Club member may redeem membership for more than cost

A member of a sailing club may redeem his membership certificate following his withdrawal from the club at a price substantially more than his original payment, an appellate court in New Jersey has ruled. The club had argued paying the higher amount would be an illegal contract in violation of the state nonprofit corporation law that prohibits distribution of any part of the club’s income or profit to a member.

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Club member may redeem membership for more than cost

Club member may redeem membership for more than cost