The Vermont Statutes Online

Title 8 : Banking and Insurance

Chapter 121 : Fraternal Benefit Societies

• § 4463. Representative form of government defined

  A society shall be deemed to have a representative form of government when:

  (1) it provides in its constitution or laws for a supreme legislative or governing body, composed of representatives elected either by the members or by delegates elected directly or indirectly by the members, together with such other members of the body as may be prescribed by the society’s constitution and laws;

  (2) the representatives elected constitute a majority in number and have not less than two-thirds of the votes nor less than the votes required to amend its constitution and laws;

  (3) the meetings of the supreme legislative or governing body and the election of officers, representatives, or delegates are held as often as once in four calendar years;

  (4) each insured member is eligible for election to act or serve as a delegate to the meeting;

  (5) the society has a board of directors charged with the responsibility for managing its affairs in the interim between meetings of its supreme legislative or governing body, subject to control by the body and having powers and duties delegated to it in the constitution or laws of the society;

  (6) the board of directors is elected by the supreme legislative or governing body, except in case of filling a vacancy in the interim between meetings of the body;

  (7) the officers are elected either by the supreme legislative or governing body or by the board of directors; and

  (8) the members, officers, representatives, or delegates may not vote by proxy. (Added 1959, No. 197, § 3, eff. Nov. 22, 1959.)