reglab/statecodes huggingface dataset:
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.025 - Use of words in name.

RCW 31.12.025
Use of words in name.
(1) A credit union shall include the words "credit union" in its name.
(2) No person may conduct business or engage in any other activity under a name or title containing the words "credit union", or represent itself as a credit union, unless it is:
(a) A credit union, out-of-state credit union, or a foreign credit union;
(b) An organization whose membership or ownership is limited to credit unions, out-of-state credit unions, federal credit unions, or their trade organizations;
(c) A person that is primarily in the business of managing one or more credit unions, out-of-state credit unions, or federal credit unions; or
(d) A credit union service organization.
[ 1997 c 397 § 4; 1994 c 256 § 70; 1984 c 31 § 4.]
NOTES:
Findings—Construction—1994 c 256: See RCW 43.320.007.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.035 - Application for permission to organize—Approval.

RCW 31.12.035
Application for permission to organize—Approval.
Seven or more natural persons who reside in this state may apply to the director for permission to organize a credit union. The application must include copies of the proposed articles of incorporation and bylaws, and such other information as may be required by the director. The director shall approve or deny a complete application within sixty days of receipt.
[ 1997 c 397 § 5; 1994 c 92 § 177; 1984 c 31 § 5.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.055 - Manner of organizing—Articles of incorporation—Submission to director.

RCW 31.12.055
Manner of organizing—Articles of incorporation—Submission to director.
(1) Persons applying for the organization of a credit union shall execute articles of incorporation stating:
(a) The initial name and location of the credit union;
(b) That the duration of the credit union is perpetual;
(c) That the purpose of the credit union is to engage in the business of a credit union and any other lawful activities permitted to a credit union by applicable law;
(d) The number of its directors, which must not be less than five or greater than fifteen, and the names of the persons who are to serve as the initial directors;
(e) The names of the incorporators;
(f) The extent, if any, to which personal liability of directors is limited;
(g) The extent, if any, to which directors, supervisory committee members, officers, employees, and others will be indemnified by the credit union; and
(h) Any other provision which is not inconsistent with this chapter.
(2) Applicants shall submit the articles of incorporation in triplicate to the director.
[ 2017 c 61 § 2; 1997 c 397 § 6. Prior: 1994 c 256 § 71; 1994 c 92 § 179; 1984 c 31 § 7.]
NOTES:
Findings—Construction—1994 c 256: See RCW 43.320.007.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.065 - Bylaws—Submission to director.

RCW 31.12.065
Bylaws—Submission to director.
(1) Persons applying for the organization of a credit union shall adopt bylaws that prescribe the manner in which the business of the credit union shall be conducted. The bylaws shall include:
(a) The name of the credit union;
(b) The field of membership of the credit union;
(c) Reasonable qualifications for admission as a member of the credit union, and the procedures for expelling a member;
(d) The number of directors and supervisory committee members, and the length of terms they serve and the permissible term length of any interim director or supervisory committee member;
(e) Any qualification for eligibility to serve on the credit union's board or supervisory committee;
(f) The number of credit union employees that may serve on the board, if any;
(g) The frequency of regular meetings of the board and the supervisory committee, and the manner in which members of the board or supervisory committee will be notified of meetings;
(h) The timing of the annual membership meeting;
(i) The manner in which members may call a special membership meeting;
(j) The manner in which members will be notified of membership meetings;
(k) The number of members constituting a quorum at a membership meeting;
(l) Provisions, if any, for the indemnification of directors, supervisory committee members, officers, employees, and others by the credit union, if not included in the articles of incorporation; and
(m) Any other provision which is not inconsistent with this chapter.
(2) Applicants shall submit the bylaws in duplicate to the director.
[ 2017 c 61 § 3; 2001 c 83 § 2; 1997 c 397 § 7. Prior: 1994 c 256 § 72; 1994 c 92 § 180; 1984 c 31 § 8.]
NOTES:
Findings—Construction—1994 c 256: See RCW 43.320.007.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.075 - Approval, denial of proposed credit union—Appeal.

