Section 12454.5

Corp. Code § 12454.5 — under California Corp. Code.

Corp. Code § 12454.5

(a) A worker cooperative may create an indivisible reserves account that shall not be distributed to members.

(b) Funds in the indivisible reserves account shall only derive from non-patronage-sourced income, in a manner provided in the articles or bylaws, or by the board, and shall be used as capital for the cooperative.