The purpose of the mutual water company rules is two-fold: To assure that an adequate water supply and distribution system exists for human consumption (or irrigation for agricultural use) and for fire protection; and to assure that adequate disclosure and protection to the security holders exists with respect to rights and duties arising from their security holdings in the mutual water company.

Note: Authority cited: Section 25610, Corporations Code. Reference: Section 25140, Corporations Code.

History

1. New Subarticle 7.1 (Sections 260.140.71-260.140.71.10) filed 4-14-83; effective thirtieth day thereafter (Register 83, No. 16).