Utah § 7-3-15 - Dividends allowed -- Surplus requirements.
Full text of Utah Utah Code § 7-3-15 — Dividends allowed -- Surplus requirements., with citation guidance and answers to common questions.
§ 7-3-15. Dividends allowed -- Surplus requirements.
7-3-15. Dividends allowed -- Surplus requirements.
| (1) | The board of directors of a bank may declare a cash or stock dividend out of the net profits of the bank after providing for all expenses, losses, interest, and taxes accrued or due from the bank, as it shall judge expedient. |
| (2) | Before any dividend is declared pursuant to Subsection (1), not less than 10% of the net profits of the bank for the period covered by the dividend shall be carried to a surplus fund until the surplus shall amount to 100% of its capital stock. |
| (3) | Under this section, any amounts paid into a fund for the retirement of any debenture capital or preferred stock of the bank from its net earnings for the period covered by the dividend shall be considered an addition to its surplus fund if, upon the retirement of the debenture capital or preferred stock, the amount paid into the retirement fund for the period may be properly carried to the surplus fund of the bank. In this case the bank shall be obligated to transfer to the surplus fund the amount paid into the retirement fund. |
Amended by Chapter 97, 2014 General Session
Frequently Asked Questions About Utah § 7-3-15
What does Utah Code § 7-3-15 cover?
Section 7-3-15 ("Dividends allowed -- Surplus requirements.") is part of the Utah Code, the codified statutory law of Utah. 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 Utah § 7-3-15?
A common citation format is "Utah Code § 7-3-15" (Utah). 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 Utah law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Utah official source linked on this page or consult a licensed Utah attorney.
How does Utah § 7-3-15 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Utah 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 Utah.