{"data":{"id":"us-ky/krs-279.500","jurisdiction":"us-ky","citation":"KRS 279.500","heading":"Nonprofit operation.","body":"(1) A cooperative shall be operated on a nonprofit basis for the mutual benefit of its\nmembers and patrons. The bylaws of a cooperative or its contracts with members\nand patrons shall contain such provisions relative to the disposition of revenue and\nreceipts as may be necessary and appropriate to establish and maintain its nonprofit\nand cooperative character. In the case of a cooperative authorized to issue shares of\nstock, such bylaws or contracts shall provide that no moneys shall be paid or credits\ngiven on the basis of patronage except after the declaration or payment of dividends\non the outstanding shares of stock in accordance with the articles of incorporation\nof the cooperative, and such bylaws or contracts shall otherwise be consistent with\nthe cooperative's obligations in respect of such shares of stock.","path":["KRS Chapter 279"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=14226","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:53:32Z","sha256":"4af0d35f81b2e0e2cc3303df44afd7405e352099128150ea7ae16d091ed424b0","source_id":"us-ky","stale":false,"prev":"us-ky/krs-279.490","next":"us-ky/krs-279.510"},"notice":"GroundRules: Original legal text. Not legal advice."}