186.03(1)(c)
(c) An organization, association or corporation whose membership or ownership is primarily confined or restricted to credit unions.
186.03(2)
(2) Use required. A credit union shall use the phrase "credit union" in its corporate name.
186.03(3)
(3) Name approval. The office of credit unions shall approve a credit union's name before the name is officially adopted. A credit union may not adopt the name of another credit union doing business in this state.
186.03(4)
(4) Penalty. Whoever violates this section may be fined not more than $5,000.
186.06
186.06
Membership meetings, fiscal year. 186.06(1)
(1)
Manner of meeting. The annual meeting and any special meeting of the members of a credit union shall be held in the manner provided by the bylaws.
186.06(1m)
(1m) Voting. At a meeting, each member shall have one vote irrespective of the member's share total. Except as provided in
sub. (2), a member may not vote by proxy.
186.06(2)
(2) Representation. An organization, association or corporation member of a credit union may be represented by and have its vote cast by an authorized representative of its members or owners.
186.06(2m)
(2m) Voting eligibility. The bylaws shall prescribe the terms by which a member is eligible to vote at a meeting.
186.06(3)(a)(a) At any meeting, if the notice so indicates, a majority of the members present may direct the board of directors to do any of the following:
186.06(3)(a)1.
1. Consider implementing any policy proposed by the members.
186.06(3)(a)2.
2. Reconsider any decision of the directors, officers or committees.
186.06(3)(b)
(b) At any meeting, if the notice so indicates, the members may, by a three-fourths vote of the members present, do any of the following:
186.06(4)
(4) Fiscal year. The fiscal year of every credit union shall end at the close of business on December 31 and the credit union shall, at least semiannually, transfer funds as provided in
s. 186.17.
186.07
186.07
Board of directors. 186.07(1)(1)
Directors. At the first meeting of the members, the members shall elect a board of directors, consisting of an odd number of directors. A board of directors shall consist of at least 5 directors. Subsequent elections for board members shall be held at the annual membership meeting held in a manner prescribed in the bylaws.
186.07(1m)(a)(a) The board of directors shall appoint a president of the credit union. The board may also appoint any committee that the board considers to be necessary.
186.07(1m)(b)
(b) The president shall appoint any employe officer.
186.07(2)
(2) Terms. A director shall hold office until any of the following occurs:
186.07(2)(a)
(a) A successor is elected or appointed and the successor signs an oath of office.
186.07(3)(a)(a) Unless the articles of incorporation or bylaws provide otherwise, the board of directors may permit any or all directors to participate in a regular or special meeting or in a committee meeting of the board of directors, including a meeting of the executive committee, in any manner described in
par. (b). Unless the articles of incorporation, bylaws or board of directors provide otherwise, the credit committee may permit any or all members of the committee to participate in a credit committee meeting in any manner described in
par. (b).
186.07(3)(b)
(b) If authorized under
par. (a), the directors or credit committee members may participate in a meeting by, or conduct a meeting through the use of, any means of communication by which any of the following occurs:
186.07(3)(b)1.
1. All participating directors or members may simultaneously hear each other during the meeting.
186.07(3)(b)2.
2. All communication during the meeting is immediately transmitted to each participating director or member, and each participating director or member is able to immediately send messages to all other participating directors or members.
186.07(3)(c)
(c) If a meeting will be conducted through the use of any means described in
par. (b), all participating directors or credit committee members shall be informed that a meeting is taking place at which official business may be transacted. A director or member participating in a meeting by any means described in
par. (b) is deemed to be present in person at the meeting. If requested by a director or member, minutes of the meeting shall be prepared and distributed to each director or member.
186.07(4)
(4) Director eligibility. Eligibility for election to the board of directors shall be prescribed in the bylaws.
186.07(5)
(5) Director removal. The board of directors shall remove a director from the board if any of the following applies:
186.07(5)(a)
(a) The director withdraws from membership in the credit union.
186.07(5)(b)
(b) The director causes a loss to the credit union because of a delinquency or a known conflict of interest.
186.07(5)(c)
(c) The director is unable to be bonded for all activities of the credit union.
186.07(5)(d)
(d) In the judgment of the board of directors, removal of the director is in the best interests of the credit union.
186.07(6)
(6) Removal notice and appeal. A director who is removed under
sub. (5) or
s. 186.071 (2) shall be given notice of removal and shall be given an opportunity to appeal before the board of directors.
186.07(7)
(7) Vacancies. Within 60 days after the date of a removal, the board of directors shall appoint a director to fill the vacancy. The appointee shall serve until a successor is elected at the next annual membership meeting.
186.071(1)(1)
Oath. Every director, officer, committee member and employe shall sign an oath of office. The oath shall require the director, officer, committee member and employe to do all of the following:
186.071(1)(a)
(a) Keep confidential the financial affairs of credit union members, unless state and federal laws, security requirements or sound lending practices require disclosure.
186.071(1)(b)
(b) Keep confidential the records and accounts of the credit union unless state or federal law requires disclosure.
186.071(1)(c)
(c) Familiarize themselves with the credit union laws, bylaws, rules and policies.
186.071(1)(d)
(d) Avoid initiating or participating in any insider dealings using credit union funds or the credit union's power or authority.
186.071(1)(e)
(e) Avoid initiating or participating in any action that may be in that person's personal pecuniary interest.
186.071(2)
(2) Removal for violation. If an individual refuses to sign the oath of office or knowingly and wilfully violates the oath of office, the board shall remove that individual as a director, officer or committee member or shall direct that the individual be terminated as an employe.
