Title 36 — Patriotic and National ObservancesRelease 119-73
§220114 Distribution of assets on dissolution or final liquidation
Title 36 › Subtitle Subtitle II— - Patriotic and National Organizations › Part Part B— - Organizations › Chapter CHAPTER 2201— - UNITED SERVICE ORGANIZATIONS, INCORPORATED › § 220114
Summary
On closing, after debts are paid, the board of governors must distribute any leftover assets under the bylaws; those assets are permanently for charity and may go only to organizations run exclusively for charitable purposes.
Full Legal Text
Title 36, §220114
Patriotic and National Observances — Source: USLM XML via OLRC
On dissolution or final liquidation of the corporation, any assets remaining after the discharge of all liabilities shall be distributed as provided by the board of governors, but in compliance with the bylaws. However, the assets of the corporation are irrevocably dedicated to charitable purposes and may not inure to the benefit of a private person except a fund, foundation, or organization operated exclusively for charitable purposes.
Legislative History
Notes & Related Subsidiaries
Historical and Revision Notes
Revised SectionSource (U.S. Code)Source (Statutes at Large) 22011436:1304(c).Dec. 29, 1979, Pub. L. 96–165, § 4(c), 93 Stat. 1269. The word “satisfaction” is omitted as included in “discharge”, and the word “obligations” is omitted as included in “liabilities”. The word “outstanding” is omitted as unnecessary. The words “as provided by” are substituted for “in accordance with the determination of” for consistency in the revised title. The words “and all Federal and State laws applicable thereto” are omitted as unnecessary. The word “organization” is substituted for “association, or corporation” to omit unnecessary words.
Reference
Citations & Metadata
Citation
36 U.S.C. § 220114
Title 36 — Patriotic and National Observances
Last Updated
Apr 6, 2026
Release point: 119-73