15300-15306

FINANCIAL CODE
SECTION 15300-15306




15300.  A credit union may convert itself into a federal credit
union by following the procedure contained in this article.



15301.  Upon recommendation of the board of directors the members of
any credit union may by an affirmative majority vote of such members
resolve to convert such credit union into a federal credit union.
For the purposes of this article, an "affirmative majority vote of
such members" means that the vote by the members to convert the
credit union into a federal credit union is approved or ratified by
the affirmative vote of a majority of the votes represented and
voting at a duly held meeting at which a quorum is present (which
affirmative votes also constitute a majority of the required quorum)
or written ballot in conformity with Section 7513 of the Corporations
Code or by the affirmative vote or written ballot as may be provided
in the bylaws pursuant to subdivision (e) of Section 7151 of the
Corporations Code.



15302.  Within 10 days after the meeting or written vote at which
the members determine to convert into a federal credit union, the
credit union shall file with the commissioner a certificate verified
by the board of directors of such credit union. The certificate shall
contain a copy of the minutes of the meeting or a copy of the
written ballot and the results of the written vote and a statement
that the members have approved the determination to convert such
credit union into a federal credit union. A copy of such certificate
shall be filed with the Secretary of State.



15303.  A certified copy of the certificate required by Section
15302 filed in the office of the Secretary of State is presumptive
evidence of the holding of the meeting or written vote and the action
taken thereat.


15304.  After the meeting or the written vote of the members, the
credit union shall take such action as is necessary to make it a
federal credit union, and within 10 days after receipt of the federal
charter, the credit union shall file with the commissioner and with
the Secretary of State, a copy of the charter issued to such credit
union by the National Credit Union Administration or a certificate
showing the organization of such credit union as a federal credit
union certified by or on behalf of the National Credit Union
Administration. Upon the filing of such instrument with the Secretary
of State the credit union ceases to be a state credit union and is a
federal credit union.



15305.  At the time the conversion into a federal credit union
becomes effective, the credit union ceases to be supervised by this
state and all of the property of the credit union, including all of
its right, title, and interest in and to all property of every kind
and character immediately, by operation of law and without any
conveyance, or transfer and without any further act or deed, is
vested in the credit union under its new name and style as a federal
credit union and under its new jurisdiction.



15306.  The converted federal credit union shall have, hold, and
enjoy the property mentioned in Section 15305 in its own right as
fully and to the same extent as the property was possessed, held, and
enjoyed by it as a state credit union and the federal credit union
shall continue responsible for all of the obligations of the state
credit union to the same extent as though the conversion had not
taken place. The federal credit union shall be merely a continuation
of the state credit union under a new name and new jurisdiction and
such revision of its corporate structure as is considered necessary
for its proper operation under the new jurisdiction.