186.071 History
History: 1995 a. 151.
186.08
186.08
Officers, management. 186.08(1)
(1)
Management. At its first meeting following the annual membership meeting, the board of directors shall elect from its number a chairperson and one or more vice chairpersons, a secretary of the board and a treasurer of the board. Any 2 or more offices of the board may be held by the same person, except the offices of chairperson and vice chairperson and the offices of chairperson and secretary. The board of directors shall have the general oversight and final decision-making authority over the affairs, funds and records of the credit union, and shall meet as often as may be necessary. The president of the credit union shall be the chief executive officer of the credit union and shall be in active charge of managing the credit union's day-to-day operations.
186.08(1m)
(1m) Board duties. The board's duties include all of the following:
186.08(1m)(a)
(a) Acting on all applications for membership, unless the board delegates that responsibility.
186.08(1m)(c)
(c) Setting the amount of surety bond required of each officer having custody of funds.
186.08(1m)(e)
(e) Establishing rates of interest on all loans or authorizing an officer or committee of the credit union to establish interest rates on loans.
186.08(1m)(f)
(f) Establishing conditions applicable to deposit accounts.
186.08(1m)(g)
(g) Establishing rates of interest on all deposit accounts or authorizing an officer or committee of the credit union to establish interest rates on deposit accounts.
186.08(3)
(3) Executive committee, meetings. The board of directors may appoint an executive committee consisting of at least 3 directors. If an executive committee is appointed, the executive committee shall meet as often as necessary, and the full board of directors shall meet at least quarterly. The board of directors may delegate all or any part of its authority to an executive committee, subject to any conditions or limitations the board may impose.
186.082
186.082
Definitions applicable to indemnification and insurance provisions. In
ss. 186.082 to
186.091:
186.082(1)
(1) "Credit union" means any of the following:
186.082(1)(a)
(a) A cooperative, nonprofit corporation incorporated under
s. 186.02 and any domestic or foreign predecessor of that corporation where the predecessor's existence ceased upon the consummation of a merger or other transaction.
186.082(1)(b)
(b) The Wisconsin credit union savings insurance corporation organized under
s. 186.35.
186.082(2)
(2) "Director or officer" means any of the following:
186.082(2)(a)
(a) A natural person who is or was a director or officer of a credit union.
186.082(2)(b)
(b) A natural person who, while a director or officer of a credit union, is or was serving at the credit union's request as a director, officer, partner, trustee, member of any governing or decision-making committee, manager, employe or agent of another credit union or foreign credit union, corporation, limited liability company, partnership, joint venture, trust or other enterprise.
186.082(2)(c)
(c) A natural person who, while a director or officer of a credit union, is or was serving an employe benefit plan because his or her duties to the credit union also imposed duties on, or otherwise involved services by, the person to the plan or to participants in or beneficiaries of the plan.
186.082(2)(d)
(d) Unless the context requires otherwise, the estate or personal representative of a director or officer.
186.082(2)(e)
(e) A natural person who is or was a member of a credit union's credit committee.
186.082(2)(f)
(f) A natural person who is or was a trustee of the Wisconsin credit union savings insurance corporation.
186.082(3)
(3) "Expenses" include fees, costs, charges, disbursements, attorney fees and any other expenses incurred in connection with a proceeding.
186.082(4)
(4) "Liability" includes the obligation to pay a judgment, settlement, penalty, assessment, forfeiture or fine, including any excise tax assessed with respect to an employe benefit plan, and reasonable expenses.
186.082(5)
(5) "Party" means a natural person who was or is, or who is threatened to be made, a named defendant or respondent in a proceeding.
186.082(6)
(6) "Proceeding" means any threatened, pending or completed civil, criminal, administrative or investigative action, suit, arbitration or other proceeding, whether formal or informal, which involves foreign, federal, state or local law and which is brought by or in the right of the credit union or by any other person.
186.082 History
History: 1987 a. 13;
1993 a. 112.
186.083
186.083
Mandatory indemnification. 186.083(1)
(1)
Indemnification required. A credit union shall indemnify a director or officer, to the extent he or she has been successful on the merits or otherwise in the defense of a proceeding, for all reasonable expenses incurred in the proceeding if the director or officer was a party because he or she is a director or officer of the credit union.
186.083(2)(a)(a) In cases not included under
sub. (1), a credit union shall indemnify a director or officer against liability incurred by the director or officer in a proceeding to which the director or officer was a party because he or she is a director or officer of the credit union, unless liability was incurred because the director or officer breached or failed to perform a duty he or she owes to the credit union and the breach or failure to perform constitutes any of the following:
186.083(2)(a)1.
1. A wilful failure to deal fairly with the credit union or its members in connection with a matter in which the director or officer has a material conflict of interest.
186.083(2)(a)2.
2. A violation of criminal law, unless the director or officer had reasonable cause to believe his or her conduct was lawful or no reasonable cause to believe his or her conduct was unlawful.
186.083(2)(a)3.
3. A transaction from which the director or officer derived an improper personal profit.
186.083(2)(b)
(b) Determination of whether indemnification is required under this subsection shall be made under
s. 186.084.
186.083(2)(c)
(c) The termination of a proceeding by judgment, order, settlement or conviction, or upon a plea of no contest or an equivalent plea, does not, by itself, create a presumption that indemnification of the director or officer is not required under this subsection.
