§13401. Directors: number, election, qualifications, and term

Link to law: http://legislature.vermont.gov/statutes/section/08/203/13401
Published: 2015

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Title

08

:
Banking and Insurance






Chapter

203

:
ORGANIZATION AND MANAGEMENT OF MUTUAL AND COOPERATIVE FINANCIAL INSTITUTIONS






Subchapter

004
:
GOVERNING BODY










 

§

13401. Directors: number, election, qualifications, and term

(a) The number

of directors on the governing body of a mutual or cooperative financial

institution may not be less than five, all of whom shall be residents of the

financial institution's geographic area or an area proximate to that geographic

area.

(b) The initial

governing body shall be elected at the first meeting of the corporators or the

organizers as provided for in section 13103 of this title, and the governing

body shall be elected by a vote of the corporators or members at each annual

meeting thereafter; provided that the organizational documents or internal

governance documents may provide for classification of directors in accordance

with Title 11 or 11A, depending on the form of organization.

(c) Vacancies on

the governing body occurring during the year may be filled by the governing

body until the next annual meeting of the corporators or members. A director so

elected shall fill such position for the remainder of the term. Any vacancy

which causes the number of directors to fall below the minimum required in

subsection (a) of this section or in the institution's internal governance

documents shall be filled promptly.

(d) The

compensation of directors, which may include provision for payment of medical,

surgical, and hospital expenses due to accident or illness in the same manner

as provided for officers and employees, may be fixed by the corporators or

members at any legal meeting thereof, or, subject to the written approval of the

Commissioner, such may be fixed by the governing body. (Added 1999, No. 153

(Adj. Sess.), § 2, eff. Jan. 1, 2001.)
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