RCW 31.12.075
Approval, denial of proposed credit union—Appeal.
(1) When the proposed articles of incorporation and bylaws complying with the requirements of RCW 31.12.055 and 31.12.065 have been filed with the director, the director shall:
(a) Determine whether the articles of incorporation and bylaws are consistent with this chapter; and
(b) Determine the feasibility of the credit union, taking into account surrounding facts and circumstances influencing the successful operation of the credit union.
(2) If the director is satisfied with the determinations made under subsection (1)(a) and (b) of this section, the director shall endorse each of the articles of incorporation "approved", indicate the date the approval was granted, and return two sets of articles and one set of bylaws to the applicants.
(3) If the director is not satisfied with the determinations made under subsection (1)(a) and (b) of this section, the director shall endorse each of the articles of incorporation "denied," indicate the date of, and reasons for, the denial, and return two copies of the articles of incorporation with one copy of the bylaws to the person from whom they were received. The director shall at the time of returning the copies of the articles of incorporation and bylaws, also provide notice to the applicant of the applicant's right to appeal the denial under chapter 34.05 RCW. The denial is conclusive unless the applicant requests a hearing under chapter 34.05 RCW.
[ 1997 c 397 § 8; 1994 c 92 § 181; 1984 c 31 § 9.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.085 - Filing upon approval—Fee—Notice to director—Authority to commence business.

RCW 31.12.085
Filing upon approval—Fee—Notice to director—Authority to commence business.
(1) Upon approval under RCW 31.12.075(2), the director shall deliver a copy of the articles of incorporation to the secretary of state for filing. Upon receipt of the approved articles of incorporation provided by the applicants, and the secretary of state filing fee paid by the department, the secretary of state shall file the articles of incorporation.
(2) Upon filing of the approved articles of incorporation by the secretary of state, the persons named in the articles of incorporation and their successors may conduct business as a credit union, having the powers, duties, and obligations set forth in this chapter. A credit union may not conduct business until the articles have been filed by the secretary of state.
(3) A credit union shall organize and begin conducting business within six months of the date that its articles of incorporation are filed by the secretary of state or its charter is void. However, the director may grant extensions of the six-month period.
[ 2010 c 87 § 2; 2001 c 83 § 3; 1997 c 397 § 9; 1994 c 92 § 182; 1993 c 269 § 12; 1984 c 31 § 10.]
NOTES:
Effective date—1993 c 269: See note following RCW 23.86.070.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.105 - Amendment to articles of incorporation—Approval of director—Procedure.

RCW 31.12.105
Amendment to articles of incorporation—Approval of director—Procedure.
A credit union's articles of incorporation may be amended by the board with the approval of the director. Complete applications for amendments to the articles must be approved or denied by the director within sixty days of receipt. Amendments to a credit union's articles of incorporation must conform with RCW 31.12.055.
Upon approval, the director shall promptly deliver the articles' amendments, including any necessary filing fees paid by the applicant, to the secretary of state for filing. The articles' amendments are effective upon filing of the amendments by the secretary of state.
[ 2001 c 83 § 4; 1997 c 397 § 10; 1994 c 92 § 184; 1984 c 31 § 12.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.115 - Amendment to bylaws—Approval of director required—Procedure.

RCW 31.12.115
Amendment to bylaws—Approval of director required—Procedure.
(1) A credit union's field of membership bylaws may be amended by the board with approval of the director. Complete applications to amend a credit union's field of membership bylaws must be approved or denied by the director within sixty days of receipt.
(2) A credit union's other bylaws may be amended by the board.
(3) Any amendments to a credit union's bylaws must conform with RCW 31.12.065.
[ 2001 c 83 § 5; 1997 c 397 § 11. Prior: 1994 c 256 § 73; 1994 c 92 § 185; 1984 c 31 § 13.]
NOTES:
Findings—Construction—1994 c 256: See RCW 43.320.007.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.185 - Annual membership meetings.

RCW 31.12.185
Annual membership meetings.
(1) A credit union's annual membership meeting shall be held at such time and in such manner as the bylaws prescribe, and shall be conducted according to the rules of procedure approved by the board.
(2) Notice of the annual membership meetings of a credit union shall be given as provided in the bylaws of the credit union.
[ 2019 c 19 § 1; 1997 c 397 § 12; 1987 c 338 § 2; 1984 c 31 § 20.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.225 - Board of directors—Election of directors—Terms—Vacancies—Meetings—Rules.

RCW 31.12.225
Board of directors—Election of directors—Terms—Vacancies—Meetings—Rules.
(1) The business and affairs of a credit union shall be managed by a board of not less than five and not greater than fifteen directors.
(2) The directors must be elected at the credit union's annual membership meeting. They shall hold their offices until their successors are qualified and elected or appointed.
(3) Directors shall be elected to terms of between one and three years, as provided in the bylaws. If the terms are longer than one year, the directors must be divided into classes, and an equal number of directors, as nearly as possible, must be elected each year.
(4) Except as provided in subsection (5) of this section, any vacancy on the board must be filled by an interim director appointed by the board, unless the interim director would serve a term of fewer than ninety days. Interim directors appointed to fill vacancies created by expansion of the board will serve until the next annual meeting of members. Other interim directors will serve out the unexpired term of the former director, unless provided otherwise in the credit union's bylaws.
(5) In the case of a merger between two credit unions pursuant to RCW 31.12.461, a board member of the merging credit union may continue to serve as a board member of the continuing credit union for a period not to exceed the equivalent of the duration of his or her unexpired term on the board of the merging credit union, provided that the approved plan of merger or other agreement approved by the director provides for such service on the continuing credit union's board with a corresponding expansion in the size of the continuing credit union's board not to exceed the limits under subsection (1) of this section.
(6) The board will have at least six regular meetings each year, with at least one of these meetings held in each calendar quarter. The director may require the board to meet more frequently than six times per year if the director finds it necessary in order to address matters noted in any examination.
(7) The director may adopt rules to interpret this section.
[ 2015 c 114 § 3; 2013 c 34 § 3; 2001 c 83 § 6; 1997 c 397 § 14; 1984 c 31 § 24.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.235 - Directors—Qualifications—Operating officers and employees may serve.

