reglab/statecodes huggingface dataset:
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › NONPROFIT CORPORATIONS (§§ 48-51-101 — 48-69-123) › Chapter 69 - ELECTRIC G AND T COOPERATIVE ACT (§§ 48-69-101 — 48-69-123) › Section 48-69-118 - Restrictions on services of cooperatives

(a)
No G&T cooperative shall provide electrical power and energy services to retail customers in the Tennessee Valley authority (TVA) area.
(b)
No G&T cooperative shall provide telephony, cable television, video programming, internet access or other telecommunications services to retail customers in the TVA area; provided, however, that nothing in this section shall preclude or prevent a G&T cooperative from owning, leasing, operating and maintaining equipment or facilities for its own purposes or for the purpose of enabling one (1) or more members to provide or utilize advance metering infrastructure, load control, appliance monitoring, power exchange, billing, electric services or functions or any other similar or component service now or hereafter developed in connection with the provision of electricity to end-use customers.
Acts 2009, ch. 475, § 1.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › NONPROFIT CORPORATIONS (§§ 48-51-101 — 48-69-123) › Chapter 69 - ELECTRIC G AND T COOPERATIVE ACT (§§ 48-69-101 — 48-69-123) › Section 48-69-119 - Exemption from control of the Tennessee public utility commission

G&T cooperatives and foreign corporations transacting business in this state pursuant to this chapter shall be deemed to be nonprofit cooperatives and nonutilities and exempt in all respects from the jurisdiction and control of the Tennessee public utility commission.
Amended by 2017 Tenn. Acts, ch. 94,s 42, eff. 4/4/2017.
Acts 2009, ch. 475, § 1.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › NONPROFIT CORPORATIONS (§§ 48-51-101 — 48-69-123) › Chapter 69 - ELECTRIC G AND T COOPERATIVE ACT (§§ 48-69-101 — 48-69-123) › Section 48-69-120 - Chapter 16 of this title not applicable to any note, bond or evidence of indebtedness

Chapter 16 of this title shall not apply to any note, bond or other evidence of indebtedness issued by any G&T cooperative or foreign corporation transacting business in this state pursuant to this chapter, to the United States or any agency or instrumentality of the United States, or to any mortgage or deed of trust executed to secure the indebtedness. This chapter shall not apply to the issuance of membership certificates by any G&T cooperative or any such foreign corporation.
Acts 2009, ch. 475, § 1.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › NONPROFIT CORPORATIONS (§§ 48-51-101 — 48-69-123) › Chapter 69 - ELECTRIC G AND T COOPERATIVE ACT (§§ 48-69-101 — 48-69-123) › Section 48-69-121 - Utility districts created under title 7, chapter 82 exempt from chapter

Notwithstanding any provision of this chapter to the contrary, it is the specific intent of this chapter that all utility districts hereafter created under title 7, chapter 82, or any similar provision, shall be specifically exempt from this chapter.
Acts 2009, ch. 475, § 1.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › NONPROFIT CORPORATIONS (§§ 48-51-101 — 48-69-123) › Chapter 69 - ELECTRIC G AND T COOPERATIVE ACT (§§ 48-69-101 — 48-69-123) › Section 48-69-123 - Liberal construction of chapter

(a)
This chapter shall be construed liberally. The enumeration of any object, purpose, power, manner, method or thing shall not be deemed to exclude like or similar objects, purposes, powers, manner, methods or things. The authority and powers granted pursuant to this chapter may be exercised in accordance with the terms of this chapter, notwithstanding any other requirements, restrictions or procedural provisions contained in any general law, private act or home rule charter, and notwithstanding any other provisions to the contrary contained in any general law, private act or home rule charter.
(b)
Notwithstanding this section or any other provisions in this chapter to the contrary, this chapter shall not be construed to affect the powers conferred or the limitations imposed upon annexing municipalities and electric cooperatives in §
6-51-112
.
Acts 2009, ch. 475, § 1.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-101 - Short title

This part shall be known as the "Development Credit Corporation Act."
Acts 1959, ch. 170, § 1; T.C.A., §§ 48-1701, 48-3-101.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-102 - Part definitions

