5981 - Proceedings upon petition of member, etc.
SUBCHAPTER G INVOLUNTARY LIQUIDATION AND DISSOLUTION Sec. 5981. Proceedings upon petition of member, etc. 5982. Proceedings upon petition of creditor. 5983. Proceedings upon petition of superior religious organization. 5984. Appointment of receiver pendente lite and other interim powers. 5985. Liquidating receiver. 5986. Qualifications of receivers. 5987. Proofs of claims. 5988. Discontinuance of proceedings; reorganization. 5989. Articles of involuntary dissolution. Subchapter Heading. The heading of Subchapter G was amended December 21, 1988, P.L.1444, No.177, effective October 1, 1989. Cross References. Subchapter G is referred to in sections 5764, 5930, 5976, 5979 of this title. § 5981. Proceedings upon petition of member, etc. The court may, upon petition filed by a member or director of a nonprofit corporation, entertain proceedings for the involuntary winding up and dissolution of the corporation, when any of the following are made to appear: (1) That the objects of the corporation have wholly failed; or are entirely abandoned, or that their accomplishment is impracticable. (2) That the acts of the directors, or those in control of the corporation, are illegal, oppressive, or fraudulent, and that it is beneficial to the interests of the members that the corporation be wound up and dissolved. (3) That the corporate assets are being misapplied or wasted, and that it is beneficial to the interests of the members that the corporation be wound up and dissolved. (4) That the directors or other body are deadlocked in the management of the corporate affairs and the members are unable to break the deadlock, and that irreparable injury to the corporation is being suffered or is threatened by reason thereof. (Dec. 21, 1988, P.L.1444, No.177, eff. Oct. 1, 1989) 1988 Amendment. Act 177 amended the section heading. Cross References. Section 5981 is referred to in section 5764 of this title.