Utah Code 16-6a-1408. Enforcement of claims against dissolved nonprofit corporation
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(1) Subject to Subsection (2), a claim may be enforced under Section 16-6a-1406 or 16-6a-1407:
Terms Used In Utah Code 16-6a-1408
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Distribution: means the payment of a dividend or any part of the income or profit of a nonprofit corporation to the nonprofit corporation's:(19)(a)(i) members;(19)(a)(ii) directors; or(19)(a)(iii) officers. See Utah Code 16-6a-102
- Person: means an:
(40)(a) individual; or(40)(b) entity. See Utah Code 16-6a-102- Property: includes both real and personal property. See Utah Code 68-3-12.5
(1)(a) against the dissolved nonprofit corporation to the extent of its undistributed assets; and(1)(b) if assets have been distributed in liquidation, against any person, other than a creditor of the nonprofit corporation, to whom the nonprofit corporation distributed its property.(2) Notwithstanding Subsection (1), a distributee’s total liability for all claims under this section may not exceed the total value of assets distributed to the distributee, as the value is determined at the time of distribution.(3)(3)(a) A distributee required to return any portion of the value of assets received by the distributee in liquidation shall be entitled to contribution from all other distributees.(3)(b) Each contribution under Subsection (3)(a):(3)(b)(i) shall be in accordance with the contributing distributee’s rights and interests; and(3)(b)(ii) may not exceed the value of the assets received by the contributing distributee in liquidation. - Person: means an: