Podcast
Questions and Answers
What must a member do before selling property that is subject to a lien due to unpaid debts to the cooperative?
What must a member do before selling property that is subject to a lien due to unpaid debts to the cooperative?
- Obtain permission from the cooperative (correct)
- Consult with a legal advisor
- Notify the Authority
- Pay off the debt in full
What is the primary duty of the employer regarding salary deductions for a cooperative member's debts?
What is the primary duty of the employer regarding salary deductions for a cooperative member's debts?
- To verify the amount with the member before deducting
- To make deductions at the end of each month only if feasible
- To execute deductions for as long as the member's debts remain unpaid (correct)
- To remit deducted amounts immediately to the member
What happens to the lien on a member's property after it has been sold or conveyed without permission?
What happens to the lien on a member's property after it has been sold or conveyed without permission?
- The lien remains in effect until formally canceled (correct)
- The cooperative must seek restitution only from the buyer
- The lien is automatically extinguished
- The new owner inherits the lien rights
How is a cooperative member's salary or wage deducted for debts approved?
How is a cooperative member's salary or wage deducted for debts approved?
Which of the following statements about lien priority for debts in a cooperative is true?
Which of the following statements about lien priority for debts in a cooperative is true?
What is the obligation of a cooperative member regarding liened property?
What is the obligation of a cooperative member regarding liened property?
What is one consequence of selling or conveying a liened property without permission?
What is one consequence of selling or conveying a liened property without permission?
What happens if a cooperative member's debt remains unpaid?
What happens if a cooperative member's debt remains unpaid?
Under what condition can a cooperative affirm a contract with a director if the first two necessary conditions are absent?
Under what condition can a cooperative affirm a contract with a director if the first two necessary conditions are absent?
What must directors disclose during a meeting when a contract approval requires a ratification vote?
What must directors disclose during a meeting when a contract approval requires a ratification vote?
What is a potential consequence for a director who uses an opportunity that should belong to the cooperative?
What is a potential consequence for a director who uses an opportunity that should belong to the cooperative?
What is required for a contract entered into by an officer or committee member to be valid?
What is required for a contract entered into by an officer or committee member to be valid?
Which of the following conditions does NOT need to be met for a contract with a director to be voidable?
Which of the following conditions does NOT need to be met for a contract with a director to be voidable?
If a director's act is ratified by a three-fourths vote of members, what is the consequence of that ratification?
If a director's act is ratified by a three-fourths vote of members, what is the consequence of that ratification?
Which of the following best describes the role of a director in relation to cooperative opportunities?
Which of the following best describes the role of a director in relation to cooperative opportunities?
What document is crucial for the governance and roles within cooperatives when it comes to member actions and roles?
What document is crucial for the governance and roles within cooperatives when it comes to member actions and roles?
What is required for a member to acquire or maintain their membership in a cooperative?
What is required for a member to acquire or maintain their membership in a cooperative?
Which procedure must be followed for the termination of a member's membership?
Which procedure must be followed for the termination of a member's membership?
What majority is needed to amend the articles of cooperation and bylaws?
What majority is needed to amend the articles of cooperation and bylaws?
Which of the following is NOT a power of the board of directors within a cooperative?
Which of the following is NOT a power of the board of directors within a cooperative?
What is a typical requirement for members of a cooperative's general assembly?
What is a typical requirement for members of a cooperative's general assembly?
How are disputes among members of a cooperative typically resolved?
How are disputes among members of a cooperative typically resolved?
Which condition permits the transfer of a share or interest of members in a cooperative?
Which condition permits the transfer of a share or interest of members in a cooperative?
Which of the following is a duty of the committees within a cooperative?
Which of the following is a duty of the committees within a cooperative?
Flashcards
Voidable Contract (Directors, Officers, Committee Members)
Voidable Contract (Directors, Officers, Committee Members)
A contract with a cooperative director/officer/committee member is voidable unless certain conditions are met. The cooperative can choose to cancel the contract.
Conditions for Valid Contract (Directors, Officers, Committee Members)
Conditions for Valid Contract (Directors, Officers, Committee Members)
A contract is valid if: director's presence/vote isn't required, contract is fair & reasonable, and, for officers/committee members, the contract's previously authorized by the assembly/board.
Contract Ratification (Directors)
Contract Ratification (Directors)
If conditions for a valid contract aren't met, a contract with a director can be approved by a 3/4 vote of the members.
