Common use of Distribution of Proceeds Upon Dissolution Clause in Contracts

Distribution of Proceeds Upon Dissolution. The Liquidator shall liquidate the assets of the Council and shall apply and distribute the proceeds as follows: (i) First, to the satisfaction (whether by the payment or the making of reasonable provision for payment thereof) of the Council’s debts and liabilities to its creditors (including Members, if applicable) and the expenses of liquidation (including sales commissions incident to any sales of assets of the Council); (ii) Second, to the establishment of and additions to reserves that are determined by the Board in its sole discretion to be reasonably necessary for any contingent unforeseen liabilities or obligations of the Council; and (iii) Thereafter, if approved by a majority of the Members, to an entity formed for charitable purposes and exempt from taxation under Section 501(c)(3) of the Code. In the absence of such approval, such proceeds shall be distributed as required by applicable law.

Distribution of Proceeds Upon Dissolution. The Liquidator shall liquidate the assets of the Council and shall apply and distribute the proceeds as follows: (i) First, to the satisfaction (whether by the payment or the making of reasonable provision for payment thereof) of the Council’s debts and liabilities to its creditors (including Members, if applicable) and the expenses of liquidation (including sales commissions incident to any sales of assets of the Council); (ii) Second, to the establishment of and additions to reserves that are determined by the Board in its sole discretion to be reasonably necessary for any contingent unforeseen liabilities or obligations of the Council; and (iii) Thereafter, to the Distributed Ledger Foundation or, if approved by a majority at least three-quarters of the Members, to an another entity formed for charitable purposes and exempt from taxation under Section 501(c)(3) of the Code. In the absence of such approval, such proceeds shall be distributed as required by applicable law.

Distribution of Proceeds Upon Dissolution. The Liquidator shall liquidate the assets of the Council and shall apply and distribute the proceeds as follows: (i) First, to the satisfaction (whether by the payment or the making of reasonable provision for payment thereof) of the Council’s debts and liabilities to its creditors (including Members, if applicable) and the expenses of liquidation (including sales commissions incident to any sales of assets of the Council); (ii) Second, to the establishment of and additions to reserves that are determined by the Board in its sole discretion to be reasonably necessary for any contingent unforeseen liabilities or obligations of the Council; and (iii) Thereafter, to the Distributed Ledger Council or, if approved by a majority at least three-quarters of the Members, to an another entity formed for charitable purposes and exempt from taxation under Section 501(c)(3) of the Code. In the absence of such approval, such proceeds shall be distributed as required by applicable law.