South Carolina Code of Laws
Chapter 31 - South Carolina Nonprofit Corporation Act
Section 33-31-140. Definitions.

Unless the context otherwise requires;
(1) "Approved by the members" or "approval by the members" means approved or ratified by the members entitled to vote on the issue through either:
(a) the affirmative vote of a majority of the votes of the members represented and voting at a duly held meeting at which a quorum is present or the affirmative vote of the greater proportion including the votes of any required proportion of the members of any class as the articles, bylaws, or this chapter may provide for specified types of member action; or
(b) a written ballot or written consent in conformity with this chapter.
(2) "Articles of incorporation" or "articles" include amended and restated articles of incorporation and articles of merger.
(3) "Board" or "board of directors" means the individual or individuals vested with overall management of the affairs of the domestic or foreign corporation, irrespective of the name by which the individual or individuals are designated, except that no individual or group of individuals is the board of directors because of powers delegated to that individual or group pursuant to Section 33-31-801(c).
(4) "Bylaws" means the code or codes of rules, other than the articles, adopted pursuant to this chapter for the regulation or management of the affairs of the corporation irrespective of the name or names by which the rules are designated.
(5) "Class" refers to a group of memberships which have the same rights with respect to voting, dissolution, redemption, and transfer. For the purpose of this section, rights are considered the same if they are determined by a formula applied uniformly.
(6) "Conspicuous" means so written that a reasonable person against whom the writing is to operate should have noticed it. For example, printing in italics or boldface or contrasting color or typing in capitals or underlined is conspicuous.
(7) "Corporation" means public benefit, mutual benefit, and religious corporation.
(8) "Delegates" means those persons elected or appointed to vote in a representative assembly for the election of a director or directors or on other matters.
(9) "Deliver" includes mail.
(10) "Directors" means natural persons, designated in the charter or bylaws or elected by the incorporators, and their successors and natural persons elected or appointed to act as members of the board, irrespective of the names or titles by which these persons are described.
(11) "Distribution" means the direct or indirect transfer of assets or any part of the income or profit of a corporation to its members, directors, or officers. The term does not include:
(a) the payment of compensation in a reasonable amount to its members, directors, or officers for services rendered;
(b) conferring benefits on its members in conformity with its purposes; or
(c) repayment of debt obligations in the normal and ordinary course of conducting activities.
(12) "Domestic corporation" means a corporation.
(13) "Effective date of notice" is defined in Section 33-31-141.
(14) "Employee" includes an officer but not a director. A director may accept duties that make him also an employee.
(15) "Entity" includes corporation and foreign corporation; business corporation and foreign business corporation; profit and nonprofit unincorporated association; corporation sole; business trust, estate partnership, trust, and two or more persons having a joint or common economic interest; and state, United States, and foreign government.
(16) "File", "filed", or "filing" means filed in the office of the Secretary of State.
(17) "Foreign corporation" means a corporation organized under a law other than the law of this State which would be a nonprofit corporation if formed under the laws of this State.
(18) "Governmental subdivision" includes authority, county, district, and municipality.
(19) "Includes" denotes a partial definition.
(20) "Individual" includes the estate of an incompetent individual.
(21) "Internal Revenue Code" means the Internal Revenue Code of 1986, or any future federal tax code or succeeding statute of like tenor and effect, and any reference to a section of the Internal Revenue Code also shall mean the corresponding section of any future federal tax code.
(22) "Means" denotes a complete definition.
(23)(a) "Member" means a person entitled, pursuant to a domestic or foreign corporation's articles or bylaws, without regard to what a person is called in the articles or bylaws, to vote on more than one occasion for the election of a director or directors or any other matter which under the terms of this chapter requires approval by the members.
(b) A person is not a member by virtue of any of the following:
(A) any rights the person has as a delegate;
(B) any rights the person has to designate or appoint a director or directors; or
(C) any rights the person has as a director.
(24) "Membership" refers to the rights and obligations a member has pursuant to a corporation's articles, bylaws, and this chapter.
(25) "Mutual benefit corporation" means a domestic corporation which either is formed as a mutual benefit corporation pursuant to Sections 33-31-201 through 33-31-207, is designated a mutual benefit corporation by a statute, or does not come within the definition of public benefit or religious corporation.
(26) "Notice" is defined in Section 33-31-141.
(27) "Person" includes any individual or entity.
(28) "Principal office" means the office, in or out of this State, so designated in the articles of incorporation, application for certificate of authority, or in a notice of change of principal office filed pursuant to either Section 33-31-505 or 33-31-1515 where the principal office of a domestic or foreign corporation is located.
(29) "Proceeding" includes civil suit and criminal, administrative, and investigatory action.
(30) "Public benefit corporation" means a domestic corporation which is formed as a public benefit corporation pursuant to Sections 33-31-201 through 33-31-207 or is required to be a public benefit corporation pursuant to Section 33-31-1707.
(31) "Record date" means the date established under Sections 33-31-601 through 33-31-640 or Sections 33-31-701 through 33-31-730 on which a corporation determines the identity of its members and their membership rights for the purposes of this chapter. The determinations must be made as of the time of close of transactions on the record date unless another time for doing so is specified at the time the record date is fixed.
(32) "Religious corporation" means a domestic corporation which is formed as a religious corporation pursuant to Sections 33-31-201 through 33-31-207 or is required to be a religious corporation pursuant to Section 33-31-1707.
(33) "Secretary" means the corporate officer to whom the board of directors has delegated responsibility under Section 33-31-840(b) for custody of the minutes of the directors' and members' meetings and for authenticating the records of the corporation.
(34) "State", when referring to a part of the United States, includes a state and commonwealth, and their agencies and governmental subdivisions, and a territory, and insular possession, and their agencies and governmental subdivisions of the United States.
(35) "United States" includes district, authority, bureau, commission, department, and any other agency of the United States.
(36) "Vote" includes authorization by written ballot and written consent.
(37) "Voting power" means the total number of votes entitled to be cast on the issue at the time the determination of voting power is made, excluding a vote which is contingent upon the happening of a condition or event which has not occurred at the time. Where a class is entitled to vote as a class for directors, the determination of voting power of the class must be based on the percentage of the number of directors the class is entitled to elect out of the total number of authorized directors.
HISTORY: Former Section 33-31-140 [1962 Code Section 12-762; 1952 Code Section 12-762; 1942 Code Section 8165; 1932 Code Section 8165; Civ. C. '22 Section 4351; Civ. C. '12 Section 2869; Civ. C. '02 Section 1909; 1900 (23) 390]; 1994 Act No. 384, Section 1.