As used in this part, unless the context otherwise requires:
(1)
"Board of directors" means the board of directors of a corporation created under this part;
(2)
"Corporation" means a development credit corporation created under this part;
(3)
"Financial institution" means any banking corporation or institution, trust company, savings bank, cooperative bank, savings and loan association, insurance company, or related corporation, partnership, foundation, or other institution engaged primarily in lending or investing funds;
(4)
"Loan limit" means, for any member, the maximum amount permitted to be outstanding at one (1) time on loans made by such member to the corporation, as determined under this part; and
(5)
"Member" means any financial institution authorized to do business within this state which shall undertake to lend money to a corporation created under this part, upon its call, and in accordance with this part.
Acts 1959, ch. 170, § 2; T.C.A., §§ 48-1702, 48-3-102.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-104 - Completion of corporate entity

The forms and procedure for completing the corporate entity shall be as provided in §§
48-11-302
,
48-12-103
- 48-12-105 or §§
48-51-302
,
48-52-103
- 48-52-105, as appropriate. Filing and recording fees shall be as provided in §
48-11-303
or §
48-51-303
, as appropriate. Before the certificate of incorporation shall become effective, it must be approved by the commissioner of commerce and insurance, and from the date the certificate of incorporation is filed in the office of the secretary of state, with such approval, the stock subscribers, their successors and assigns, shall become a body corporate.
Acts 1959, ch. 170, § 4; impl. am. Acts 1968, ch. 523, § 1(17.06); impl. am. Acts 1971, ch. 137, § 2; T.C.A., §§ 48-1704, 48-3-104.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-106 - First meeting and organization

(a)
The first meeting of the corporation shall be called by a notice signed by three (3) or more of the incorporators, stating the time, place, and purpose of the meeting, a copy of which notice shall be mailed, or delivered, to each incorporator at least five (5) days before the day appointed for the meeting. The first meeting may be held without such notice upon agreement in writing to that effect, signed by all the incorporators. There shall be recorded in the minutes of the meeting a copy of the notice or of such unanimous agreement of the incorporators.
(b)
At such first meeting, the incorporators shall organize by choice by ballot of a temporary clerk, by the adoption of bylaws, by the election by ballot of directors, and by action upon such other matters within the powers of the corporation as the incorporators may see fit. The temporary clerk shall be sworn and shall make and attest a record of the proceedings. Ten (10) of the incorporators shall be a quorum for the transaction of business.
Acts 1959, ch. 170, § 14; T.C.A., §§ 48-1706, 48-3-106.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-107 - Board of directors and officers

(a)
(1)
The business and affairs of the corporation shall be managed and conducted by a board of directors, a president and treasurer, and such other officers and such agents as the corporation by its bylaws shall authorize.
(2)
The board of directors shall consist of such number, not less than fifteen (15) nor more than twenty-one (21), as shall be determined in the first instance by the incorporators and thereafter annually by the members and the stockholders of the corporation.
(3)
The board of directors may exercise all the powers of the corporation, except such as are conferred by law or by the bylaws of the corporation upon the stockholders or members, and shall choose and appoint all the agents and officers of the corporation and fill all vacancies, except vacancies in the office of director which shall be filled as hereinafter provided.
(4)
The board of directors shall be elected as hereinafter provided. The board of directors shall be elected in the first instance by the incorporators and thereafter at each annual meeting of the corporation, or, if no annual meeting shall be held in any year at the time fixed by the bylaws, at a special meeting held in lieu of the annual meeting. At each annual meeting, or at each special meeting held in lieu of the annual meeting, the members of the corporation shall elect two thirds (2/3) of the board of directors and the stockholders shall elect the remaining directors.
(5)
The directors shall hold office until the next annual meeting of the corporation or special meeting held in lieu of the annual meeting after their election and until their successors are elected and qualified, unless sooner removed in accordance with the bylaws.
(6)
Any vacancy in the office of a director elected by the members shall be filled by the directors elected by the members, and any vacancy in the office of a director elected by the stockholders shall be filled by the directors elected by the stockholders.
(b)
Directors and officers shall not be responsible for losses unless the same shall have been occasioned by the willful misconduct of such directors and officers.
Acts 1959, ch. 170, § 11; T.C.A., §§ 48-1707, 48-3-107.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-109 - No preemptive rights respecting unissued stock

