KRS 272.151: Bylaws, adoption, contents -- Withdrawal of member -- Rights --

Amendment of bylaws.

(1) Each association shall within thirty (30) days after its incorporation, adopt for its

government and management a code of bylaws. The affirmative vote of not less

than two -thirds (2/3) of the members present and voting at a meeting, of which

reasonable notice of the proposed bylaws shall have been given, is sufficient to

adopt such bylaws.

(2) An association in its bylaws may provide for any, or all, of the following:

(a) The time, place, and manner of calling and conducting its meetings.

(b) The number of members constituting a quorum.

(c) The right of members to vote by proxy or by mail, or by both, and the

conditions, manner, form, and effects of such votes.

(d) The number of directors constituting a quorum.

(e) The offices, qualifications, compensations, duties and terms of office of

directors and officers; time of their election, and the mode and manner of

giving notice thereof.

(f) Penalties for violations of the bylaws.

(g) The amount of entrance, organization, and membership fees, if any; the

manner and method of collection of the same, and the purposes for which they

may be used.

(h) The amount which each member shall be required to pay annually, or from

time to time, if at all, to carry on the business of the association; the charge, if

any, to be paid by each member directly or by utilization of retained earnings

for services rendered by the association to him, and the time of payment and

the manner of collection; and the marketing agreement between the

association and its members, which every member may be required to sign.

(i) The number and qualification of members of the association and the

conditions precedent to membership; the method, time, a nd manner of

permitting members to withdraw; the manner of assignment and transfer of

the interest of members, and of stock; the conditions upon which, and the time

when membership of any member shall cease; the automatic suspension of the

rights of a memb er when he ceases to be eligible to membership in the

association, and mode, manner, and effect of the expulsion of a member,

manner of determining the value of a member's interest and provision for its

purchase by the association upon the death or withdra wal of a member, or

upon the expulsion of a member or forfeiture of his membership, or at the

option of the association, by conclusive appraisal by the board.

(3) Unless provided otherwise in an association's bylaws, the board shall equitably and

conclusively appraise the value of a withdrawing or expelled member's property

interest in the association and shall fix the amount thereof in money and shall

determine the manner in which the association shall pay the member the value of

his interest.

(4) The bylaws of an association may be amended, changed, or altered at any time by

the affirmative vote of not less than two -thirds (2/3) of the members of the board

present and voting at any regular or special meeting of the board of directors duly

called and held.