Title 36 — Patriotic and National ObservancesRelease 119-73
§130306 Restrictions
Title 36 › Subtitle Subtitle II— - Patriotic and National Organizations › Part Part B— - Organizations › Chapter CHAPTER 1303— - LEGION OF VALOR OF THE UNITED STATES OF AMERICA, INCORPORATED › § 130306
Summary
The corporation cannot issue stock, pay dividends, or help political parties or candidates. Its income or assets cannot benefit directors, officers, or members except on dissolution or liquidation; officer pay needs executive committee approval. Loans to directors, officers, or employees are banned; approvers must repay.
Full Legal Text
Title 36, §130306
Patriotic and National Observances — Source: USLM XML via OLRC
(a)The corporation may not issue stock or declare or pay a dividend.
(b)The corporation or a director or officer as such may not contribute to, support, or assist a political party or candidate for public office.
(c)The income or assets of the corporation may not inure to the benefit of, or be distributed to, a director, officer, or member except on dissolution or final liquidation of the corporation. This subsection does not prevent the payment of compensation to an officer in an amount approved by the executive committee of the corporation.
(d)The corporation may not make a loan to a director, officer, or employee. Directors who vote for or assent to making a loan to a director, officer, or employee, and officers who participate in making the loan, are jointly and severally liable to the corporation for the amount of the loan until it is repaid.
Legislative History
Notes & Related Subsidiaries
Historical and Revision Notes
Revised SectionSource (U.S. Code)Source (Statutes at Large) 130306(a)36:642.Aug. 4, 1955, ch. 546, §§ 9, 10, 12, 69 Stat. 489. 130306(b)36:640. 130306(c)36:639(a). 130306(d)36:639(b). In subsection (a), the words “any shares of” are omitted as unnecessary. In subsection (b), the words “or otherwise” are omitted as unnecessary. In subsection (c), the words “inure to the benefit of” are substituted for “inure to” for consistency in the revised title. The words “as provided in section 645 of this title” are omitted as unnecessary. The words “This subsection does not prevent” are substituted for “Nothing in this subsection, however, shall be construed to prevent” for consistency in the revised title and to eliminate unnecessary words. The reference to the “executive committee of the corporation” is retained although 36:637 and 36:638 do not create an executive committee.
Reference
Citations & Metadata
Citation
36 U.S.C. § 130306
Title 36 — Patriotic and National Observances
Last Updated
Apr 6, 2026
Release point: 119-73