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Court Requires Notice To Suspend Voting Rights

Court Requires Notice To Suspend Voting Rights

Court Requires Notice To Suspend Voting Rights

Automatic suspension provision of bylaws contravenes New York state law requiring notice
A trial court in New York has ruled that voting privileges of members of a nonprofit corporation cannot be suspended automatically for failure to pay required dues, despite a bylaw provision it interpreted as providing suspension without notice. It said the state’s Not-for-Profit Corporation Law required “reasonable notice” to enforce collection efforts. ( Abraham v. Diamond Dealers Club, Supreme Court of NY, NY County, No. 10263/2009, 3/1/10 .)

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