Full Disclosure (Adverse Interest)
Full Disclosure (Adverse Interest)
Signup and view all the flashcards
Director's Self-Dealing (Article 48)
Director's Self-Dealing (Article 48)
Signup and view all the flashcards
Liability for Damages (Directors)
Liability for Damages (Directors)
Signup and view all the flashcards
Ratification (Director's self-dealing)
Ratification (Director's self-dealing)
Signup and view all the flashcards
Director's personal Venture
Director's personal Venture
Signup and view all the flashcards
Cooperative member's debt lien
Cooperative member's debt lien
Signup and view all the flashcards
Sale of liened property
Sale of liened property
Signup and view all the flashcards
Void sale (lien violation)
Void sale (lien violation)
Signup and view all the flashcards
Salary deduction instrument
Salary deduction instrument
Signup and view all the flashcards
Employer's deduction duty
Employer's deduction duty
Signup and view all the flashcards
Lien continuation
Lien continuation
Signup and view all the flashcards
Annual renewal of bonds
Annual renewal of bonds
Signup and view all the flashcards
Prior Claim of the Authority
Prior Claim of the Authority
Signup and view all the flashcards
Cooperative Membership
Cooperative Membership
Signup and view all the flashcards
Membership Termination
Membership Termination
Signup and view all the flashcards
Share Transfer Rules
Share Transfer Rules
Signup and view all the flashcards
Cooperative Meetings
Cooperative Meetings
Signup and view all the flashcards
Cooperative Operations
Cooperative Operations
Signup and view all the flashcards
Capital Raising
Capital Raising
Signup and view all the flashcards
Bylaw Amendments
Bylaw Amendments
Signup and view all the flashcards
Dispute Resolution
Dispute Resolution
Signup and view all the flashcards
Study Notes
Cooperatives Overview
- A cooperative is an autonomous association of individuals
- Members adhere to cooperative principles
- Members pool resources to meet social, economic, and cultural needs
- Members have equitable contributions to capital
Member Definition
- A member is a person (natural or legal entity) admitted by the cooperative
- Members adhere to cooperative principles & code
General Assembly
- Represents the full membership of the cooperative
- Exercises rights and responsibilities of cooperatives
- May be composed of delegates instead of the full membership in case of numerous members
Board of Directors
- Responsible for managing the cooperative's affairs
- Operates under the cooperative's articles, bylaws, or resolutions
- Acts in accordance with the guidelines of the general assembly
Cooperative Registration
- An operative act granting juridical personality to a newly formed cooperative
Cooperative Principles
- A set of universally accepted principles that cooperatives adhere to
Representative Assembly
- Represents each sector, chapter, or district of the cooperative
- Exercises powers delegated by the general assembly
Cooperative Officers
- Includes board members, committee members, and executive/chief officers
- Roles defined by bylaws
Social Audit
- A procedure assessing a cooperative's social impact and ethical performance
- Used to evaluate the impact on the community
- Holds the cooperative accountable
Performance Audit
- Assessment of cooperative efficiency and effectiveness
- Examines management, officers, and responsibility centers in detail
- Provides objective information to members to improve cooperative performance
Single-line/Single-Purpose Cooperatives
- Focus on activities related to a single business purpose
Service Cooperatives
- Offer services to their members
- Activities include transportation, information, communication, and more
Subsidiary Cooperatives
- Organizations with cooperatives as their majority shareholders
- Receive assistance in terms of management, technical, and financial support
Federation of Cooperatives
- Composed of multiple primary cooperatives
- Engage in similar businesses
- Work together to achieve a shared vision and goals
Cooperative Purpose
- To encourage thrift and savings among members
- Generate funds for members' productive uses
- Facilitate systematic member production and marketing
- Provide goods and services to members
- Develop member skills and expertise in various fields
- Acquire land and provide members with housing benefits
- Insure members against financial losses
- Advance member economic, social, and educational well-being
- Coordinate and support cooperative activities
Cooperative Objectives
- Provide goods and services to members to increase income & savings
- Offer optimum social and economic benefits to all members
- Improve efficiency and management practices
- Share new business and management insights
- Promote member ownership in the nation's wealth
- Collaborate with other organizations for mutual growth
Primary Cooperatives
- Minimum of 15 Filipino citizens involved
- Must be of legal age
- Have a common bond of interest
- Residence or work within the operating area
Cooperative Liability
- Limited liability for duly registered cooperatives under the Code
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Related Documents
Description
This quiz covers fundamental concepts of cooperatives, including definitions of members, general assembly roles, and the responsibilities of the board of directors. Test your knowledge on cooperative registration and the principles that guide cooperative associations. Perfect for anyone looking to understand the basics of cooperative management.
