West Virginia Code 33-27A-7 – Corporate existence of mutual company continue in recognized stock company
(a) Upon a reorganization plan taking effect in accordance with this article, the corporate existence of the mutual insurance company shall continue in the reorganized stock company. On the effective date of the reorganization, all of the assets, rights, franchises and interests of the mutual insurance company in and to every species of property whether real, personal, or mixed and in any accompanying causes of action shall be vested in the reorganized stock company without any deed or transfer, and a reorganized stock company shall assume all of the obligations and liabilities of the mutual insurance company.
Terms Used In West Virginia Code 33-27A-7
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Deed: The legal instrument used to transfer title in real property from one person to another.
- Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
- Mutual insurance company: means a domestic or foreign mutual Insurance company. See West Virginia Code 33-27A-2
- Reorganization plan: means a reorganization plan adopted by a mutual insurance company's board of directors in accordance with the provisions of this article. See West Virginia Code 33-27A-2
- Reorganized stock company: means the domestic or foreign stock insurance company resulting from a domestic or foreign mutual insurance company's reorganization under this article. See West Virginia Code 33-27A-2
(b) Unless otherwise specified in a reorganization plan, those persons who are the directors and officers of a mutual insurance company on the effective date of the reorganization shall serve as the directors and officers of the reorganized stock company until new directors and officers are elected pursuant to the recognized stock company’s articles of incorporation.