RCW 31.12.235
Directors—Qualifications—Operating officers and employees may serve.
(1) A director must be a natural person and a member of the credit union. If a director ceases to be a member of the credit union, the director shall no longer serve as a director.
(2)(a) If a director is absent from more than one-fourth of the regular board meetings in any twelve-month period in a term without being reasonably excused by the board, the director shall no longer serve as a director for the period remaining in the term.
(b) The board secretary shall promptly notify the director that he or she shall no longer serve as a director. Failure to provide notice does not affect the termination of the director's service under (a) of this subsection.
(3) A director must meet any qualification requirements set forth in the credit union's bylaws. If a director fails to meet these requirements, the director shall no longer serve as a director.
(4) The operating officers and employees of the credit union may serve as directors of the credit union, but only as permitted by the credit union's bylaws. In no event may the operating officers and employees of the credit union constitute a majority of the board.
[ 2013 c 34 § 4; 2001 c 83 § 7; 1997 c 397 § 15; 1994 c 256 § 78; 1984 c 31 § 25.]
NOTES:
Findings—Construction—1994 c 256: See RCW 43.320.007.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.246 - Removal of directors and supervisory committee members—Interim directors and supervisory committee members.

RCW 31.12.246
Removal of directors and supervisory committee members—Interim directors and supervisory committee members.
(1) The members of a credit union may remove a director of the credit union at a special membership meeting held in accordance with RCW 31.12.195 and called for that purpose. If the members remove a director, the members may at the same special membership meeting elect an interim director to complete the remainder of the former director's term of office or authorize the board to appoint an interim director as provided in RCW 31.12.225.
(2) The members of a credit union may remove a supervisory committee member at a special membership meeting held in accordance with RCW 31.12.195 and called for that purpose. If the members remove a supervisory committee member, the members may at the same special membership meeting elect an interim supervisory committee member to complete the remainder of the former supervisory committee member's term of office or authorize the supervisory committee to appoint an interim supervisory committee member as provided in RCW 31.12.326.
[ 2017 c 61 § 5; 1997 c 397 § 16; 1984 c 31 § 26.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.251 - Removal of directors—No quorum.

RCW 31.12.251
Removal of directors—No quorum.
If at any time because of the removal of one or more credit union directors under this chapter, the board of directors of a credit union has less than a quorum of directors, all powers and functions vested in or exercisable by the board vest in and are exercisable by the director or directors remaining until such a time as there is a quorum on the board of directors. If all of the directors of a credit union are removed under this chapter, the director of the department of financial institutions shall appoint persons to serve temporarily as directors of the credit union until such a time as their respective successors take office.
[ 2010 c 87 § 19.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.255 - Board of directors—Powers and duties.

RCW 31.12.255
Board of directors—Powers and duties.
The business and affairs of a credit union shall be managed by the board of the credit union. The duties of the board include, but are not limited to, the duties enumerated in this section. The duties listed in subsection (1) of this section may not be delegated by the credit union's board of directors. The duties listed in subsection (2) of this section may be delegated to a committee, officer, or employee, with appropriate reporting to the board.
(1) The board shall:
(a) Set the par value of shares, if any, of the credit union;
(b) Set the minimum number of shares, if any, required for membership;
(c) Establish policies governing the operation of the credit union;
(d) Establish the conditions under which a member may be expelled for cause;
(e) Fill vacancies on all committees except the supervisory committee;
(f) Approve an annual operating budget for the credit union;
(g) Designate those persons or positions authorized to execute or certify documents or records on behalf of the credit union; and
(h) Review the supervisory committee's annual report.
(2) In addition, unless delegated, the board shall:
(a) Determine the maximum amount of shares and deposits that a member may hold in the credit union;
(b) Set the rate of interest on deposits and the rate of dividends on shares and authorize the payment of dividends on shares; and
(c) Approve the charge-off of credit union losses.
[ 2015 c 123 § 1; 2001 c 83 § 8; 1997 c 397 § 17; 1994 c 256 § 79; 1984 c 31 § 27.]
NOTES:
Findings—Construction—1994 c 256: See RCW 43.320.007.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.265 - Officers.

