Distributions prohibited; compensation and other permitted payments.

NRS 81.855 Distributions prohibited; compensation and other permitted payments. 1. Except as otherwise provided in subsection 2, an unincorporated nonprofit association may not pay dividends or make distributions to a member or manager. 2. An unincorporated nonprofit association may: (a) Pay reasonable compensation or reimburse reasonable expenses to a member or manager for services rendered; (b) Confer benefits on a member or manager in conformity with its nonprofit purposes; (c) Repurchase a membership and repay a capital contribution made by a member to the extent authorized by its governing principles; or (d) Make distributions of property to members upon winding up and termination to the extent permitted by NRS 81.870. (Added to NRS by 2009, 698)