No stockholder shall be entitled as of right to purchase or subscribe for any unissued stock of the corporation, whether now or hereafter authorized, or whether of a class not existing or of a class hereafter created, or to purchase or subscribe for any bonds, certificates of indebtedness, debentures, or other obligations convertible into stock of the corporation.
Acts 1959, ch. 170, § 9; T.C.A., §§ 48-1709, 48-3-109.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-110 - Membership of financial institutions

Any financial institution may request membership in the corporation by making application to the board of directors on such form and in such manner as the board of directors may require, and membership shall become effective upon acceptance of such application by the board.
Acts 1959, ch. 170, § 7; T.C.A., §§ 48-1710, 48-3-110.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-111 - Duration of membership - Withdrawal

Membership in the corporation shall be for the duration of the corporation; provided, that upon written notice given to the corporation three (3) years in advance, a member may withdraw from membership in the corporation at the expiration date of such notice. A member shall not be obligated to make any loans to the corporation pursuant to calls made subsequent to the withdrawal of the member.
Acts 1959, ch. 170, § 7; T.C.A., §§ 48-1711, 48-3-111.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-112 - Powers of stockholders and members - Voting

(a)
The stockholders and members of the corporation have the following powers of the corporation, to:
(1)
Determine the number of the elected directors as provided in §
48-101-107
;
(2)
Make, amend, and repeal bylaws;
(3)
Amend the charter as provided in §
48-101-119
; and
(4)
Exercise such other of the powers of the corporation as may be conferred on the stockholders and the members by the bylaws.
(b)
As to all matters requiring action by the stockholders and members of the corporation, the stockholders and the members shall vote separately thereon by classes and, except as otherwise herein provided, such matters shall require the affirmative vote of the majority of the votes to which the stockholders present or represented at the meeting shall be entitled, and the affirmative vote of a majority of the votes to which the members present or represented at the meeting shall be entitled. Each stockholder shall have one (1) vote, in person or by proxy, for each share of capital stock held by the stockholder and each member shall have one (1) vote, in person or by proxy, except that any member having a loan limit of more than one thousand dollars ($1,000) shall have one (1) additional vote, in person or by proxy, for each additional one thousand dollars ($1,000) which such member is authorized to have outstanding on loans to the corporation at any one (1) time as determined under §
48-101-113
.
Acts 1959, ch. 170, § 8; T.C.A., §§ 48-1712, 48-3-112.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-114 - Obligations of corporation are legal investments for members

Notwithstanding any other law, general or special, the notes or other interest-bearing obligations of such corporation, issued in accordance with and by virtue of this part and the bylaws of such corporation, shall be legal investments for the banking, insurance, and surety organizations which become members of such corporation, up to but in no event exceeding the loan limits established herein.
Acts 1959, ch. 170, § 7; T.C.A., §§ 48-1714, 48-3-114.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-115 - Limit on total obligations

At no time shall the total obligations of such corporation exceed ten (10) times the amount of its paid-in capital and surplus, not including therein the earned surplus.
Acts 1959, ch. 170, § 16; T.C.A., §§ 48-1715, 48-3-115.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-116 - Earned surplus

The corporation shall set apart as an earned surplus all of its net earnings in each and every year until such earned surplus shall equal the total of the paid-in capital and paid-in surplus then outstanding. The earned surplus shall be held in a depository, invested in United States government bonds, or as provided in such corporation's bylaws, and shall be kept and used to meet losses and contingencies of such corporation and, whenever the amount of earned surplus shall become impaired, it shall be built up again to the required amount in the manner provided for its original accumulation.
Acts 1959, ch. 170, § 15; T.C.A., §§ 48-1716, 48-3-116.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-117 - Deposit of funds

(a)
The corporation shall not deposit any of its funds in any banking institution, unless such institution has been designated as a depository by a vote of a majority of the directors present at an authorized meeting of the board of directors, exclusive of any director who is an officer or director of the depository so designated.
(b)
The corporation shall not receive money on deposit.
Acts 1959, ch. 170, § 12; T.C.A., §§ 48-1717, 48-3-117.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-118 - Supervision over corporation - Reports

The corporation shall be subject to the supervision of and be examined by the commissioner of commerce and insurance and shall make such report of its condition and furnish such other information from time to time as the commissioner shall require.
Acts 1959, ch. 170, § 13; impl. am. Acts 1971, ch. 137, § 2; T.C.A., §§ 48-1718, 48-3-118.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-119 - Amendment of charter

