Title 47 — CORPORATIONS

All after - acquired property of a cooperative described or referred to as being mortgaged or pledged in any mortgage, deed of trust, or other instrument described in § 47-21-46 , shall become subject to the lien thereof immediately upon the acquisition of such property by such c…

The lien upon personal property of any mortgage, deed of trust, or other instrument described in § 47-21-46 shall, after recordation thereof, continue in existence and of record for the period of time specified therein without the refiling thereof or the filing of any renewal cer…

Each incorporator of a cooperative shall be a member thereof, but no other person may become a member thereof unless such other person agrees to use electric energy furnished by the cooperative when it is made available through its facilities. Source: SL 1947, ch 33 , § 9; SDC Su…

The name of a cooperative shall be distinct from the name of any other cooperative or corporation organized under the laws of, or authorized to do business in this state. Source: SL 1947, ch 33 , § 5; SDC Supp 1960, § 11.2205.

Any member of a cooperative, other than a member which is itself a cooperative, who agrees to use electric energy shall cease to be a member if he does not use electric energy supplied by the cooperative within six months after it is made available to him or if electric energy is…

A husband and wife may hold a joint membership in a cooperative. Membership in a cooperative shall not be transferable, except as provided in the bylaws. The bylaws may prescribe additional qualifications and limitations in respect of membership. Source: SL 1947, ch 33 , § 9; SDC…

No member shall be liable or responsible for any debts of the cooperative and the property of the members shall not be subject to execution therefor. Source: SL 1947, ch 33 , § 25; SDC Supp 1960, § 11.2225.

An annual meeting of the members of a cooperative shall be held at such time and place as shall be provided by the bylaws. Source: SL 1947, ch 33 , § 10; SDC Supp 1960, § 11.2210 (1).

Special meetings of the members of a cooperative may be called by the president, by the board of directors, by any three directors, or by not less than ten percentum of the members. Source: SL 1947, ch 33 , § 10; SDC Supp 1960, § 11.2210 (2).

Except as otherwise provided in this chapter, written or printed notice stating the time and place of each meeting of the members of a cooperative, and, in the case of a special meeting, the purpose or purposes for which the meeting is called, shall be given to each member, eithe…

Unless the bylaws prescribe the presence of a greater percentage or number of the members for a quorum, a quorum for the transaction of business at all meetings of the members of a cooperative having not more than one thousand members, shall be five percent of all members, presen…

Each member of a cooperative is entitled to one vote on each matter submitted to a vote at a meeting of the members. The spouse of a member may vote on behalf of the member unless the member has indicated otherwise. Members may vote by mail for any issue authorized by the bylaws …

Any person entitled to notice of a meeting may waive such notice in writing either before or after such meeting. If any such person shall attend such meeting, such attendance shall constitute a waiver of notice of such meeting, unless such person participates therein solely to ob…

A cooperative shall have power to sue and be sued in its corporate name. Source: SL 1947, ch 33 , § 4; SDC Supp 1960, § 11.2204 (1).

Five or more natural persons, or two or more cooperatives, may organize a cooperative in the manner hereinafter provided. Source: SL 1947, ch 33 , § 6; SDC Supp 1960, § 11.2206.

A cooperative shall have power to have perpetual existence. Source: SL 1947, ch 33 , § 4; SDC Supp 1960, § 11.2204 (2).

A cooperative shall have power to adopt a corporate seal and alter the same. Source: SL 1947, ch 33 , § 4; SDC Supp 1960, § 11.2204 (3).

A cooperative may generate, manufacture, purchase, acquire, accumulate, and transmit electric energy, and may distribute, sell, supply, and dispose of electric energy to its members, to governmental agencies and political subdivisions, and to other persons. Source: SL 1947, ch 33…

A cooperative may construct, purchase, lease as lessee, or otherwise acquire, and equip, maintain, and operate, and sell, assign, convey, lease as lessor, mortgage, pledge, or otherwise dispose of or encumber, transmission and distribution lines or systems, electric generating pl…

A cooperative shall have power to purchase, lease as lessee, or otherwise acquire, and to use, and exercise and to sell, assign, convey, mortgage, pledge, or otherwise dispose of or encumber, franchises, rights, privileges, licenses, and easements. Source: SL 1947, ch 33 , § 4; S…

A cooperative shall have power to borrow money and otherwise contract indebtedness, and to issue notes, bonds, and other evidences of indebtedness, and to secure the payment thereof by mortgage, pledge, or deed of trust of, or any other encumbrance upon, any or all of its then ow…

A cooperative may construct, maintain, and operate transmission and distribution lines along, upon, under, and across publicly owned lands and public thoroughfares, including all roads, highways, streets, alleys, bridges, and causeways. Source: SL 1947, ch 33 , § 4; SDC Supp 1960…

A cooperative shall have power to exercise the power of eminent domain in the manner provided by the laws of this state for the exercise of such power by other corporations constructing or operating electric transmission and distribution lines or systems. Source: SL 1947, ch 33 ,…

A cooperative may become a member of other cooperatives, corporations, or organizations engaged in the purposes as set forth in § 47-21-2 , and may own stock therein. Source: SL 1947, ch 33 , § 4; SDC Supp 1960, § 11.2204 (10); SL 1989, ch 392 , § 2; SL 1994, ch 349 , § 4.

