Title 11 Flashcards
(16 cards)
I.No person shall be elected as trustee unless he is a member of the corporation.
II. Unless otherwise provided in the articles of incorporation or the by-laws, officers of a non-stock corporation may be directly elected by the members.
Both are true
I. Membership shall be terminated in the manner and for the causes provided in the articles of incorporation or the by-laws.
II. Termination of membership shall have the effect of extinguishing all rights of a member in the corporation or in its property, unless otherwise provided in the articles of incorporation or the by-laws.
Both are true
The following are the characteristics of a non-stock corporation, except:
A. It does not have capital stock divided into shares.
B. As a general rule, it is not empowered to engage in business. Moreover, it is prohibited to make income or profits as an incident to its operation.
C. No part of its income during its existence is distributable as dividends to its members, trustees, or officers.
D. There is non-transferability of membership.
B. As a general rule, it is not empowered to engage in business. Moreover, it is prohibited to make income or profits as an incident to its operation.
The following are the characteristics of a non-stock corporation, except:
A. The right to vote of members may be limited, broadened, or even denied in the articles of incorporation or the by-laws.
B. By-laws may provide that the members may hold their meetings at any place even outside the place where the principal office of the corporation is located, even if that such place is outside the Philippines.
C. Non-stock corporation may, through their articles of incorporation or their by-laws, designate their governing boards by any name other than as board of trustees.
D. A non-stock corporation is not allowed to distribute any of its assets or any incidental income or profit made by the corporation during its existence.
B. By-laws may provide that the members may hold their meetings at any place even outside the place where the principal office of the corporation is located, even if that such place is outside the Philippines.
.
I. The determination of whether or not “dead members” are entitled to exercise their voting rights, depends on those articles of incorporation or by-laws.
II. In stock corporations, on the death of a shareholder, the executor or administrator duly appointed by the Court is vested with the legal title to the stock and entitled to vote it.
C. Both are true
I. Membership in and all rights arising from a nonstock corporation are personal and non-transferable.
II. Unless otherwise provided in the articles of incorporation or the by-laws, a member may not vote by proxy.
Only I is true
I. The number of trustees shall be fixed in the articles of incorporation or bylaws which may or may not be more than 15.
II. Except with respect to independent trustees of nonstock corporations vested with public interest, only a member of the corporation shall be elected as trustee.
Both are true
I. The Plan of Distribution of Assets may be adopted by a majority vote of the board of trustees and approval of majority of the members having voting rights present or represented by proxy at the meeting during which said plan is adopted.
II. Members’ meetings may be held at any place outside the principal office of the corporation provided it shall be within the Philippines.
Only II is true
It is one where no part of its income is distributable as dividends to its members, trustees, or officers.
Non-stock corporation
I. Any profit which a non-stock corporation may obtain as an incident to its operations shall, whenever necessary or proper, be used for the furtherance of the purpose or purposes for which the corporation was organized.
II. A non-stock corporation can be converted into a stock corporation by mere amendment of its articles of incorporation.
Only I is true
I. In stock corporations, shareholders may generally transfer their shares.
II. Membership in and all rights arising from a nonstock corporation are transferable.
A. Only I is true
Corporation without shares; does not distribute income to members, officers, or trustees..
Nonstock Corporation
Personal and generally non-transferable status in a nonstock corporation.
Membership
Authorization allowing another to vote on one’s behalf.
Proxy Voting
Voting via electronic or remote means if allowed in bylaws.
Remote/In Absentia Voting
Earnings made in the normal operation of a nonstock corporation; must be used for its purpose.
Incidental Profit