The charter may be amended by the votes of the stockholders and members of the corporation, voting separately by classes, and such amendments shall require approval by the affirmative vote of two thirds (2/3) of the votes to which the stockholders shall be entitled and two thirds (2/3) of the votes to which the members shall be entitled; provided, that no amendment of the charter which is inconsistent with the general purposes expressed herein or which authorizes any additional class of capital stock to be issued or which increases the obligation of a member to make loans to the corporation, or makes any change in the principal amount, interest rate, maturity date, or in the security or credit position, of any outstanding loan of a member to the corporation, or affects a member's right to withdraw from membership of the corporation as provided in §
48-101-111
, or affects a member's voting rights as provided in §
48-101-112
, shall be made without the consent of each member affected by such amendment. Amendment of the charter shall be completed in the same manner as provided for the corporate entity in §
48-101-104
.
Acts 1959, ch. 170, § 10; T.C.A., §§ 48-1719, 48-3-119.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 1 - DEVELOPMENT CREDIT CORPORATION ACT (§§ 48-101-101 — 48-101-120) › Section 48-101-120 - State credit not pledged

Under no circumstances is the credit of the state pledged herein.
Acts 1959, ch. 170, § 17; T.C.A., §§ 48-1720, 48-3-120.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 2 - MASSACHUSETTS TRUST ACT OF 1961 (§§ 48-101-201 — 48-101-207) › Section 48-101-201 - Short title

This part may be known and cited as the "Massachusetts Trust Act of 1961."
Acts 1961, ch. 247, § 1; T.C.A., §§ 48-1801, 48-3-201.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 2 - MASSACHUSETTS TRUST ACT OF 1961 (§§ 48-101-201 — 48-101-207) › Section 48-101-202 - Definition - Levy of tax authorized

(a)
A Massachusetts trust is an unincorporated business association created at common law by an instrument under which property is held and managed by trustees for the benefit and profit of such persons as may be or may become the holders of transferable certificates evidencing beneficial interests in the trust estate, the holders of which certificates are entitled to the same limitation of personal liability extended to stockholders of private corporations.
(b)
Nothing contained in this chapter shall be construed or held to authorize the levy of any tax on earnings or distributions from an investment fund organized as a unit investment trust taxable as a grantor trust under
26 U.S.C. §§ 671-677
(whether or not such trust would otherwise constitute a business trust); provided, that not less than seventy-five percent (75%) of the value of the investments of such investment fund shall be in any combination of bonds of the United States, state of Tennessee, or any county or any municipality or political subdivision of the state, including any agency, board, authority, or commission of the state or its subdivisions.
Acts 1961, ch. 247, § 2; T.C.A., § 48-1802; Acts 1989, ch. 524, § 5; T.C.A., § 48-3-202.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 2 - MASSACHUSETTS TRUST ACT OF 1961 (§§ 48-101-201 — 48-101-207) › Section 48-101-203 - Recognized form of association

A Massachusetts trust is permitted as a recognized form of association for the conduct of business within the state of Tennessee.
Acts 1961, ch. 247, § 3; T.C.A., §§ 48-1803, 48-3-203.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 2 - MASSACHUSETTS TRUST ACT OF 1961 (§§ 48-101-201 — 48-101-207) › Section 48-101-204 - Filing of trust instrument

Any Massachusetts trust desiring to do business in this state shall file with the secretary of state a verified copy of the trust instrument creating such trust and any amendment thereto, the assumed business name, if any, and the names and addresses of its trustees; it shall also file true copies of the foregoing with the county register in the county in which it has its principal place of business in this state, and also in any county in which it owns any real property.
Acts 1961, ch. 247, § 4; T.C.A., §§ 48-1804, 48-3-204.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 2 - MASSACHUSETTS TRUST ACT OF 1961 (§§ 48-101-201 — 48-101-207) › Section 48-101-205 - Binding effect of trust instrument

Any person dealing with such Massachusetts trust shall be bound by the terms and conditions of the trust instrument and any amendments thereto so filed.
Acts 1961, ch. 247, § 4; T.C.A., §§ 48-1804, 48-3-205.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 2 - MASSACHUSETTS TRUST ACT OF 1961 (§§ 48-101-201 — 48-101-207) › Section 48-101-206 - Taxation and fees

