KRS 272.010: Definitions.

(1) As used in KRS 272.020 to 272.044:

(a) "Cooperative corporation" means a business concern that distributes the net

profit of its business by first paying a fixed dividend upon its stock, if any, and

then prorating the remainder of its profits as patronage refunds to its

stockholders, members or customers, as provided in bylaws;

(b) "Patronage refund" means the portion of net profit returned to member patrons

or to all patrons in proportion to their patronage. In the case of an employee

cooperative in which only employees are voting members, "pat ronage" means

the amount or value of work performed by an employee, as provided in

bylaws;

(c) "Stockholder" means the holder of voting stock in a cooperative corporation

organized with shares;

(d) "Member" means the holder of a membership in a cooperative corporation

organized with memberships;

(e) "Membership" means a lifetime payment made to a cooperative corporation to

secure or provide services, not made in expectation of dividend or profit, and

without any redemption value except at time of dissolutio n. The articles of

incorporation or bylaws may specify the conditions under which a

membership may be terminated;

(f) "Nonprofit basis" means that no part of the income or profit of the cooperative

corporation is distributable to its members, directors or officers except in the

form of patronage refunds;

(g) "Entity" includes a domestic or foreign corporation and corporation; not -for-

profit corporation; profit and not -for-profit unincorporated association;

business or statutory trust; estate; partnership; l imited partnership; limited

liability company; trust; two (2) or more persons having a joint or common

economic interest; and state, United States, and foreign government;

(h) "Name of record with the Secretary of State" means any real, fictitious,

reserved, registered, or assumed name of a business entity; and

(i) "Real name" shall have the meaning set forth in KRS 365.015.

(2) As used in KRS 272.360 to 272.510, unless the content for such requires otherwise,

the term:

(a) "Livestock" shall mean sheep, cat tle, hogs, horses, jacks, mules, poultry, or

any other animal or bird commonly kept on the farm;

(b) "Farmer" shall mean any individual, firm, partnership, limited partnership,

limited liability company, corporation, or farm management group which

derives a portion or all of its income from the production of live stock

domiciled on a farm within the Commonwealth;

(c) "Member" shall include actual members of the association organized under

KRS 272.360 to 272.510;

(d) "Association" means any corporation organized under KRS 272.360 to

272.510; and

(e) "Department" shall mean the Department of Agriculture.

(3) Associations organized under KRS 272.360 to 272.510 shall be termed nonprofit

inasmuch as they are not organized to make profit for themselves.