2006 Louisiana Laws - RS 22:352 — Merger and consolidation

§352.  Merger and consolidation

Any two or more associations operating under this Part having in the aggregate a number of policyholders of not less than five hundred to each of the constituent associations may merge or become consolidated by complying with the provisions of this Section.  

The boards of directors of the constituent associations shall enter into an agreement by authentic act setting forth the terms, conditions and the plan of the proposed merger or consolidation and shall submit the same to the commissioner of insurance for his approval.  If from an examination made by him or his authorized representative it shall appear to the commissioner of insurance that the proposed plan is feasible and that the same will not operate injuriously to the policyholders of any of the constituent associations, he shall approve the same and the merger or consolidation shall become effective upon his approval.  The commissioner of insurance may if he deems it advisable, direct that meetings of the policyholders of the constituent associations or any of them be called for the purpose of ratifying or approving the proposed plan.  

In addition to the above any association incorporated or hereinafter incorporated under the provisions of this Part, may with the consent of the board of directors and any other association or corporation operating a non-profit funeral association other than under the provisions of this Part by and with the consent of the officers and/or board of directors of the other association or corporation, as provided for under the by-laws, rules and regulations of the association or corporation, and upon approval of the commissioner of insurance or his authorized representative, if the plan shall appear to the commissioner of insurance or his authorized representative to be feasible and that the same will not appear to operate injuriously to the policyholders of either association, shall by written contract in authentic form, assume the debts, policies and obligations of the other association or corporation, and continue to satisfy the terms and conditions of the outstanding policies and/or contracts under the same rates as provided for in the policies until all policies outstanding have expired, provided that all new policies shall be issued according to the provisions of this Part, and by and under the name of the association incorporated under the provisions of this Part.  

Acts 1958, No. 125.