Any Massachusetts trust created under this part or entering this state pursuant thereto shall pay such taxes and fees as are imposed by the laws, ordinances, and resolutions of the state of Tennessee, and any counties and municipalities thereof, on domestic and foreign corporations, respectively, on an identical basis therewith. In computing such taxes and fees, the shares of beneficial interest of such a trust shall have the character for tax purposes of shares of stock in private corporations.
Acts 1961, ch. 247, § 4; T.C.A., §§ 48-1804, 48-3-206.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 2 - MASSACHUSETTS TRUST ACT OF 1961 (§§ 48-101-201 — 48-101-207) › Section 48-101-207 - Corporation laws applicable

Any Massachusetts trust shall be subject to such applicable provisions of law, now or hereafter enacted, with respect to domestic and foreign corporations, respectively, as relate to the issuance of securities, filing of required statements or reports, service of process, general grants of power to act, right to sue and be sued, limitation of individual liability of shareholders, rights to acquire, mortgage, sell, lease, operate and otherwise to deal in real and personal property, and other applicable rights and duties existing under the common law and statutes of this state in a manner similar to those applicable to domestic and foreign corporations.
Acts 1961, ch. 247, § 4; T.C.A., §§ 48-1804, 48-3-207.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 3 - HEALTH, EDUCATIONAL AND HOUSING FACILITY CORPORATIONS (§§ 48-101-301 — 48-101-318) › Section 48-101-303 - Application for incorporation

(a)
Whenever any number of natural persons, not less than three (3), each of whom shall be a duly qualified elector of and taxpayer in the municipality, shall file with the governing body thereof an application in writing seeking permission to apply for the incorporation of a health, educational and housing facility corporation of such municipality, the governing body shall proceed to consider such application.
(b)
If the governing body shall, by appropriate resolution duly adopted, find and determine that it is wise, expedient, necessary or advisable that the corporation be formed and shall authorize the persons making such application to proceed to form such corporation and shall approve the form of certificate of incorporation proposed to be used in organizing the corporation, then the persons making such application shall execute, acknowledge and file a certificate of incorporation for the corporation as hereinafter provided.
(c)
No corporation may be formed unless such application shall have first been filed with the governing body of the municipality and the governing body shall have adopted a resolution as provided in this section.
Acts 1969, ch. 333, § 3; 1982, ch. 947, § 4; T.C.A., §§ 48-1903, 48-3-303.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 3 - HEALTH, EDUCATIONAL AND HOUSING FACILITY CORPORATIONS (§§ 48-101-301 — 48-101-318) › Section 48-101-304 - Certificate of incorporation

(a)
The certificate of incorporation shall set forth:
(1)
The names and residences of the applicants, together with a recital that each of them is an elector of and taxpayer in the municipality;
(2)
The name of the corporation which shall be The Health, Educational and Housing Facility Board of the ______________ of ______________ (the blanks to be filled in with the name of the municipality), if such name shall be available for use by the corporation and if not available then the incorporators shall designate some other similar name that is available;
(3)
A recital that permission to organize the corporation has been granted by resolution duly adopted by the governing body of the municipality and the date of the adoption of such resolution;
(4)
The location of the principal office of the corporation (which shall be in the municipality);
(5)
The purposes for which the corporation is proposed to be organized;
(6)
The number of directors of the corporation;
(7)
The period, if any, for the duration of the corporation; and
(8)
Any other matter which the applicants may choose to insert therein which shall not be inconsistent with this part or with the laws of the state of Tennessee.
(b)
The certificate of incorporation shall be subscribed and acknowledged by each of the applicants before an officer authorized by the laws of Tennessee to take acknowledgments to deeds.
Acts 1969, ch. 333, § 4; 1982, ch. 947, § 5; T.C.A., §§ 48-1904, 48-3-304.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 3 - HEALTH, EDUCATIONAL AND HOUSING FACILITY CORPORATIONS (§§ 48-101-301 — 48-101-318) › Section 48-101-305 - Filing of certificate of incorporation

