South Carolina § 31-1-640 - Surplus; maximum payments on dissolution.
Full text of South Carolina South Carolina Code of Laws § 31-1-640 — Surplus; maximum payments on dissolution., with citation guidance and answers to common questions.
§ 31-1-640. Surplus; maximum payments on dissolution.
The amounts of net earnings transferable to surplus in any year after making or providing for the payments specified in Section 31-1-620 shall be subject to the approval of the director. The amount of such surplus shall not exceed fifteen percent of the outstanding capital stock and income debentures of the corporation, but the surplus so limited shall not be deemed to include any increase in assets due to the reduction of a mortgage or amortization or similar payments. On dissolution of any limited dividend housing corporation the stockholders and income debenture certificate holders shall in no event receive more than the par value of their stock and debentures plus accumulated, accrued and unpaid dividends or interest and any remaining surplus shall be paid into the general fund of the State.
HISTORY: 1962 Code SECTION 36-54; 1952 Code SECTION 36-54; 1942 Code SECTION 5271-24; 1933 (38) 176; 1993 Act No. 181, SECTION 501.
Source: official South Carolina text · Last verified 2026-08-27
Frequently Asked Questions About South Carolina § 31-1-640
What does South Carolina Code of Laws § 31-1-640 cover?
Section 31-1-640 ("Surplus; maximum payments on dissolution.") is part of the South Carolina Code of Laws, the codified statutory law of South Carolina. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite South Carolina § 31-1-640?
A common citation format is "South Carolina Code of Laws § 31-1-640" (South Carolina). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of South Carolina law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the South Carolina official source linked on this page or consult a licensed South Carolina attorney.
How does South Carolina § 31-1-640 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in South Carolina can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in South Carolina.