Guarantee authorized by members.
R.I. Gen. Laws § 7-6-7
in effect7-6-7. Guarantee authorized by members.
Each corporation has the power to make guarantees, although not in furtherance of
its corporate purposes, when authorized at a meeting of members by the affirmative
vote of a majority of the members entitled to vote on the guarantees, or a greater
percentage that may be provided by the articles of incorporation or bylaws, or if
there are no members, or no members entitled to vote on the guarantees, by the affirmative
vote of a majority of the directors in office, or a greater percentage that is provided
by the articles of incorporation or bylaws. If authorized by a like vote, a corporation
has the power to mortgage, pledge, or give a security interest in all or any of its
property, franchises, and income to secure the guarantee or to secure obligations
other than its own.
P.L. 1984, ch. 380, § 1; P.L. 1984, ch. 444, § 1.
Source: State of Rhode Island General Assembly (rilegislature.gov)URL: https://webserver.rilegislature.gov/Statutes/TITLE7/7-6/7-6-7.htmFetched: 10/20/2026