Structure South Carolina Code of Laws

South Carolina Code of Laws

Title 33 - Corporations, Partnerships and Associations

Chapter 31 - South Carolina Nonprofit Corporation Act

Section 33-31-101. Short title.

Section 33-31-102. Reservation of power to amend or repeal.

Section 33-31-120. Filing requirements.

Section 33-31-121. Forms.

Section 33-31-122. Filing, service, and copying fees.

Section 33-31-123. Effective date of document.

Section 33-31-124. Correcting filed document.

Section 33-31-125. Filing duty of the Secretary of State.

Section 33-31-126. Appeal from Secretary of State's refusal to file document.

Section 33-31-127. Evidentiary effect of copy of filed document.

Section 33-31-128. Certificate of existence.

Section 33-31-129. Penalty for signing false document.

Section 33-31-130. Powers.

Section 33-31-140. Definitions.

Section 33-31-141. Notice.

Section 33-31-150. Private foundations.

Section 33-31-151. Express amendment excluding application of Section 33-31-150.

Section 33-31-152. Rights of State are not impaired.

Section 33-31-155. Authority to dispose of assets from a dissolved nonprofit corporation or eleemosynary organization.

Section 33-31-160. Judicial relief.

Section 33-31-170. Attorney General.

Section 33-31-171. Investigation by Attorney General authorized.

Section 33-31-172. Requesting permission to make examinations.

Section 33-31-173. Use of information is restricted.

Section 33-31-174. Forfeiture of right to operate for refusing examination.

Section 33-31-175. Provisions are cumulative.

Section 33-31-180. Religious corporations; Constitutional protections.

Section 33-31-201. Incorporators.

Section 33-31-202. Articles of incorporation.

Section 33-31-203. Incorporation.

Section 33-31-204. Liability for preincorporation transactions.

