Bill Text: NY A10336 | 2017-2018 | General Assembly | Amended
Bill Title: Establishes that no corporation shall have a membership comprised of fewer than three persons, except for a corporation that has no members; may have a corporation, joint-stock association, unincorporated association or partnership as a sole member, if it is owned or controlled by no fewer than three persons.
Spectrum: Slight Partisan Bill (Democrat 8-4)
Status: (Passed) 2018-12-21 - signed chap.411 [A10336 Detail]
Download: New_York-2017-A10336-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 10336--A IN ASSEMBLY April 10, 2018 ___________ Introduced by M. of A. PAULIN, COOK, MONTESANO, BARRON, GUNTHER, JAFFEE, MAGNARELLI, RIVERA, ERRIGO, GALEF -- Multi-Sponsored by -- M. of A. CROUCH, LAWRENCE -- read once and referred to the Committee on Corpo- rations, Authorities and Commissions -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said commit- tee AN ACT to amend the not-for-profit corporation law, in relation to requiring that no corporation have a membership of fewer than three persons The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Paragraph (a) of section 601 of the not-for-profit corpo- 2 ration law, as amended by chapter 549 of the laws of 2013, is amended to 3 read as follows: 4 (a) A corporation shall have one or more classes of members, or, in 5 the case of a charitable corporation, may have no members, in which case 6 any such provision for classes of members or for no members shall be set 7 forth in the certificate of incorporation or the by-laws. Corporations, 8 joint-stock associations, unincorporated associations and partnerships, 9 as well as any other person without limitation, may be members, provided 10 however, that effective July first, two thousand nineteen, no corpo- 11 ration except a corporation that has no members, shall have a membership 12 comprised of fewer than three persons. A corporation may have a corpo- 13 ration, joint-stock association, unincorporated association or partner- 14 ship as a sole member, if such corporation, joint-stock association, 15 unincorporated association or partnership is owned or controlled by no 16 fewer than three persons. 17 § 2. This act shall take effect immediately. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD15274-02-8