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Bill > SB1085
OK SB1085
OK SB1085Unincorporated nonprofit associations; creating the Uniform Unincorporated Nonprofit Association Act; establishing procedures and requirements for certain associations. Effective date.
summary
Introduced
02/03/2025
02/03/2025
In Committee
03/04/2025
03/04/2025
Crossed Over
Passed
Dead
Introduced Session
2025 Regular Session
Bill Summary
An Act relating to unincorporated nonprofit associations; creating the Uniform Unincorporated Nonprofit Association Act; providing short title; defining terms; clarifying applicability of act; clarifying laws applicable to certain associations; establishing characteristics and powers of unincorporated nonprofit associations; providing for ownership and transfer of property; defining term; establishing authority for interests in real property; establishing liability of certain associations; authorizing assertion and defense of claims by certain associations; clarifying effect of certain judgment or order; providing requirements for service of process; prohibiting abatement of certain proceedings upon change in membership; establishing proper venue for certain actions; prohibiting certain agency; requiring membership approval for certain actions; establishing voting requirements; authorizing governing principles to establish certain meeting requirements; clarifying duties of members; establishing requirements for admission, suspension, dismissal, or expulsion of members; providing for resignation of members; prohibiting transfer of membership interest; establishing requirements for selection of managers; clarifying rights of managers; establishing duties of managers; establishing procedural requirements for manager meetings; establishing requirements for member or manager access to certain information; prohibiting certain distributions; authorizing certain compensation, reimbursement, or benefits; authorizing distributions under certain circumstances; requiring reimbursement of certain expenses; authorizing certain indemnification; authorizing advance payment or reimbursement under certain circumstances; authorizing purchase of insurance for specified purposes; establishing procedures for dissolution of certain associations; establishing procedures for winding up and termination of certain associations; establishing procedures for designation of registered agent; providing for transfers of certain property; defining terms; authorizing certain mergers; establishing requirements for certain mergers; clarifying when certain mergers become effective; prohibiting diversion of certain property by merging entity; construing provisions; clarifying application of Electronic Signatures in Global and National Commerce Act; clarifying applicability to certain actions; providing for codification; and providing an effective date.
AI Summary
This bill creates the Uniform Unincorporated Nonprofit Association Act, a comprehensive legal framework for nonprofit organizations that are not formally incorporated. The bill defines an unincorporated nonprofit association as an organization of two or more members joined under an agreement for nonprofit purposes, and establishes clear rules for their governance, management, and legal standing. Key provisions include protecting members from personal liability for the association's debts, establishing procedures for member and manager rights and responsibilities, outlining rules for property ownership and transfer, defining processes for dissolving an association, and creating mechanisms for merging with other entities. The act provides a standardized approach to managing these types of associations, clarifying their legal status, defining how they can make decisions, and establishing guidelines for how they can operate, sue and be sued, own property, and handle internal disputes. The bill also specifies that members are not automatically agents of the association, sets standards for managers' fiduciary duties, and provides rules for member admission, resignation, and expulsion. Additionally, the act allows these associations to engage in some profit-making activities as long as profits are used for nonprofit purposes, and establishes procedural guidelines for activities like meetings, voting, and information access. The bill is designed to provide clarity and consistency for unincorporated nonprofit associations and will become effective on November 1, 2025.
Committee Categories
Justice
Sponsors (2)
Last Action
Remove as principal author Representative Kannady and substitute with Representative Schreiber (on 03/10/2025)
Official Document
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