RCW 31.12.265
Officers.
(1) The board at its first meeting after the annual membership meeting shall elect board officers from among its members, as provided in the credit union's bylaws. The board will elect as many board officers as it deems necessary for transacting the business of the board of the credit union. The board officers shall hold office until their successors are qualified and elected, unless sooner removed as provided in this chapter. All board officers must be elected members of the board. However, the office of board treasurer and board secretary may be held by the same person and need not be elected members of the board.
(2) The board may designate as many operating officers as it deems necessary for conducting the business of the credit union, including, but not limited to, a principal operating officer. Individuals serving as operating officers may also serve as board officers in accordance with subsection (1) of this section and subject to RCW 31.12.235(4).
[ 1997 c 397 § 18; 1994 c 256 § 80; 1987 c 338 § 4; 1984 c 31 § 28.]
NOTES:
Findings—Construction—1994 c 256: See RCW 43.320.007.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.267 - Officials—Fiduciary duty—Information relied on—Definition.

RCW 31.12.267
Officials—Fiduciary duty—Information relied on—Definition.
(1) Officials owe a fiduciary duty to the credit union, and must discharge the duties of their positions:
(a) In good faith;
(b) With the care an ordinarily prudent person in a like position would exercise under similar circumstances; and
(c) In a manner the official reasonably believes to be in the best interests of the credit union.
(2) In discharging the duties of an official, the official is entitled to rely on information, opinions, reports, or statements, including financial statements and other financial data, if prepared or presented by:
(a) One or more officers or employees of the credit union whom the official reasonably believes to be reliable and competent in the matters presented;
(b) Legal counsel, public accountants, or other persons as to matters the official reasonably believes are within the person's professional or expert competence; or
(c) A committee of the board of directors or supervisory committee of which the official is not a member if the official reasonably believes the committee merits confidence.
(3) An official is not acting in good faith if the official has knowledge concerning the matter in question that makes reliance otherwise permitted by subsection (2) of this section unwarranted.
(4) An official is not liable for any action taken as a director, or any failure to take any action, if the director performed the duties of the director's office in compliance with this section.
(5) As used in this section, "official" means a director, board officer, supervisory committee member, or senior operating officer of the credit union.
[ 2017 c 61 § 6; 2010 c 87 § 3; 2001 c 83 § 9; 1997 c 397 § 19.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.269 - Directors and committee members—Limitations on personal liability—Exceptions.

RCW 31.12.269
Directors and committee members—Limitations on personal liability—Exceptions.
(1) Directors and committee members at a credit union or federal credit union have no personal liability for harm caused by acts or omissions performed on behalf of the credit union if: The director or committee member was acting within the scope of his or her duties at the time of the act or omission; the harm was not caused by an act in violation of RCW 31.12.267; the harm was not caused by willful or criminal misconduct, gross negligence, reckless misconduct, or a conscious, flagrant indifference to the rights or safety of the individual harmed; and the harm was not caused by the director or committee member's operation of a motor vehicle, vessel, aircraft, or other vehicle for which the state requires the operator or the owner of the vehicle, craft, or vessel to either possess an operator's license or maintain insurance.
(2) This section does not affect a director's or committee member's liability to the credit union or to a governmental entity for harm to the credit union or governmental entity caused by the director or committee member.
(3) This section does not affect the vicarious liability of the credit union with respect to harm caused to any person, including harm caused by the negligence of a director or committee member.
(4) This section does not affect the liability of employees of the credit union for acts or omissions done within the scope of their employment.
[ 2001 c 120 § 1.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.285 - Suspension of members of board or supervisory committee by board—For cause.

RCW 31.12.285
Suspension of members of board or supervisory committee by board—For cause.
The board may, for cause, suspend a member of the board or a member of the supervisory committee until a special membership meeting, called for that purpose, is held under RCW 31.12.195. The membership meeting must be held within ninety days after the suspension. The members attending the meeting shall vote whether to remove a suspended party. For purposes of this section, "cause" includes demonstrated financial irresponsibility, a breach of fiduciary duty to the credit union, or activities which, in the judgment of the board, threaten the safety and soundness of the credit union.
[ 2015 c 114 § 4; 2013 c 34 § 5; 1997 c 397 § 21; 1984 c 31 § 30.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.335 - Supervisory committee—Duties.

