Winding up and termination of an unincorporated nonprofit association shall proceed in accordance with all of the following rules:

1. 1. All known debts and liabilities must be paid or adequately provided for.
2. 2. Any property subject to a condition requiring return to the person designated by the donor must be transferred to that person.
3. 3. Any property subject to a trust must be distributed in accordance with the trust agreement.

4. 4. Any remaining property must be distributed as follows:

   1. a. As required by law other than this chapter that requires assets of an association to be distributed to another person with similar nonprofit purposes.
   2. b. In accordance with the association’s governing principles or in the absence of applicable governing principles, to the members of the association per capita or as the members direct.
   3. c. If neither paragraph “a” nor “b” applies, under chapter 556.

2010 Acts, ch 1112, §29, 33

Referred to in §501B.26, 501B.28, 501B.30