ORGANIZATION OF COOPERATIVE GRAIN ELEVATOR COMPANIES. 11 



Article IX. — Sundry Provisions. 



1. Fiscal year. 



2. Indebtedness. 



3. Extension of credit. 



4. Collective buying. 



5. Withholding dividends. 



6. Withholding patronage refunds. 



7. Emergency capital. 



8. Speculation. 



0. Corporate seal. 

 10. Amendments. 



Article VIII. — Earnings. 



1. Apportioned : 



(a) Surplus. 



(b) Dividend on capital stock. 



(c) Educational. 



(d) Patronage refund. 



2. Method of refund : 



(a) Grain rate. 



(b) Miscellaneous products rate. 



(c) Merchandise rate. 



3. Members' share. 



4. Nonmembers' share. 



5. Disposal of unapportioned share and 



nonmembers' unapplied refund. 



6. Notice of refund due nonmembers. 



7. Capital impairment. 



Article I. — Corporate Purpose. 



Section 1. Name and location. — This Association shall be known as [The 



Grain Growers' Cooperative Association] 1 and shall be 



incorporated under the laws of the State of Its princi- 

 pal office shall be located in the town of , county of 



, in the State of . 



Note. — Some of the State cooperative laws provide that the word " cooperative " 

 shall form a part of the name of organizations incorporated thereunder. All asso- 

 ciations should be incorporated under the laws of the State in which they are 

 located. 



Sec. 2. Objects. — The objects of this Association shall be to encourage better 

 and more economical methods of production ; to save to its members and others 

 all unnecessary cost in the marketing and distribution of grain, seeds, live 

 stock and farm products of all kinds ;. to buy cooperatively fertilizers, feeds, 

 fuel, machinery, and all material and supplies ordinarily used on the farm ; to 

 cultivate and develop cooperative activity, and to perform any other work which 

 may tend to benefit its members or the community in general. 



Sec 3. Poivers. — This Association shall have power to buy and sell and other- 

 wise deal in, for its own account or on commission, any or all of the products 

 and supplies described in section 2 hereof; to operate grain warehouses and 

 flour and feed mills; to prepare and distribute cooperative literature and edu- 

 cational matter; to lease, buy, build, own, improve, mortgage, sell, and control 

 such buildings and other real and personal property as may be necessary to 

 conduct the business or as the association may from time to time determine. It 

 shall have power to affiliate and cooperate, by membership or otherwise, with 

 any other cooperative company or association ; to subscribe and invest, not to 

 exceed [twenty-five per cent] of its capital stock and surplus, in the capital 

 stock of any other cooperative company or association having the same or 

 similar objects and purposes as this Association, but no such action shall be 

 taken except at a regular meeting or a special meeting called for the purpose at 

 which [a majority] of all the members shall be present or voting. It shall 

 have power to do anything and everything, not inconsistent with law, which is 

 necessary or desirable to accomplish the objects and purposes herein stated. 



Note. — The objects and powers of the Association should be stated as definitely 

 as possible, but they should also be made sufficiently broad to cover any future 

 activities. State statutes will have to be consulted in order to determine what may 

 or may not be included in this article. 



1 All matter appearing in brackets is suggestive only and is to be altered to suit the 

 hest interests of each individual association. 