A cooperative shall have power to conduct its business and exercise its powers within or without this state. Source: SL 1947, ch 33 , § 4; SDC Supp 1960, § 11.2204 (11).

Articles of incorporation of a cooperative shall recite that they are executed pursuant to this chapter and shall state: (1) The name of the cooperative; (2) The address of its principal office; (3) The names and addresses of the incorporators; and (4) The names and addresses of …

A cooperative shall have power to adopt, amend, and repeal bylaws. Source: SL 1947, ch 33 , § 4; SDC Supp 1960, § 11.2204 (12).

A cooperative shall have power to do and perform any other acts and things, and to have and exercise any other powers which may be necessary, to accomplish the purpose for which the cooperative is organized. Source: SL 1947, ch 33 , § 4; SDC Supp 1960, § 11.2204 (13).

A cooperative shall be operated on a nonprofit basis for the mutual benefit of its members and patrons. The bylaws of a cooperative or its contracts with consumers shall contain provisions relative to the disposition of revenues and receipts necessary and appropriate to establish…

A director of a rural electric cooperative shall not be liable for any unauthorized dividend or distribution of assets if he relied and acted in good faith upon financial statements of the cooperative represented to him to be correct by the president or the officer of the coopera…

Subject to the provisions of §§ 31-26-1 to 31-26-8 , inclusive, any municipal corporation or county may grant to any cooperative, upon such terms as the proper authorities thereof shall determine, the use of any street or highway within its limits for the purposes set forth in § …

Any foreign nonprofit or cooperative corporation supplying or authorized to supply electric energy and owning or operating electric transmission or distribution lines in an adjacent state may construct or acquire extensions of such lines in this state and operate such extensions.…

Construction of electric lines by a cooperative shall comply with the standards of the National Electrical Safety Code in effect at the time of the construction. Proof of compliance with the requirements of the applicable National Electrical Safety Code establishes due care in th…

If the proposed amendment, with any changes, is approved by the affirmative vote of not less than two - thirds of those members voting thereon at such meeting, articles of amendment shall be executed and acknowledged on behalf of the cooperative by its president or vice - preside…

The provisions of chapter 47-31B do not apply to any note, bond or other evidence of indebtedness issued by any cooperative pursuant to this chapter to the United States of America or any agency or other instrumentality thereof, to any member of such cooperative, or to any mortga…

This chapter shall be construed liberally. The enumeration of any object, purpose, power, manner, method, or thing shall not be deemed to exclude like or similar objects, purposes, powers, manners, methods, or things. Source: SL 1947, ch 33 , § 34; SDC Supp 1960, § 11.2234.

No action or suit may be brought against a cooperative or foreign corporation doing business in this state pursuant to this chapter, or against any agent, servant, or employee thereof, by reason of the maintenance of electric transmission or distribution lines on any real propert…

A cooperative may amend its articles of incorporation by complying with the requirements of this section and § 47-21-9 , provided, however, that a change of location of principal office may be effected in the manner set forth in §

If any provision of this chapter or the application of such provision to any person or circumstance is held invalid, the remainder of the chapter and the application of such provision to other persons or circumstances shall not be affected thereby. Source: SL 1947, ch 33 , § 35; …

This chapter may be cited as the "Electric Cooperative Law." Source: SL 1947, ch 33 , § 1; SDC Supp 1960, § 11.2201.

Unless otherwise provided in its articles, a cooperative may use its property and funds to promote and encourage economic development and may lend money for any purpose the board of directors determines to be in the best interest of the cooperative. However, such loans may only b…

Any cooperative organized under this chapter is subject to §§ 47-16-54 to 47-16-57 , inclusive. The provisions of §§ 47-16-54 to 47-16-57 , inclusive, apply to all money or property described in § 47-16-54 the payment or delivery of which was authorized either before or after Jul…

The provisions of §§ 49-31-60 and 49-31-61 apply to all cooperatives organized under this chapter. Source: SL 1997, ch 258 , § 3.

The articles of amendment required by § 47-21-8 shall recite that they are executed pursuant to this chapter and shall state: (1) The name of the cooperative; (2) The address of its principal office; and (3) The amendment to its articles of incorporation. The president or vice - …