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December 21, 2024 Clear | 19°F
The 193rd General Court of the Commonwealth of Massachusetts

Section 4: Capital stock; powers; by-laws; meetings

Section 4. The capital stock of a co-operative corporation formed under section three, three A or three B shall not be less than one hundred dollars nor more than five million dollars. No stockholder shall own shares of a greater par value than one tenth of the total par value of the capital stock issued and outstanding unless in a housing cooperative there are less than ten units in which case each stockholder shall own an equal number of shares of the capital stock issued and outstanding, nor shall any member be entitled to more than one vote on any subject arising in the management of the corporation.

In addition to the powers granted by section sixteen of chapter one hundred and fifty-six B, any corporation organized under section three, three A or three B may provide in its by-laws for the election of directors and other officials by unit or district or by mail ballot; for a method of membership representation by annual election of delegates to represent proportionately the members of such units or districts in the membership meeting of the corporation, and shall hear reports of and instruct the delegates on the policy and business of the corporation. The articles of organization shall be altered or amended, and the by-laws shall be altered, amended or repealed, if the delegate type of membership meeting is adopted by any such corporation, only after notice of the proposed action is given in the call for the annual meetings of the units or districts at which the delegates are to be elected to the membership meeting of the corporation, or in the call for the annual election of such delegates if the vote is to be taken by mail ballot, and only upon vote of two-thirds of the delegates eligible to vote at such membership meeting. Special meetings of the units or districts may be demanded by written petition of at least one-tenth of the membership of any such unit or district for the purpose of instructing its delegate or delegates on questions concerning the operation and business of the corporation, in which case it shall be the duty of the clerk or secretary of the corporation to call such unit or district meeting or meetings to take place within thirty days after such demand. The minutes of such unit or district meeting shall be forwarded by the clerk or secretary of such meeting to the clerk or secretary of the corporation and be kept at the principal place of business in the commonwealth.