Part 2 — Membership in Cooperatives Division 1 Becoming a Member
48 Member interest
membership shares, member loans or investment shares designated
pursuant to section 427(a).
(2) A transfer of a member interest is valid if it is approved by the
directors and the transferee meets the requirements of the articles
and the bylaws of the cooperative and, if applicable, becomes a
party to a unanimous agreement.
(3) If an individual who is under 18 years of age exercises a right
of ownership in a member interest, no subsequent repudiation or
avoidance is effective against the cooperative.
(4) Subject to the articles and the bylaws, if satisfactory proof of
death of a joint holder of a member interest is provided to the
cooperative, it may treat any surviving joint holder as the owner of
the member interest.
(5) If a personal representative of a deceased holder of a member
interest is entitled, pursuant to the articles and bylaws of the
cooperative, to become the holder of the member interest or to
designate the holder of the member interest, the personal
representative must deposit with the cooperative, together with any
reasonable assurances that the cooperative may require,
(a) any certificates or other documents reasonably required by
the cooperative to prove that the deceased held the member
interest,
(b) a document proving the death of the holder of the member
interest, and
(c) a document proving that the personal representative has th e
right under the law of the place in which the deceased was
domiciled immediately before death to deal with the
member interest.
(6) Deposit of the documents required by subsection (5) empowers
a cooperative to record the transfer of a member interest from the
deceased member to the personal representative or to any person
that the personal representative may designate and to treat the
transferee as the owner of the member interest.