Vt. Stat. Ann. tit. 11C, § 604
Security interest and set-off
Redline — January 1, 2022 → current.View current text →
Current — June 1, 2022
As of January 1, 2022
(1) A member or transferee may create an enforceable security interest in its financial rights in a mutual benefit enterprise.
(1) A member or transferee may create an enforceable security interest in its financial rights in a mutual benefit enterprise.
(2) Unless the organic rules otherwise provide, a member may not create an enforceable security interest in the member's governance rights in a mutual benefit enterprise.
(2) Unless the organic rules otherwise provide, a member may not create an enforceable security interest in the member’s governance rights in a mutual benefit enterprise.
(3) The organic rules may provide that a mutual benefit enterprise has a security interest in the financial rights of a member to secure payment of any indebtedness or other obligation of the member to the enterprise. A security interest provided for in the organic rules is enforceable under and governed by 9A V.S.A. article 9.
(3) The organic rules may provide that a mutual benefit enterprise has a security interest in the financial rights of a member to secure payment of any indebtedness or other obligation of the member to the enterprise. A security interest provided for in the organic rules is enforceable under and governed by 9A V.S.A. article 9.
(4) Unless the organic rules otherwise provide, a member may not compel the mutual benefit enterprise to offset financial rights against any indebtedness or obligation owed to the enterprise. Added 2011, No. 84 (Adj. Sess.), § 1, eff. April 20, 2012.
(4) Unless the organic rules otherwise provide, a member may not compel the mutual benefit enterprise to offset financial rights against any indebtedness or obligation owed to the enterprise.
Official source: Vermont General Assembly. Reproduced from public-domain Vermont statutes; confirm against the official source for the current text. Not legal advice.