When executed and acknowledged in conformity with §
48-101-304
, the certificate of incorporation shall be filed with the secretary of state. The secretary of state shall thereupon examine the certificate of incorporation and, if the secretary of state finds that the recitals contained therein are correct, that the requirements of §
48-101-304
have been complied with, and that the name is not identical with or so nearly similar to that of another corporation already in existence in this state as to lead to confusion and uncertainty, the secretary of state shall approve the certificate of incorporation and record it in an appropriate book or record in the secretary of state's office. When such certificate has been so made, filed and approved, the applicants shall constitute a public corporation under the name set out in the certificate of incorporation.
Acts 1969, ch. 333, § 5; T.C.A., §§ 48-1905, 48-3-305.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 3 - HEALTH, EDUCATIONAL AND HOUSING FACILITY CORPORATIONS (§§ 48-101-301 — 48-101-318) › Section 48-101-306 - Amendment of certificate of incorporation

(a)
The certificate of incorporation may at any time and from time to time be amended so as to make any changes therein and add any provisions thereto which might have been included in the certificate of incorporation in the first instance. Any such amendment shall be effected in the following manner:
(1)
The members of the board of directors of the corporation shall file with the governing body of the municipality an application in writing seeking permission to amend the certificate of incorporation, specifying in such application the amendment proposed to be made;
(2)
Such governing body shall consider such application and, if it shall by appropriate resolution duly find and determine that it is wise, expedient, necessary or advisable that the proposed amendment be made and shall authorize the same to be made, and shall approve the form of the proposed amendment, then the persons making such application shall execute an instrument embodying the amendment specified in such application, and shall file the same with the secretary of state;
(3)
The proposed amendment shall be subscribed and acknowledged by each member of the board of directors before an officer authorized by the laws of Tennessee to take acknowledgments to deeds;
(4)
The secretary of state shall thereupon examine the proposed amendment and, if the secretary of state finds that the requirements of this section have been complied with and the proposed amendment is within the scope of what might be included in an original certificate of incorporation, the secretary of state shall approve the amendment and record it in an appropriate book in the secretary of state's office;
(5)
When such amendment has been so made, filed and approved, it shall thereupon become effective and the certificate of incorporation shall thereupon be amended to the extent provided in the amendment.
(b)
No certificate of incorporation shall be amended except in the manner provided in this section.
Acts 1969, ch. 333, § 6; T.C.A., §§ 48-1906, 48-3-306.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 3 - HEALTH, EDUCATIONAL AND HOUSING FACILITY CORPORATIONS (§§ 48-101-301 — 48-101-318) › Section 48-101-307 - Board of directors

(a)
The corporation shall have a board of directors in which all powers of the corporation shall be vested and which shall consist of any number of directors, not less than seven (7), all of whom shall be duly qualified electors of and taxpayers in the municipality.
(b)
The directors shall serve as such without compensation except that they shall be reimbursed for their actual expenses incurred in and about the performance of their duties hereunder.
(c)
No director shall be an officer or employee of the municipality.
(d)
The directors shall be elected by the governing body of the municipality, and they shall be so elected that they shall hold office for staggered terms. At the time of the election of the first board of directors, the governing body of the municipality shall divide the directors into three (3) groups containing as near equal whole numbers as may be possible. The first term of the directors included in the first group shall be two (2) years, the first term of the directors included in the second group shall be four (4) years, the first term of the directors included in the third group shall be six (6) years, and thereafter the terms of all directors shall be six (6) years; provided, that if at the expiration of any term of office of any director a successor thereto shall not have been elected, then the director whose term of office shall have expired shall continue to hold office until a successor shall be so elected.
(e)
The directors shall meet and organize as a board and shall elect one (1) of its members as chair, one (1) as vice chair, one (1) as treasurer and one (1) as secretary and such officers shall annually be elected thereafter in like manner.
(f)
The duties of secretary and treasurer may be performed by the same director.
(g)
Any action taken by the directors under this part may be authorized by resolution at any regular or special meeting, and such resolution shall take effect immediately and need not be published or posted.
(h)
Any meeting held by the board of directors for any purpose whatsoever shall be open to the public.
Acts 1969, ch. 333, §§ 7, 8; 1975, ch. 29, § 4; 1976, ch. 514, § 3; T.C.A., §§ 48-1907, 48-1908, 48-3-307.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 3 - HEALTH, EDUCATIONAL AND HOUSING FACILITY CORPORATIONS (§§ 48-101-301 — 48-101-318) › Section 48-101-309 - Terms of contracts

