Article 13. Consequences of the change in membership in the Production Cooperative of the Production Cooperative Act

Home / RLA / Article 13. Consequences of the change in membership in the Production Cooperative of the Production Cooperative Act

1. In case of withdrawal of a cooperative member from the cooperative at his own discretion, as well as exclusion from it (paragraphs 1 and 2 of Article 11 of this Law), the cooperative member must be paid or given his share, as well as other payments provided for by the charter.

A share or other property is issued to a retiring member of the cooperative at the end of the financial year and the approval of the cooperative's balance sheet.

By agreement of the retiring member with the cooperative, the payment of the share value may be replaced by the disbursement of property in kind.

The retiring member of the cooperative is also paid the part of the profit due to him, received by the cooperative in this year, for the period of his stay in the cooperative this year.

2. Payments for personal labor participation in the activities of the cooperative are made within one month from the date of termination of membership in the cooperative.

3. If a member of the cooperative is expelled for violating the obligation to participate personally in the activities of the cooperative, the said member of the cooperative does not participate in the distribution of profits earned during the period when he did not work in this cooperative.

4. The property transferred by the outgoing participant to the use of the cooperative shall be returned without remuneration, unless otherwise provided by the founding documents of the cooperative.

4-1. Upon withdrawal of a member from the cooperative, the allocation of a land plot in kind, the right to which has been transferred as a contribution to the production cooperative (including the right to a conditional land share), is carried out in accordance with the procedure established by the land legislation of the Republic of Kazakhstan.

5. If the heir of a deceased cooperative member refuses to join the cooperative or the cooperative refuses to accept the heir, he is paid a share in the property proportional to the share of the deceased cooperative member, as well as a portion of the net income of the cooperative due to the deceased and remuneration for personal labor participation in the activities of the cooperative.

6. When a member(s) of a cooperative acquires a share or part of a share of a retired cooperative member, the acquirer's share in the cooperative's property increases in proportion to the increase in his share.

7. When a cooperative pays or issues a share to a retired cooperative member or his heirs, as well as when creditors foreclose on a cooperative member's share of his personal debts, the shares of the remaining cooperative members increase in proportion to the size of their share set on the day of withdrawal.

8. When a new member is admitted to the cooperative and makes a property contribution, the new size of the cooperative members' shares in its property is determined.

The Law of the Republic of Kazakhstan dated October 5, 1995 N 2486.

President

Republic of Kazakhstan

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