S-24 - Act respecting cooperative agricultural associations

Section 14 Disposition versions

1977-12-31

14. In the case of a shareholder-producer neglecting or refusing to fulfil the provisions of the contract which binds him to the cooperative association of which he is a member, or if, at the expiration of such contract, he neglects or refuses to enter into another contract for a further period of three years, the board of directors may, if it deems it expedient, strike off such shareholder-producer from the list of members of the cooperative and convert his ordinary shares into preferred shares.

No such preferred shares may again become ordinary shares. The holder of such shares, in order to again become a member of the cooperative, must subscribe for new ordinary shares, as if he had never been a member of such cooperative.

R. S. 1964, c. 124, s. 14.