RCW 31.12.335
Supervisory committee—Duties.
(1) The supervisory committee of a credit union shall:
(a) Keep informed as to the financial condition of the credit union and the decisions of the credit union's board;
(b) Perform or arrange for:
(i) A complete annual audit of the credit union; and
(ii) A verification of its members' accounts at least once every two years, and shall provide any related findings and recommendations from such audits and verifications to the board;
(c) Provide an annual report to members at each annual membership meeting;
(d) Perform or arrange for additional audits as requested by the board or management or as deemed necessary by the supervisory committee and provide any related findings and recommendations to management or the board as deemed appropriate by the supervisory committee;
(e) Monitor the implementation of management responses to material adverse findings in audits and regulatory examinations;
(f) Implement a process for the supervisory committee to receive and respond to whistleblower complaints; and
(g) Perform any additional duties as specified by the board or in the credit union's bylaws.
(2) The supervisory committee may in its sole discretion retain, at the credit union's expense, independent counsel or other professional advisors or consultants as necessary to perform the duties under this section.
[ 2019 c 19 § 3; 2017 c 61 § 8; 2001 c 83 § 11; 1997 c 397 § 23. Prior: 1994 c 256 § 82; 1994 c 92 § 192; 1984 c 31 § 35.]
NOTES:
Findings—Construction—1994 c 256: See RCW 43.320.007.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.345 - Suspension of members of a committee or members of the board by supervisory committee—For cause.

RCW 31.12.345
Suspension of members of a committee or members of the board by supervisory committee—For cause.
(1) The supervisory committee may, by unanimous vote, for cause, suspend a member of the board, until a special membership meeting called for that purpose is held in accordance with the requirements of RCW 31.12.195. The membership meeting must be held within ninety days after the suspension. The members participating in that meeting shall vote whether to remove the suspended person or persons.
(2) For purposes of this section, "cause" includes demonstrated financial irresponsibility, a breach of fiduciary duty to the credit union, or activities which, in the judgment of the supervisory committee, threaten the safety and soundness of the credit union.
[ 2015 c 114 § 6; 1997 c 397 § 24; 1984 c 31 § 36.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.365 - Directors and supervisory committee members—Compensation—Reimbursement—Rules.

RCW 31.12.365
Directors and supervisory committee members—Compensation—Reimbursement—Rules.
(1) A credit union may pay to its directors and supervisory committee members reasonable compensation for their service as directors and supervisory committee members. Irrespective of whether it pays compensation to its directors or supervisory committee members, a credit union may provide to its directors and supervisory committee members:
(a) Gifts of minimal value;
(b) Insurance coverage or incidental services, available to employees generally; and
(c) Reimbursement for reasonable expenses incurred on behalf of themselves and their spouses in the performance of the directors' and supervisory committee members' duties.
(2) The director may adopt rules to interpret this section.
[ 2015 c 123 § 2; 2013 c 34 § 6; 2001 c 83 § 12; 1997 c 397 § 25; 1984 c 31 § 38.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.367 - Risk—Bond coverage—Notice to director—Timing.

RCW 31.12.367
Risk—Bond coverage—Notice to director—Timing.
(1) Each credit union must be adequately insured against risk. In addition, each director, officer, committee member, and employee of a credit union must be adequately bonded.
(2) When a credit union receives notice that its fidelity bond coverage will be suspended or terminated, the credit union shall notify the director in writing not less than thirty-five days prior to the effective date of the suspension or termination.
[ 2015 c 114 § 7; 2001 c 83 § 13; 1997 c 397 § 26; 1994 c 92 § 191; 1984 c 31 § 32. Formerly RCW 31.12.306.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.372 - Director may suspend any person, reason—Notice—Injunctions.

RCW 31.12.372
Director may suspend any person, reason—Notice—Injunctions.
(1) The director may issue and serve written notice of charges under RCW 31.12.575 to suspend a person from further participation in any manner in the conduct of the affairs of a credit union if the director determines that such an action is necessary for the protection of the credit union or the interests of the credit union's members.
(2) Any suspension notice issued by the director is effective upon service and, unless the superior court of the county in which the primary place of business of the credit union is located issues a stay of the notice, remains in effect and enforceable until:
(a) The director dismisses the charges contained in the notice served on the person; or
(b) The effective date of a final order for removal of the person pursuant to administrative proceedings under RCW 31.12.625.
(3) With the suspension notice, the director shall serve a notice of intent to remove or prohibit under RCW 31.12.575.
(4) Within ten days after the person has been served with the suspension notice, the person may apply to the superior court of the county in which the primary place of business of the credit union is located for an injunction setting aside, limiting, or holding in abeyance the suspension notice pending the completion of the administrative proceedings under the notice issued under subsection (3) of this section.
(5) In the case of a violation or threatened violation of a suspension notice, the director may apply to the superior court of the county in which the primary place of business of the credit union is located for an injunction to enforce the notice, and the court shall issue an injunction if it determines that there has been a violation or threatened violation.
(6) For the purposes of this section, the principal place of business of a foreign or out-of-state credit union is Thurston county.
[ 2015 c 114 § 8; 2010 c 87 § 17.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.382 - Limitation on membership.

