16-16-1211 - Administrative dissolution.

16-16-1211. Administrative dissolution.
(1) The division may dissolve a limited cooperative association administratively if theassociation does not:
(a) pay, not later than 60 days after the due date, any fee, tax, or penalty due to thedivision under this chapter or other law; or
(b) deliver not later than 60 days after the due date its annual report to the division.
(2) If the division determines that a ground exists for dissolving a limited cooperativeassociation administratively, the division shall file a record of the determination and serve theassociation with a copy of the record.
(3) If, not later than 60 days after service of a copy of the division's determination underSubsection (2), the association does not correct each ground for dissolution or demonstrate to thesatisfaction of the division that each uncorrected ground determined by the division does notexist, the division shall dissolve the association administratively by preparing and filing adeclaration of dissolution which states the grounds for dissolution. The division shall serve theassociation with a copy of the declaration.
(4) A limited cooperative association that has been dissolved administratively continuesits existence only for purposes of winding up its activities.
(5) The administrative dissolution of a limited cooperative association does not terminatethe authority of its agent for service of process.

Enacted by Chapter 363, 2008 General Session