If a forming group "club" dissolves.....remainder funds
From: Barbara (barbarazwovic.com)
Date: Wed, 4 Jan 2006 21:51:26 -0800 (PST)
If a forming group "club" dissolves what would happen to the "club" funds?
I am a member of a forming group and we are working on agreement on what
would happen to the "club" funds if the "club" dissolved. From my study of
online cohousing LLC bylaws/ Joint Partnership Agreements, the basic
strategy is to distribute remaining funds in the following order.
A. Pay all the debts and obligations
B. Distribute remainder to a subsequent entity created by the members for
the purposes of supporting a cohousing community. 
C. Distribute remaining assets to the members in their proportionate share. 
I know, I know, we should be so lucky if to get past A.  Many of the
bylaws/agreements simply leave any remainders after A up to existing
membership or a Board of Directors.  
We have already agreed that members would NOT get their dues refunded if
they left the group. So the above C doesn't make sense. 
Has anyone been part of a forming group that had remainder assets, was NOT
going to form a cohousing community, and had to go on to a C? If so, what
did the group do with the remainder? If there wasn't an prior agreement in
place, what was the one they wish they had in place? 
Barbara Bochnovic

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