RCW 31.12.382
Limitation on membership.
(1) Membership in a credit union shall be limited to groups having a common bond of occupation or association, or to groups within a well-defined neighborhood, community, or rural district. The director may adopt rules: (a) Reasonably defining "common bond"; and (b) setting forth standards for the approval of charters.
(2) The director may approve the inclusion within the field of membership of a credit union a group having a separate common bond if the director determines that the group is not of sufficient size or resources to support a viable credit union of its own.
(3) The director may approve, in accordance with the provisions of this chapter, the inclusion within a credit union's field of membership of groups having a common bond of occupation or association, or groups within a well-defined neighborhood, community, or rural district, notwithstanding the fact that such groups are situated partially or wholly outside this state.
[ 2019 c 19 § 4; 1994 c 92 § 178; 1984 c 31 § 6. Formerly RCW 31.12.045.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.384 - Membership.

RCW 31.12.384
Membership.
(1) A credit union may admit to membership those persons qualified for membership as set forth in its bylaws.
(2) An organization whose membership, ownership, or employees are comprised principally of persons who are eligible for membership in the credit union may become a member of the credit union.
[ 1997 c 397 § 27; 1984 c 31 § 16. Formerly RCW 31.12.145.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.386 - Voting rights—Methods—Proxy—Under eighteen years of age.

RCW 31.12.386
Voting rights—Methods—Proxy—Under eighteen years of age.
(1) No member may have more than one vote. A natural person may not hold more than one membership in a credit union on behalf of himself or herself. An organization having membership in a credit union may cast one vote through a natural person agent duly authorized in writing.
(2) Members may vote, as prescribed in the credit union's bylaws, by mail ballot, absentee ballot, or other method. However, no member may vote by proxy.
(3) A member who is not at least eighteen years of age is not eligible to vote as a member unless otherwise provided in the credit union's bylaws.
[ 2017 c 61 § 9; 1997 c 397 § 28; 1994 c 256 § 76; 1984 c 31 § 17. Formerly RCW 31.12.155.]
NOTES:
Findings—Construction—1994 c 256: See RCW 43.320.007.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.388 - Expulsion of member—Challenge—Share and deposit accounts.

RCW 31.12.388
Expulsion of member—Challenge—Share and deposit accounts.
(1) Members expelled from the credit union will be notified of the expulsion and the reasons upon which it is based. The credit union will, upon request of the expelled member, allow the member to challenge the expulsion and seek reinstatement as a member.
(2) The amounts in an expelled member's share and deposit accounts must be promptly paid to the person following expulsion, and after deducting amounts due from the member(s) to the credit union, including, but not limited to, any applicable penalties for early withdrawal. Expulsion will not operate to relieve the person from outstanding liabilities owed to the credit union.
[ 1997 c 397 § 29; 1984 c 31 § 31. Formerly RCW 31.12.295.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.413 - Low-income credit unions—Director's approval required—Powers—Rules.

RCW 31.12.413
Low-income credit unions—Director's approval required—Powers—Rules.
(1) A credit union may apply in writing to the director for designation as a low-income credit union. To qualify for approval of this designation, the credit union must provide evidence satisfactory to the director that at least fifty percent of a substantial and well-defined segment of the credit union's members or potential primary members are low-income members.
(2) Among other powers and authorities, a low-income credit union may:
(a) Issue secondary capital accounts approved in advance by the director upon application of the credit union; and
(b) Accept and maintain shares and deposits from nonmembers.
(3) The director may adopt rules for the organization and operation of low-income credit unions including, but not limited to, rules concerning secondary capital accounts and requiring disclosures to the purchasers of the accounts.
[ 2017 c 61 § 11; 2015 c 114 § 10; 2001 c 83 § 16.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.416 - Shares and deposits governed by chapter 30.22 RCW—Limitation on shares and deposits—Notice of withdrawal—Lien rights.

