Chapter 15 - EXHIBIT 15C • SAMPLE COLORADO COOPERATIVE ARTICLES OF INCORPORATION ATTACHMENT

• Jurisdiction: Colorado

EXHIBIT 15C • SAMPLE COLORADO COOPERATIVE ARTICLES OF INCORPORATION ATTACHMENT

PROVISIONS FOR CONSIDERATION IN PREPARING AN ATTACHMENT TO THE FORM OR "COVER SHEET" FOR ARTICLES OF INCORPORATION FOR A COOPERATIVE BEING FORMED UNDER THE COLORADO COOPERATIVE ACT

1. Authorized Stock. The cooperative shall be authorized to issue one class of no par value common stock consisting of { } shares. The common stock of the cooperative may be issued only to persons qualified to be members of the cooperative as determined pursuant to the bylaws of the cooperative. No person shall own or hold more than one share of common stock. Each share of common stock shall be entitled to one vote and one vote only on any matter presented to the stockholder-members for a vote. No other equity interest in the cooperative shall have any voting rights.

Note: Provisions for memberships in non-stock cooperatives are somewhat more complex and must be examined with respect to each cooperative. A general example is the following:

Memberships. The cooperative shall be organized without capital stock. The property rights and interests of each voting member shall be equal except with respect to capital accounts in the cooperative which may be established from time to time for the voting members in connection with their patronage of the cooperative. No voting member of the cooperative shall have a direct interest in the property of the cooperative. Qualifications for voting membership in the cooperative shall be established in or pursuant to the bylaws. Each voting member shall be entitled to one vote and only one vote on any matter presented to the voting members for a vote. No other equity or other interest in the cooperative shall have any voting rights.

2. Allocations of Net Margins. The cooperative shall not handle...