Winding up and termination of an unincorporated nonprofit association shall proceed in accordance with the following rules:
- (1) All known debts and liabilities shall be paid or adequately provided for;
- (2) Any property subject to a condition requiring return to the person designated by the donor shall be transferred to that person;
- (3) Any property subject to a trust shall be distributed in accordance with the trust agreement; and
- (4) Any remaining property shall be distributed as follows:
- (b)
- (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; 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; or If neither paragraph (a) nor (b) of this subsection applies, as directed by the appropriate court.
- (c)
Effective: June 24, 2015
History: Created 2015 Ky. Acts ch. 34, sec. 37, effective June 24, 2015.