16-6a-606. Transfers.
(1) Except as provided in Subsection, and unless otherwise provided in the articles of incorporation or the bylaws, a member of a nonprofit corporation may not transfer: (3) a membership; or any right arising from a membership.
(2) Except as provided in Subsection, where transfer rights have been provided in the articles of incorporation or the bylaws of a nonprofit corporation, a restriction on transfer rights may not be binding with respect to a member holding a membership issued before the adoption of the restriction, unless the restriction is approved by the affected member. (3)
(3) For a water company, unless otherwise provided by the articles of incorporation or bylaws, ownership of shares is transferrable. Any restriction on the transfer of ownership under Subsection: (3)(a) shall be reasonable; shall be adopted in good faith and for a legitimate purpose; shall be adopted in the best interest of the water company and its shareholders; and may not discriminate against any individual shareholder or class of shareholders, but in a company where there are classes or divisions of stock, restrictions may differ between the classes or divisions. Nothing in this section is intended to alter any right or remedy a shareholder may have under Sections,,,,, and, or any other applicable law. 16-6a-612 16-6a-808 16-6a-809 16-6a-822 16-6a-824 16-6a-825