Sec. 7.
It shall not be lawful for such association to loan its credit, its name, or its capital to any member of said association, and for such loan to any other person or association, the consent in writing of a majority in number and value of interest shall be requisite, and in no case shall the credit of the association be loaned except the regular business of the association is to be directly benefitted thereby.
History: 1877, Act 191, Eff. Aug. 21, 1877 ;-- How. 2371 ;-- CL 1897, 6085 ;-- CL 1915, 7956 ;-- CL 1929, 9915 ;-- CL 1948, 449.307
Structure Michigan Compiled Laws
Act 191 of 1877 - Partnership Associations (449.301 - 449.316)
Section 449.302 - Partnership Associations; Liability of Members; Labor Debts.
Section 449.303 - Partnership Associations; Limited as Last Word in Name; Effect of Omission.
Section 449.306 - Partnership Associations; Division of Profits, Impairment of Capital.
Section 449.307 - Partnership Associations; Loan of Credit, Name or Capital, Interest.
Section 449.308 - Partnership Associations; Dissolution, Conditions.
Section 449.309 - Partnership Associations; Dissolution, Distribution of Property.
Section 449.311 - Saving Clause.
Section 449.314 - Existing Associations; Articles, Filing; Penalty; Franchise Fee.
Section 449.315 - Existing Associations; Articles, Amendment, Procedure; Evidence.