Any lease, sale contract or loan agreement with respect to a project entered into pursuant to this part shall be for a term not shorter than the longest maturity of any bonds issued to finance such project, and shall provide for revenues adequate to pay principal of and interest on such bonds as the same falls due and to pay such portion of the operating expenses of the corporation as the board of directors shall determine to be necessary.
Acts 1969, ch. 333, § 8; 1975, ch. 29, § 4; 1976, ch. 514, § 3; 1982, ch. 629, §§ 2, 3; 1982, ch. 947, § 6; 1983, ch. 76, §§ 2, 3; T.C.A., §§ 48-1908, 48-3-309.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 3 - HEALTH, EDUCATIONAL AND HOUSING FACILITY CORPORATIONS (§§ 48-101-301 — 48-101-318) › Section 48-101-311 - Security for bonds

(a)
The principal of and interest on any bonds issued by the corporation shall be secured by a pledge of the revenues and receipts out of which the same shall be made payable, and may be secured by a mortgage or deed of trust covering all or any part of the projects from which the revenues or receipts so pledged may be derived, including any enlargements of and additions to any such projects thereafter made, and by an assignment and pledge of all or any part of the corporation's interest in and rights under the leases, sale contracts or loan agreements relating to such projects, or any thereof.
(b)
The resolution under which the bonds are authorized to be issued and any such mortgage or deed of trust may contain any agreements and provisions respecting the maintenance of the projects covered thereby; the fixing and collection of rents or payments with respect to any projects or portions thereof covered by such resolution, mortgage or deed of trust, the creation and maintenance of special funds from such revenues and from the proceeds of such bonds, and the rights and remedies available in the event of default, all as the board of directors shall deem advisable and not in conflict with this part.
(c)
Each pledge, agreement, mortgage and deed of trust made for the benefit or security of any of the bonds of the corporation shall continue effective until the principal of and interest on the bonds for the benefit of which the same were made shall have been fully paid. In the event of default in such payment or in any agreement of the corporation made as a part of the contract under which the bonds were issued, whether contained in the proceedings authorizing the bonds or in any mortgage and deed of trust executed as security therefor, the payment or agreement may be enforced by suit, mandamus, the appointment of a receiver in equity or by foreclosure of any such mortgage and deed of trust, or any one (1) or more of these remedies.
Acts 1969, ch. 333, § 10; 1976, ch. 514, § 5; T.C.A., §§ 48-1910, 48-3-311.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 3 - HEALTH, EDUCATIONAL AND HOUSING FACILITY CORPORATIONS (§§ 48-101-301 — 48-101-318) › Section 48-101-313 - Nonliability of municipality

The municipality shall not in any event be liable for the payment of the principal of or interest on any bonds of the corporation, or for the performance of any pledge, mortgage, obligation or agreement of any kind whatsoever, which may be undertaken by the corporation, and none of the bonds of the corporations or any of its agreements or obligations shall be construed to constitute an indebtedness of the municipality within the meaning of any constitutional or statutory provision whatsoever.
Acts 1969, ch. 333, § 12; T.C.A., §§ 48-1912, 48-3-313.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 3 - HEALTH, EDUCATIONAL AND HOUSING FACILITY CORPORATIONS (§§ 48-101-301 — 48-101-318) › Section 48-101-314 - Disposition of earnings

The corporation shall be a nonprofit corporation and no part of its net earnings remaining after payment of its expenses shall inure to the benefit of any individual, firm or corporation, except that in the event the board of directors of the corporation shall determine that sufficient provision has been made for the full payment of the expenses, bonds, and other obligations of the corporation, then any net earnings of the corporation thereafter accruing shall be paid to the municipality with respect to which the corporation was organized; provided, that nothing herein contained shall prevent the board of directors from transferring all or any part of its properties in accordance with the terms of any lease, sale contract, loan agreement, mortgage or deed of trust entered into by the corporation.
Acts 1969, ch. 333, § 13; 1976, ch. 514, § 7; T.C.A., §§ 48-1913, 48-3-314.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 3 - HEALTH, EDUCATIONAL AND HOUSING FACILITY CORPORATIONS (§§ 48-101-301 — 48-101-318) › Section 48-101-315 - Completion of corporate purpose - Dissolution

