2) does not exist at the time of the winding up or dissolution of the co-operative, any surplus property after the satisfaction of all its debts and liabilities must be given or transferred to an institution or institutions: with objects similar to those of the co-operative; and whose constitution prohibits the distribution of its property among its members; and chosen by the members of the co-operative at or before the dissolution or, in default, by a judge of the court with jurisdiction in the matter. (sch.6-sec.62-note-oc.2-frag-ssec.2) If, on the winding up or dissolution, there remains any property after the satisfaction of all its debts and liabilities, this must not be paid to or distributed among the members of the co-operative but must be given or transferred to an institution or institutions: with objects similar to those of the co-operative; and whose constitution prohibits the distribution of its property among its members; and chosen by the members of the co-operative at or before the dissolution or, in default, by a judge of the court with jurisdiction in the matter.