11C V.S.A. § 402
This is the official text of 11C V.S.A. § 402, part of Vermont’s V.S.A — part of the compiled statutory law of Vermont, published by the state as "V.S.A." Browse the sections below, each linked to its official government source.
Not legal advice. This page reproduces the official text of a government statute for reference only. Laws change, and how a statute applies depends on your specific facts. For advice about your situation, consult a licensed attorney in your state.
§ 402. Notice and action on amendment of organic rules
Official statutory text
(a) Except as provided in subsections 401(a) and 405(f) of this title, the organic rules of a mutual benefit enterprise may be amended only at a members' meeting. An amendment may be proposed by either:
(1) a majority of the board of directors or a greater percentage if required by the organic rules; or
(2) one or more petitions signed by at least 10 percent of the patron members or at least 10 percent of the investor members.
(b) The board of directors shall call a members' meeting to consider an amendment proposed pursuant to subsection (a) of this section. The meeting shall be held not later than 90 days following the proposal of the amendment by the board or receipt of a petition. The board shall mail or otherwise transmit or deliver in a record to each member:
(1) the proposed amendment or a summary of the proposed amendment and a statement of the manner in which a copy of the amendment in a record may be reasonably obtained by a member;
(2) a recommendation that the members approve the amendment or, if the board determines that because of conflict of interest or other special circumstances it should not make a favorable recommendation, the basis for that determination;
(3) a statement of any condition of the board's submission of the amendment to the members; and
(4) notice of the meeting at which the proposed amendment will be considered, which shall be given in the same manner as notice for a special meeting of members.
(1) a majority of the board of directors or a greater percentage if required by the organic rules; or
(2) one or more petitions signed by at least 10 percent of the patron members or at least 10 percent of the investor members.
(b) The board of directors shall call a members' meeting to consider an amendment proposed pursuant to subsection (a) of this section. The meeting shall be held not later than 90 days following the proposal of the amendment by the board or receipt of a petition. The board shall mail or otherwise transmit or deliver in a record to each member:
(1) the proposed amendment or a summary of the proposed amendment and a statement of the manner in which a copy of the amendment in a record may be reasonably obtained by a member;
(2) a recommendation that the members approve the amendment or, if the board determines that because of conflict of interest or other special circumstances it should not make a favorable recommendation, the basis for that determination;
(3) a statement of any condition of the board's submission of the amendment to the members; and
(4) notice of the meeting at which the proposed amendment will be considered, which shall be given in the same manner as notice for a special meeting of members.
Status: in_force · Read it on the official government site
Need a lawyer in Vermont?
Find a Vermont lawyer
About this page: Statute text is reproduced from official government publishers via the
Open US Law dataset
(Vaquill AI, snapshot v2026.08, CC BY 4.0). Primary legislative text like this is public domain under the government-edicts doctrine
(Georgia v. Public.Resource.Org, 2020). We link every section back to its official source so you can verify it independently.