Whenever an association organized under this article with preferred capital stock shall purchase the stock or any property or any interest in any property of any person, firm, corporation or association, it may discharge the obligations so incurred, wholly or in part, by exchanging for the acquired interest shares of its preferred capital stock to an amount which at par value would equal a fair market value of the stock or interest so purchased, as determined by the board of directors. In that case the transfer to the association of the stock or interest purchased shall be equivalent to payment in cash for the shares of stock issued.
Structure Code of Alabama
Chapter 10 - Cooperatives and Associations.
Article 3 - Incorporated Marketing Associations.
Section 2-10-50 - Definitions.
Section 2-10-51 - Nonprofit Associations.
Section 2-10-52 - Who May Form Association.
Section 2-10-53 - Objects of Association.
Section 2-10-54 - Powers of Association.
Section 2-10-55 - Who May Become Members or Stockholders.
Section 2-10-56 - Contents of Articles of Incorporation; Signing, Acknowledgment and Filing.
Section 2-10-57 - Amendments to Articles of Incorporation.
Section 2-10-58 - Provisions of Bylaws.
Section 2-10-59 - Regular and Special Meetings of Members.
Section 2-10-60 - Selection of Directors; Contracts With Association; Vacancies.
Section 2-10-63 - Removal of Officer or Director.
Section 2-10-64 - Referring Questions to Entire Membership.
Section 2-10-65 - Marketing Contracts.
Section 2-10-66 - Exchange of Stock.
Section 2-10-67 - Annual Report of Association.
Section 2-10-68 - Conflicting Laws Not Applicable.
Section 2-10-69 - Association May Form, Own or Control Another Corporation.
Section 2-10-70 - Agreements Between Associations.
Section 2-10-71 - Association Not a Monopoly.
Section 2-10-72 - Applicability of General Corporation Laws.
Section 2-10-73 - Fees to Probate Judges and Secretary of State.
Section 2-10-74 - Fees for Filing Articles of Incorporation.