RCW 31.12.416
Shares and deposits governed by chapter 30.22 RCW—Limitation on shares and deposits—Notice of withdrawal—Lien rights.
(1) Shares held and deposits made in a credit union by a natural person are governed by *chapter 30.22 RCW.
(2) A credit union may require ninety days notice of a member's intention to withdraw shares or deposits. The notice requirement may be extended with the written consent of the director.
(3) A credit union will have a lien on all shares and deposits, including, but not limited to, dividends, interest, and any other earnings and accumulations thereon, of any share account holder or depositor, to the extent of any obligation owed to the credit union by the share account holder or depositor.
[ 1997 c 397 § 32. Prior: 1994 c 256 § 83; 1994 c 92 § 194; 1984 c 31 § 40. Formerly RCW 31.12.385.]
NOTES:
*Reviser's note: Chapter 30.22 RCW was recodified as chapter 30A.22 RCW pursuant to 2014 c 37 § 4, effective January 5, 2015.
Findings—Construction—1994 c 256: See RCW 43.320.007.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.418 - Dividends.

RCW 31.12.418
Dividends.
Dividends may be paid from current undivided earnings which remain after deduction of expenses and the amounts required for reserves, or from the undivided earnings that remain from preceding periods.
[ 2015 c 123 § 3; 1997 c 397 § 33; 1984 c 31 § 50. Formerly RCW 31.12.485.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.426 - Loans—Secured or unsecured loans.

RCW 31.12.426
Loans—Secured or unsecured loans.
(1) A credit union may make secured and unsecured loans to its members under policies established by the board, subject to the loans to one borrower limits provided for in RCW 31.12.428. Each loan must be evidenced by records adequate to support enforcement or collection of the loan and any review of the loan by the director. Loans must be in compliance with rules adopted by the director.
(2) Loans to directors, supervisory committee members, and credit committee members may not be made under more favorable terms and conditions than those made to members generally.
(3) A credit union may obligate itself to purchase loans in accordance with RCW 31.12.436(1)(a), if the credit union's underwriting policies would have permitted it to originate the loans.
[ 2013 c 34 § 7; 2001 c 83 § 17; 1997 c 397 § 34. Prior: 1994 c 256 § 84; 1994 c 92 § 195; 1987 c 338 § 6; 1984 c 31 § 42. Formerly RCW 31.12.406.]
NOTES:
Findings—Construction—1994 c 256: See RCW 43.320.007.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.428 - Limit on loan amount.

RCW 31.12.428
Limit on loan amount.
(1) No loan may be made to any borrower if the loan would cause the borrower to be indebted to the credit union on all types of loans in an aggregated amount exceeding ten thousand dollars or twenty-five percent of the capital of the credit union, whichever is greater, without the approval of the director.
(2) The director by rule may establish separate limits on business loans to one borrower.
[ 2001 c 83 § 18; 1997 c 397 § 35; 1994 c 256 § 92. Formerly RCW 31.12.317.]
NOTES:
Effective date—1997 c 397 § 35: "Section 35 of this act takes effect July 1, 1998." [ 1997 c 397 § 90.]
Findings—Construction—1994 c 256: See RCW 43.320.007.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.438 - Investment in real property or leasehold interests—Limitations—Rules.

RCW 31.12.438
Investment in real property or leasehold interests—Limitations—Rules.
(1) A credit union may invest in real property or leasehold interests including, but not limited to, structures and fixtures attached to real property for use in conducting its business or the business of a credit union service organization, subject to the following limitations:
(a) The credit union's net worth equals at least five percent of the total of its share and deposit accounts;
(b) The board approves the investment; and
(c) The aggregate of all such investments does not exceed seven and one-half percent of the total of its share and deposit accounts.
(2) The director may, upon written application, waive any of the limitations listed in subsection (1) of this section, and the director may adopt rules to interpret this section.
[ 2022 c 15 § 5; 2013 c 34 § 9; 2001 c 83 § 20; 1997 c 397 § 37. Prior: 1994 c 256 § 87; 1994 c 92 § 198; 1984 c 31 § 45. Formerly RCW 31.12.435.]
NOTES:
Findings—Construction—1994 c 256: See RCW 43.320.007.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.461 - Mergers.