Section 33-31-205. Organization of corporation.

Section 33-31-206. Bylaws.

Section 33-31-207. Emergency bylaws and powers.

Section 33-31-301. Purposes.

Section 33-31-302. General powers.

Section 33-31-303. Emergency powers.

Section 33-31-304. Ultra vires.

Section 33-31-305. Powers of corporations created by legislative authority before 1900.

Section 33-31-401. Corporate name.

Section 33-31-402. Reserved name.

Section 33-31-403. Registered name of a foreign corporation.

Section 33-31-404. Name change filing requirement when real property owned.

Section 33-31-501. Registered office and registered agent.

Section 33-31-502. Change of registered office or registered agent.

Section 33-31-503. Resignation of registered agent.

Section 33-31-504. Service on corporation.

Section 33-31-505. Notice of Change of Principal Office.

Section 33-31-601. Admission.

Section 33-31-602. Consideration.

Section 33-31-603. No requirement of members.

Section 33-31-610. Differences in rights and obligations of members.

Section 33-31-611. Transfers.

Section 33-31-612. Member's liability to third parties.

Section 33-31-620. Resignation.

Section 33-31-621. Termination, expulsion, and suspension.

Section 33-31-622. Purchase of memberships.

Section 33-31-630. Derivative suits.

Section 33-31-640. Delegates.

Section 33-31-701. Annual and regular meetings.

Section 33-31-702. Special meetings.

Section 33-31-703. Court-ordered meeting.

Section 33-31-704. Action by written consent.

Section 33-31-705. Notice of meeting.

Section 33-31-706. Waiver of notice.

Section 33-31-707. Record date; determining members entitled to notice and vote.

Section 33-31-708. Action by written or electronic ballot.

Section 33-31-720. Members' list for voting.

Section 33-31-721. Voting entitlement generally.

Section 33-31-722. Quorum requirements.

Section 33-31-723. Voting requirements.

Section 33-31-724. Proxies.

Section 33-31-725. Cumulative voting for directors.

Section 33-31-726. Other methods of electing directors.

Section 33-31-727. Corporation's acceptance of votes.

Section 33-31-730. Voting agreements.

Section 33-31-801. Requirement for and duties of board.

Section 33-31-802. Qualifications of directors.

Section 33-31-803. Number of directors.

Section 33-31-804. Election, designation, and appointment of directors.

Section 33-31-805. Terms of directors generally.

Section 33-31-806. Staggered terms for directors.

Section 33-31-807. Resignation of directors.

Section 33-31-808. Removal of directors elected by members or directors.

Section 33-31-809. Removal of designated or appointed directors.

Section 33-31-810. Removal of directors by judicial proceeding.

Section 33-31-811. Vacancy on board.

Section 33-31-812. Compensation of directors.

Section 33-31-820. Regular and special meetings.

Section 33-31-821. Action without meeting.

Section 33-31-822. Call and notice of meetings.

Section 33-31-823. Waiver of notice.

Section 33-31-824. Quorum and voting.

Section 33-31-825. Committees.

Section 33-31-830. General standards for directors.

Section 33-31-831. Director conflict of interest.

Section 33-31-832. Loans or guarantees for directors and officers.

Section 33-31-833. Liability for unlawful distributions.

Section 33-31-834. Immunity from suit.

Section 33-31-840. Required officers.

Section 33-31-841. Duties and authority of officers.

Section 33-31-842. Standards of conduct for officers.

Section 33-31-843. Resignation and removal of officers.

Section 33-31-844. Contract rights of officers.

Section 33-31-850. Definitions.

Section 33-31-851. Authority to indemnify.

Section 33-31-852. Mandatory indemnification.

Section 33-31-853. Advances for expenses.

Section 33-31-854. Court-ordered indemnification.

Section 33-31-855. Determination and authorization of indemnification.

Section 33-31-856. Indemnification of officers, employees, and agents.

Section 33-31-857. Insurance.

Section 33-31-858. Application of article.

Section 33-31-1001. Authority to amend articles of incorporation.

Section 33-31-1002. Amendment of articles by directors.

Section 33-31-1003. Amendment of articles by directors and members.

Section 33-31-1004. Class voting by members on amendments.

