No corporation may sell, mortgage, lease or otherwise encumber or dispose of any of its property (other than property which, in the judgment of the board, is neither necessary nor useful in operating and maintaining the corporation's system and which in any one year shall not exceed 10 percent in value of the value of all the property of the corporation or merchandise) unless authorized so to do by the votes of at least a majority of its members and the consent of the holders of 75 percent in amount of the bonds of such corporation then outstanding is obtained.
Structure Code of Alabama
Title 37 - Public Utilities and Public Transportation.
Chapter 7 - Electric Membership Corporations.
Section 37-7-2 - Formation and Purpose Generally.
Section 37-7-3 - Form and Contents of Certificate of Incorporation.
Section 37-7-4 - Persons Executing Certificate to Be Residents; Acknowledgment and Filing.
Section 37-7-5 - Board of Directors - Election; Expenses; President; Secretary.
Section 37-7-6 - Board of Directors - Powers.
Section 37-7-7 - Certificates of Membership; Voting.
Section 37-7-8 - Corporate Purpose; Membership Fees; Service to Nonmembers; Service Outside State.
Section 37-7-9 - Vesting of Powers for Accomplishment of Corporate Purpose.
Section 37-7-10 - Enumerated Powers.
Section 37-7-11 - Encumbering or Disposing of Property.
Section 37-7-12 - Bonds or Obligations - Consent of Department of Finance.
Section 37-7-13 - Bonds or Obligations - Manner of Sale or Issuance.
Section 37-7-14 - Bonds or Obligations - Covenants or Agreements.
Section 37-7-16 - Consolidation.
Section 37-7-15 - Bonds or Obligations - Purchase of Own Obligations.
Section 37-7-17 - Extension of Territory.
Section 37-7-18 - Charges for Services Rendered.
Section 37-7-19 - Dissolution.
Section 37-7-20 - Foreign Corporations.
Section 37-7-21 - Amendment of Certificate of Incorporation.