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Title 36, Patriotic and National ObservancesRelease 119-110

§70107 Restrictions

Title 36 › Subtitle II — Patriotic and National Organizations › Part B — Organizations › CHAPTER 701 — FLEET RESERVE ASSOCIATION › § 70107

Last updated Sep 22, 2026|Official source

Summary

The corporation must not issue stock or pay dividends. While its charter under this chapter is in effect, its income or assets cannot be used for the personal gain of a director, officer, or member. The board of directors may approve reasonable pay for officers or employees and repayment for actual necessary expenses. The corporation also may not lend money to its directors, officers, employees, or members, and it may not claim approval or authority from Congress or the U.S. Government for its activities.

Full Legal Text

Title 36, §70107

Patriotic and National Observances, Source: USLM XML via OLRC

(a)Stock and Dividends.—
The corporation may not issue stock or declare or pay a dividend.
(b)Distribution of Income or Assets.—
The income or assets of the corporation may not inure to the benefit of, or be distributed to, a director, officer, or member during the life of the charter granted by this chapter. This subsection does not prevent the payment of reasonable compensation to an officer or employee or reimbursement for actual necessary expenses in amounts approved by the board of directors.
(c)Loans.—
The corporation may not make a loan to a director, officer, employee, or member.
(d)Claim of Governmental Approval or Authority.—
The corporation may not claim congressional approval or the authority of the United States Government for any of its activities.

Legislative History

Notes & Related Subsidiaries

Historical and Revision Notes

Revised SectionSource (U.S. Code)Source (Statutes at Large) 70107(a)36:5608(c).Sept. 23, 1996, Pub. L. 104–201, title XVIII, § 1808(a)–(d), 110 Stat. 2761. 70107(b)36:5608(a). 70107(c)36:5608(b). 70107(d)36:5608(d). In subsection (a), the words “any shares of” are omitted as unnecessary. In subsection (b), the words “This subsection does not” are substituted for “Nothing in this subsection may be construed to” for consistency in the revised title. In subsection (d), the words “by virtue of this chapter” are omitted as unnecessary.

Reference

Citations & Metadata

Citation

36 U.S.C. § 70107

Title 36, Patriotic and National Observances

Last Updated

Sep 22, 2026

Release point: 119-110