Section 33-31-1005. Articles of amendment.

Section 33-31-1006. Restated articles of incorporation.

Section 33-31-1007. Amendment pursuant to judicial reorganization.

Section 33-31-1008. Effect of amendment and restatement.

Section 33-31-1020. Amendment of bylaws by directors.

Section 33-31-1021. Amendment of the bylaws by directors and members.

Section 33-31-1022. Class voting on bylaw amendment by members.

Section 33-31-1023. Bylaw increasing quorum or voting requirement for members.

Section 33-31-1024. Bylaw increasing quorum or voting requirement for directors.

Section 33-31-1030. Approval of the articles of incorporation and bylaws by third persons.

Section 33-31-1031. Amendment terminating members or redeeming or canceling memberships.

Section 33-31-1101. Approval of plan of merger.

Section 33-31-1102. Limitations on mergers by public benefit or religious corporations.

Section 33-31-1103. Action on plan by board, members, and third persons.

Section 33-31-1104. Articles of merger.

Section 33-31-1105. Effect of merger.

Section 33-31-1106. Merger with foreign corporation.

Section 33-31-1107. Bequests, devises, and gifts not affected by merger.

Section 33-31-1201. Sale of assets in regular course of activities and mortgage of assets.

Section 33-31-1202. Sale of assets other than in regular course of activities.

Section 33-31-1301. Prohibited distributions.

Section 33-31-1302. Authorized distributions.

Section 33-31-1401. Dissolution by incorporators.

Section 33-31-1402. Dissolution by directors, members, and third persons.

Section 33-31-1403. Notices to the Attorney General.

Section 33-31-1404. Articles of dissolution.

Section 33-31-1405. Revocation of dissolution.

Section 33-31-1406. Effect of dissolution.

Section 33-31-1407. Known claims against dissolved corporation.

Section 33-31-1408. Unknown claims against dissolved corporation.

Section 33-31-1420. Grounds for administrative dissolution.

Section 33-31-1421. Procedure for and effect of administrative dissolution.

Section 33-31-1422. Reinstatement following administrative dissolution.

Section 33-31-1423. Appeal from denial of reinstatement.

Section 33-31-1430. Grounds for judicial dissolution.

Section 33-31-1431. Procedure for judicial dissolution.

Section 33-31-1432. Receivership or custodianship.

Section 33-31-1433. Decree of dissolution.

Section 33-31-1440. Deposit with Department of Revenue and Taxation.

Section 33-31-1501. Authority to transact business required.

Section 33-31-1502. Consequences of transacting business without authority.

Section 33-31-1503. Application for certificate of authority.

Section 33-31-1504. Amended certificate of authority.

Section 33-31-1505. Effect of certificate of authority.

Section 33-31-1506. Corporate name of foreign corporation.

Section 33-31-1507. Registered office and registered agent of foreign corporation.

Section 33-31-1508. Change of registered office or registered agent of foreign corporation.

Section 33-31-1509. Resignation of registered agent of foreign corporation.

Section 33-31-1510. Service on foreign corporations.

Section 33-31-1515. Notice of change of principal office.

Section 33-31-1520. Withdrawal of foreign corporation.

Section 33-31-1530. Grounds for revoking a foreign corporation's authority to transact business in this State.

Section 33-31-1531. Procedure and effect of revocation.

Section 33-31-1532. Appeal from revocation.

Section 33-31-1601. Corporate records.

Section 33-31-1602. Inspection of records by members.

Section 33-31-1603. Scope of inspection rights.

Section 33-31-1604. Court-ordered inspection.

Section 33-31-1605. Limitations on use of membership list.

Section 33-31-1620. Financial statements for members.

Section 33-31-1621. Report of indemnification to members.

Section 33-31-1701. Application to Existing Domestic Corporations.

Section 33-31-1702. Application to Qualified Foreign Corporations.

Section 33-31-1703. Saving Provisions.

Section 33-31-1704. Severability.

Section 33-31-1705. Effective Date.

Section 33-31-1706. Public Benefit, Mutual Benefit, and Religious Corporations.

Section 33-31-1707. Existing domestic and foreign corporations required to file "Notification by Existing Corporation" form.

Section 33-31-1708. Provisions not applicable.