Vermont § 1207 - Distribution of assets in winding up mutual benefit enterprise

§ 1207. Distribution of assets in winding up mutual benefit enterprise

• (a) In winding up a mutual benefit enterprise’s business, the enterprise shall apply its
  assets to discharge its obligations to creditors, including members that are creditors.
  The enterprise shall apply any remaining assets to pay in money the net amount distributable
  to members in accordance with their right to distributions under subsection (b) of
  this section. (b) Unless the organic rules otherwise provide, in this subsection, “financial interests”
  means the amounts recorded in the names of members in the records of a mutual benefit
  enterprise at the time a distribution is made, including amounts paid to become a
  member, amounts allocated but not distributed to members, and amounts of distributions
  authorized but not yet paid to members. Unless the organic rules otherwise provide,
  each member is entitled to a distribution from the enterprise of any remaining assets
  in the proportion of the member’s financial interests to the total financial interests
  of the members after all other obligations are satisfied. (Added 2011, No. 84 (Adj. Sess.), § 1, eff. April 20, 2012.)