Legal Question in Business Law in Florida

Effect of Bylaw Amendment

If a NFP corporation ByLaw provision is in effect on date X may an amendment remove the provision's conditions for the period prior to the date of the amendment? Ex: Bylaw provides return of 50% of equity contribution for a club upon resignation. On date X an amendment provides for 25% return and makes the amendment applicable prior to the date of the amendment thereby removing the 50% return regardless of membership date. Bylaws provide that amendments are effective upon approval of a majority at a special meeting.


Asked on 2/09/07, 1:02 pm

1 Answer from Attorneys
Johm Smith tom's

Re: Effect of Bylaw Amendment

This amendment obviously is not beneficial to the NFP. I don't think you could make a retroactive amendment unless it was clear that it was not deceptive or harmful to the company. But I would need to review the statute and see your company bylaws to properly answer this. Please feel free to contact me; it shouldn't take much time to do.

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Answered on 2/09/07, 5:56 pm


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