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HomeCorporations CodeCh. 3Art. 1§ 5311 Membership Consideration Determination

§ 5311 Membership Consideration Determination

Corporations Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 5311 Membership Consideration Determination

Key Takeaways

  • •A company can give out memberships for free or charge money for them.
  • •The company's rules or the board decides if memberships are free or cost money.
  • •The rules can be changed if the company's articles or bylaws allow it.

Example

A local gym wants to offer free memberships to kids under 12.

The gym's board can decide to give free memberships if their rules allow it. If they usually charge $20 a month, they can change it to free for kids because the rules say they can.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 5311 Membership Consideration Determination

Subject to the articles or bylaws, memberships may be issued by a corporation for no consideration or for such consideration as is determined by the board. (Amended by Stats. 1981, Ch. 587, Sec. 10.)

Last verified: January 23, 2026

Key Terms

membershipsconsiderationboardarticles or bylaws

Related Statutes

  • § 12400 Membership Issuance Consideration Rules
  • § 7311 Membership Issuance Terms
  • § 9311 Membership Issuance Terms
  • § 5310 Corporate Membership Requirements
  • § 7310 Corporate Membership Requirements

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Corporations Code. Section 5311.
View Official Source