IIB 

116TH CONGRESS 

1ST SESSION H. R. 1663 

IN THE SENATE OF THE UNITED STATES 

NOVEMBER 14, 2019 

Received; read twice and referred to the Committee on the Judiciary 

AN ACT 

To amend title 36, United States Code, to revise the Federal 

charter for the Foundation of the Federal Bar Association. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Foundation of the Fed3 eral Bar Association Charter Amendments Act of 2019’’. 

4 SEC. 2. ORGANIZATION. 

5 Section 70501 of title 36, United States Code, is 

6 amended by striking subsection (b) and redesignating sub7 section (c) as subsection (b). 

8 SEC. 3. MEMBERSHIP. 

9 Section 70503 of title 36, United States Code, is 

10 amended— 

11 (1) by striking subsections (a) and (b) and in12 serting the following: 

13 ‘‘(a) ELIGIBILITY.—Except as provided in this chap14 ter, eligibility for membership in the corporation and the 

15 rights and privileges of members are as provided in the 

16 bylaws.’’; and 

17 (2) by redesignating subsection (c) as sub18 section (b). 

19 SEC. 4. GOVERNING BODY. 

20 Section 70504 of title 36, United States Code, is 

21 amended to read as follows: 

22 ‘‘§ 70504. Governing body 

23 ‘‘(a) BOARD OF DIRECTORS.—The board of directors 

24 is the governing body of the corporation. The board may 

25 exercise, or provide for the exercise of, the powers of the 


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1 corporation. The board of directors and the responsibilities 

2 of the board are as provided in the bylaws. 

3 ‘‘(b) OFFICERS.—The officers and the election of the 

4 officers are as provided for in the bylaws.’’. 

5 SEC. 5. RESTRICTIONS. 

6 Section 70507 of title 36, United States Code, is 

7 amended to read as follows: 

8 ‘‘§ 70507. Restrictions 

9 ‘‘(a) STOCK AND DIVIDENDS.—The corporation may 

10 not issue stock or declare or pay a dividend. 

11 ‘‘(b) POLITICAL ACTIVITIES.—The corporation or a 

12 director or officer in his or her corporate capacity may 

13 not contribute to, support, or participate in any political 

14 activity or in any manner attempt to influence legislation. 

15 ‘‘(c) DISTRIBUTION OF INCOME OR ASSETS.—The in16 come or assets of the corporation may not inure to the 

17 benefit of, or be distributed to, a director, officer, or mem18 ber during the life of the charter granted by this chapter. 

19 This subsection does not prevent the payment, in amounts 

20 approved by the board of directors, of— 

21 ‘‘(1) reasonable compensation; or 

22 ‘‘(2) reimbursement for expenses incurred in 

23 undertaking the corporation’s business, to officers, 

24 directors, or members. 


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1 This subsection does not prevent the award of a grant to 

2 a Federal Bar Association chapter of which an officer, di3 rector, or member may be a member. This subsection also 

4 does not prevent the payment of reasonable compensation 

5 to the corporation’s employees for services undertaken on 

6 behalf of the corporation. 

7 ‘‘(d) LOANS.—The corporation may not make a loan 

8 to a director, officer, member, or employee. 

9 ‘‘(e) IMMUNITY FROM LIABILITY.—Members and pri10 vate individuals are not liable for the obligations of the 

11 corporation. 

12 ‘‘(f) CLAIM OF GOVERNMENTAL APPROVAL OR AU13 THORITY.—The corporation may not claim congressional 

14 approval or the authority of the United States Govern15 ment for any of its activities; it may, however, acknowl16 edge this charter.’’. 

17 SEC. 6. PRINCIPAL OFFICE. 

18 Section 70508 of title 36, United States Code, is 

19 amended by striking ‘‘the District of Columbia,’’ and in20 serting ‘‘a United States location decided by the board of 

21 directors and specified in the bylaws,’’. 

22 SEC. 7. SERVICE OF PROCESS. 

23 Section 70510 of title 36, United States Code, is 

24 amended to read as follows: 


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1 ‘‘§ 70510. Service of process 

2 ‘‘The corporation shall comply with the law on service 

3 of process of the State or District in which it is incor4 porated.’’. 

5 SEC. 8. DEPOSIT OF ASSETS ON DISSOLUTION OR FINAL 

6 LIQUIDATION. 

7 Section 70512 of title 36, United States Code, is 

8 amended to read as follows: 

9 ‘‘§ 70512. Deposit of assets on dissolution or final liq10 uidation 

11 ‘‘On dissolution or final liquidation of the corpora12 tion, any assets of the corporation remaining after the dis13 charge of all liabilities shall be distributed as provided by 

14 the board of directors, but in compliance with the charter 

15 and bylaws.’’. 

Passed the House of Representatives November 13, 

2019. 

Attest: CHERYL L. JOHNSON, 

Clerk. 


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