(a)
Whenever the board of directors of the corporation shall by resolution determine that the purposes for which the corporation was formed have been substantially complied with and all bonds theretofore issued and all obligations theretofore incurred by the corporation have been fully paid, the then members of the board of directors of the corporation shall thereupon execute and file for record in the office of the secretary of state a certificate of dissolution reciting such facts and declaring the corporation to be dissolved. Such certificate of dissolution shall be executed under the corporate seal of the corporation.
(b)
Upon the filing of such certificate of dissolution, the corporation shall stand dissolved, the title to all funds and properties owned by it at the time of such dissolution shall vest in the municipality, and possession of such funds and properties shall forthwith be delivered to such municipality.
Acts 1969, ch. 333, § 14; T.C.A., §§ 48-1914, 48-3-315.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 3 - HEALTH, EDUCATIONAL AND HOUSING FACILITY CORPORATIONS (§§ 48-101-301 — 48-101-318) › Section 48-101-316 - Joint operation

The authorities and powers herein conferred upon corporations created under this part may be exercised by two (2) or more such corporations acting jointly. Two (2) or more municipalities may by acting jointly incorporate a public corporation to effectuate the purposes of this part. When two (2) or more municipalities incorporate such a public corporation, each and every requisite pertaining to the application for incorporation, qualifications of applicants, certificate of incorporation and amendment of certificate shall be incumbent in like manner upon each municipality joining in the creation of this public corporation. Officers, but not employees, of a municipality within a public corporation organized among two (2) or more municipalities may serve as directors of such a corporation.
Acts 1969, ch. 333, § 15; T.C.A., §§ 48-1915, 48-3-316.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 3 - HEALTH, EDUCATIONAL AND HOUSING FACILITY CORPORATIONS (§§ 48-101-301 — 48-101-318) › Section 48-101-317 - Transfer of project sites

Any municipality may acquire a project site by gift, purchase or lease, and may transfer any project site to a corporation by sale, lease, or gift. Such transfer may be authorized by a resolution of the governing body of the municipality without submission of the question to the voters, and without regard to the requirements, restrictions, limitations or other provisions contained in any other general, special or local law. Such project site may be within or without the municipality or partially within and partially without the municipality.
Acts 1969, ch. 333, § 17; T.C.A., §§ 48-1917, 48-3-317.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 5 - SOLICITATION OF CHARITABLE FUNDS (§§ 48-101-NEW — 48-101-521) › Section 48-101-NEW - [Newly enacted section not yet numbered]

The secretary of state may promulgate rules to effectuate this part. The rules must be promulgated in accordance with the Uniform Administrative Procedures Act, compiled in title 4, chapter 5.
Added by 2024 Tenn. Acts, ch. 533,s 44, eff. 7/1/2024, app. 3/7/2024 for purposes of promulgating rules.
2023 Tennessee Code › Title 48 - CORPORATIONS AND ASSOCIATIONS (§§ 48-1-101 — 48-250-115) › MISCELLANEOUS CORPORATION PROVISIONS (§§ 48-101-101 — 48-103-505) › Chapter 101 - SPECIAL PURPOSE CORPORATIONS AND ASSOCIATIONS (§§ 48-101-101 — 48-101-907) › Part 5 - SOLICITATION OF CHARITABLE FUNDS (§§ 48-101-NEW — 48-101-521) › Section 48-101-503 - Secretary of state's duties

(a)
The secretary of state shall review registrations and enforce registration requirements for charitable organizations and professional solicitors.
(b)
[Deleted by 2024 amendment]
(c)
The secretary of state shall make such individual investigations of all applicants for registration and of any violations of this part as the secretary of state may deem necessary and impose authorized and appropriate sanctions.
Amended by 2024 Tenn. Acts, ch. 533,s 10, eff. 7/1/2024, app. 3/7/2024 for purposes of promulgating rules.
Amended by 2024 Tenn. Acts, ch. 533,s 9, eff. 7/1/2024, app. 3/7/2024 for purposes of promulgating rules.
Amended by 2017 Tenn. Acts, ch. 146, s 2, eff. 4/17/2017.
Acts 1976, ch. 735, § 3; T.C.A., § 48-2203; Acts 1989, ch. 285, §§ 3-5; T.C.A., § 48-3-503; Acts 2007 , ch. 523, § 11.