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District of Columbia · Through 2026-08-20 (D.C. Law 26-175)

D.C. Code § 29-1122: Distributions prohibited; compensation and other permitted payments.

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Where this section sits in the code
  1. Title 29. Business Organizations. [Enacted title]
  2. Chapter 11. Unincorporated Nonprofit Associations.

(a)

Except as otherwise provided in subsection (b) of this section, an unincorporated nonprofit association shall not pay dividends or make distributions to a member or manager.

(b)

An unincorporated nonprofit association may:

(1)

Pay reasonable compensation or reimburse reasonable expenses to a member or manager for services rendered;

(2)

Confer benefits on a member or manager in conformity with its nonprofit purposes;

(3)

Repurchase a membership and repay a capital contributions made by a member to the extent authorized by its governing principles; or

(4)

Make distributions of property to members upon winding up and termination to the extent permitted by § 29-1125.

Collected 2026-08-29T05:44:07Z. Source file · JSON

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