{"data":{"id":"us-ky/krs-272a.6-040","jurisdiction":"us-ky","citation":"KRS 272A.6-040","heading":"Security interest and set-off.","body":"(1) A member or transferee may create an enforceable security interest in its financial\nrights in a limited cooperative association.\n(2) Unless the organic rules otherwise provide, a member may not create an enforceable\nsecurity interest in the member's govern ance rights in a limited cooperative\nassociation.\n(3) The organic rules may provide that a limited cooperative association has a security\ninterest in the financial rights of a member to secure payment of any indebtedness or\nother obligation of the member to the association. A security interest provided for in\nthe organic rules is enforceable under, and governed by, Article 9 of KRS Chapter\n355.\n(4) Unless the organic rules otherwise provide, a member may not compel the limited\ncooperative association to off set financial rights against any indebtedness or\nobligation owed to the association.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=41024","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:53:22Z","sha256":"0578352554a9726a2018b2c1e3529f09813e274f03dd20a51a863cc032673e03","source_id":"us-ky","stale":false,"prev":"us-ky/krs-272a.6-030","next":"us-ky/krs-272a.6-050"},"notice":"GroundRules: Original legal text. Not legal advice."}