RCW 31.12.461
Mergers.
(1) For purposes of this section, a "merging credit union" is a credit union whose charter ceases to exist upon merger with the continuing credit union, and a "continuing credit union" is a credit union whose charter continues upon merger with the merging credit union.
(2) A credit union may be merged with another credit union with the approval by the director of a plan of merger or in accordance with requirements the director may otherwise prescribe. The merger must be approved by a majority vote of the board of each credit union and a majority vote of those members of the merging credit union voting on the merger at a membership meeting. The requirement of approval by the members of the merging credit union may be waived by the director if the merging credit union is in imminent danger of insolvency.
(3) The property, rights, and interests of the merging credit union transfer to and vest in the continuing credit union without deed, endorsement, or instrument of transfer, although instruments of transfer may be used if their use is deemed appropriate. The debts and obligations of the merging credit union that are known or reasonably should be known are assumed by the continuing credit union.
(4) The continuing credit union shall cause to be published notice of merger once a week for three consecutive weeks in a newspaper of general circulation in the county in which the principal place of business of the merging credit union is located.
(5) The notice of merger must also inform creditors of the merging credit union how to make a claim on the continuing credit union, and that if a claim is not made upon the continuing credit union within thirty days of the last date of publication, creditors' claims that are not known by the continuing credit union are thereafter barred.
(6) Except for claims filed as requested by the notice, or debts or obligations that are known or reasonably should be known by the continuing credit union, the debts and obligations of the merging credit union are discharged.
(7) Upon merger, the charter of the merging credit union ceases to exist.
(8) Mergers are effective after the thirty-day notice period to creditors and all regulatory waiting periods have expired, and upon filing of the credit union's articles of merger by the secretary of state, or a later date stated in the articles, which in no event may be later than ninety days after the articles are filed.
[ 2015 c 114 § 12; 2014 c 8 § 1; 2013 c 34 § 10; 2001 c 83 § 21; 1997 c 397 § 40. Prior: 1994 c 256 § 91; 1994 c 92 § 220; 1987 c 338 § 8; 1984 c 31 § 71. Formerly RCW 31.12.695.]
NOTES:
Findings—Construction—1994 c 256: See RCW 43.320.007.
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.464 - Merger or conversion of state into federal, out-of-state, or foreign credit union, or other type of financial institution.

RCW 31.12.464
Merger or conversion of state into federal, out-of-state, or foreign credit union, or other type of financial institution.
(1) A credit union may merge or convert into a federal credit union as authorized by the federal credit union act. The merger or conversion must be approved by a majority vote of those credit union members voting at a membership meeting, unless the credit union prescribes in its bylaws a higher percentage approval vote than a simple majority.
(2) If the merger or conversion is approved by the members, a copy of the resolution certified by the secretary must be filed with the director within ten days of approval. The board may effect the merger or conversion upon terms agreed by the board and the federal regulator.
(3) A certified copy of the federal credit union charter or authorization issued by the federal regulator must be filed with the director and thereupon the credit union ceases to exist except for the purpose of winding up its affairs and prosecuting or defending any litigation by or against the credit union. For all other purposes, the credit union is merged or converted into a federal credit union and the credit union may execute, acknowledge, and deliver to the successor federal credit union the instruments of transfer, conveyance, and assignment that are necessary or desirable to complete the merger or conversion, and the property, tangible or intangible, and all rights, titles, and interests that are agreed to by the board and the federal regulator.
(4) Mergers and conversions are effective after all applicable regulatory waiting periods have expired and upon filing of the credit union's articles of merger or articles of conversion, as appropriate, by the secretary of state, or a later date stated in the articles, which in no event may be later than ninety days after the articles are filed.
(5) Procedures, similar to those contained in subsections (1) through (4) of this section, prescribed by the director must be followed when a credit union merges or converts into an out-of-state or foreign credit union, or other type of financial institution.
[ 2015 c 114 § 13; 2001 c 83 § 22; 1997 c 397 § 41; 1994 c 92 § 221; 1984 c 31 § 72. Formerly RCW 31.12.705.]
2023 Revised Code of Washington › Title 31 - Miscellaneous Loan Agencies › Chapter 31.12 - Washington State Credit Union Act. › 31.12.467 - Merger or conversion of federal, out-of-state, or foreign to state credit union.

RCW 31.12.467
Merger or conversion of federal, out-of-state, or foreign to state credit union.
(1) A federal credit union located and conducting business in this state may merge or convert into a credit union organized and operating under this chapter.
(2) In the case of a conversion, the board of the federal credit union shall file with the director proposed articles of incorporation and bylaws, as provided by this chapter for organizing a new credit union. If the conversion is approved by the director, the federal credit union becomes a credit union under the laws of this state.
(3) The assets and liabilities of the federal credit union will vest in and become the property of the successor credit union subject to all existing liabilities against the federal credit union. Members of the federal credit union may become members of the successor credit union.
(4) Mergers and conversions are effective after all applicable regulatory waiting periods have expired and upon filing of the federal credit union's articles of merger or articles of conversion, as appropriate, by the secretary of state, or a later date stated in the articles, which in no event may be later than ninety days after the articles are filed.
(5) Procedures, similar to those contained in subsections (1) through (4) of this section, prescribed by the director must be followed when an out-of-state or foreign credit union wishes to merge or convert into a credit union organized and operating under this chapter.
[ 2001 c 83 § 23; 1997 c 397 § 42; 1994 c 92 § 222; 1984 c 31 § 73. Formerly RCW 31.12.715.]