{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/32.1-374.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/32.1-374.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/32.1-374.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/32.1-374.html"}],"law_id":77733,"edition_id":1,"section_id":77733,"structure_id":14930,"section_number":"32.1-374","catch_line":"Obligations of nonprofit entity","history":"1997, c. 615, \u00a7 55-532; 2002, c. 516; 2007, c. 925; 2008, c. 253; 2018, c. 706; 2019, c. 712.","full_text":"Prior to disposition of assets, any nonprofit entity shall provide to the Attorney General written notice, on a form provided by the Attorney General, of its intent to dispose of such assets, including the terms of the proposal. The notice shall be given at least 60 days in advance of the effective date of such proposed transaction in order that the Attorney General may exercise his common law and statutory authority over the activities of these organizations. The Attorney General may employ expert assistance in reviewing any proposed transaction, and such reasonable expenses incurred by the Attorney General shall be paid by a party to the proposed transaction.\n\t\tWithin 10 days of receipt of the notice from the entity, the Attorney General shall cause a public notice of the transaction to be published in a newspaper in which legal notices may be published in that jurisdiction.\n\t\tNo later than 40 days prior to any disposition of assets, the nonprofit entity shall convene a public meeting to set forth its expectations concerning how the health care needs of the community will be served following the proposed disposition of assets and to receive comments and respond to questions on the potential impact of the proposed disposition of assets on the community served by the nonprofit entity. Notice of the time and place of such meeting shall be published at least 10 days prior to the meeting in a newspaper in which legal notices may be published in that jurisdiction.\n\t\tNotice to the Attorney General pursuant to this section shall be given for State Corporation Commission approval sought pursuant to Article 11 (\u00a7 13.1-893.1) of Chapter 10 of Title 13.1 and \u00a7\u00a7 38.2-203 and 38.2-1322 through 38.2-1328 and subdivision A 1 of \u00a7 38.2-4316. Such notice need not be given where the State Corporation Commission determines, in its sole discretion, that there is a reasonable expectation that the foreign or domestic nonstock corporation licensed and subject to regulation under Chapter 42 (\u00a7 38.2-4200 et seq.) of Title 38.2 or health maintenance organization referenced in this chapter will not be able to meet its obligations to subscribers or enrollees.\n\t\tThe provisions of this section shall not apply to any disposition of assets subject to the provisions of \u00a7 38.2-4214.1 or any of the provisions of Chapter 15 (\u00a7 38.2-1500 et seq.) of Title 38.2.","order_by":null,"text":{"0":{"id":278778,"text":"Prior to disposition of assets, any nonprofit entity shall provide to the Attorney General written notice, on a form provided by the Attorney General, of its intent to dispose of such assets, including the terms of the proposal. The notice shall be given at least 60 days in advance of the effective date of such proposed transaction in order that the Attorney General may exercise his common law and statutory authority over the activities of these organizations. The Attorney General may employ expert assistance in reviewing any proposed transaction, and such reasonable expenses incurred by the Attorney General shall be paid by a party to the proposed transaction.\n\t\tWithin 10 days of receipt of the notice from the entity, the Attorney General shall cause a public notice of the transaction to be published in a newspaper in which legal notices may be published in that jurisdiction.\n\t\tNo later than 40 days prior to any disposition of assets, the nonprofit entity shall convene a public meeting to set forth its expectations concerning how the health care needs of the community will be served following the proposed disposition of assets and to receive comments and respond to questions on the potential impact of the proposed disposition of assets on the community served by the nonprofit entity. Notice of the time and place of such meeting shall be published at least 10 days prior to the meeting in a newspaper in which legal notices may be published in that jurisdiction.\n\t\tNotice to the Attorney General pursuant to this section shall be given for State Corporation Commission approval sought pursuant to Article 11 (\u00a7 13.1-893.1) of Chapter 10 of Title 13.1 and \u00a7\u00a7 38.2-203 and 38.2-1322 through 38.2-1328 and subdivision A 1 of \u00a7 38.2-4316. Such notice need not be given where the State Corporation Commission determines, in its sole discretion, that there is a reasonable expectation that the foreign or domestic nonstock corporation licensed and subject to regulation under Chapter 42 (\u00a7 38.2-4200 et seq.) of Title 38.2 or health maintenance organization referenced in this chapter will not be able to meet its obligations to subscribers or enrollees.\n\t\tThe provisions of this section shall not apply to any disposition of assets subject to the provisions of \u00a7 38.2-4214.1 or any of the provisions of Chapter 15 (\u00a7 38.2-1500 et seq.) of Title 38.2.","type":"section","prefixes":[""],"prefix":"","entire_prefix":"","prefix_anchor":"","level":1}},"ancestry":[{"id":14930,"edition_id":1,"name":"Disposition of Assets by Nonprofit Health Care Entities","identifier":"20","label":"chapter","depth":2,"order_by":1,"parent_id":12727,"metadata":{},"date_created":"2026-06-26 03:50:51","date_modified":"2026-06-26 03:50:51","permalink":{"id":202313,"object_type":"structure","relational_id":14930,"identifier":"20","token":"32.1\/20","url":"\/32.1\/20\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12727,"edition_id":1,"name":"Health","identifier":"32.1","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:50","date_modified":"2026-06-26 03:43:50","permalink":{"id":201099,"object_type":"structure","relational_id":12727,"identifier":"32.1","token":"32.1","url":"\/32.1\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":56976,"structure_id":14930,"section_number":"32.1-373","catch_line":"Definitions","url":"\/32.1-373\/","token":"32.1\/20\/32.1-373","metadata":false},{"id":77733,"structure_id":14930,"section_number":"32.1-374","catch_line":"Obligations of nonprofit entity","url":"\/32.1-374\/","token":"32.1\/20\/32.1-374","metadata":false},{"id":65603,"structure_id":14930,"section_number":"32.1-375","catch_line":"Applicability of chapter","url":"\/32.1-375\/","token":"32.1\/20\/32.1-375","metadata":false}],"previous_section":{"id":56976,"structure_id":14930,"section_number":"32.1-373","catch_line":"Definitions","url":"\/32.1-373\/","token":"32.1\/20\/32.1-373","metadata":false},"next_section":{"id":65603,"structure_id":14930,"section_number":"32.1-375","catch_line":"Applicability of chapter","url":"\/32.1-375\/","token":"32.1\/20\/32.1-375","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/32.1-374\/","history_text":"

This law was first created in 1997. The record of its establishment is cataloged in chapter 615<\/a> of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. It has been modified 5 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 2002, chapter 516<\/a>; in 2007, chapter 925<\/a>; in 2008, chapter 253<\/a>; in 2018, chapter 706<\/a>; in 2019, chapter 712<\/a>.<\/p>","references":false,"refers_to":[{"id":65123,"section_number":"13.1-893.1","catch_line":"Definitions","order_by":null,"url":"\/13.1-893.1\/"},{"id":66587,"section_number":"38.2-1322","catch_line":"Definitions","order_by":null,"url":"\/38.2-1322\/"},{"id":65563,"section_number":"38.2-1328","catch_line":"Exemption","order_by":null,"url":"\/38.2-1328\/"},{"id":66658,"section_number":"38.2-1500","catch_line":"Scope of chapter","order_by":null,"url":"\/38.2-1500\/"},{"id":66056,"section_number":"38.2-203","catch_line":"Management and exclusive agency contracts subject to approval by Commission","order_by":null,"url":"\/38.2-203\/"},{"id":78890,"section_number":"38.2-4200","catch_line":"Applicability of chapter","order_by":null,"url":"\/38.2-4200\/"},{"id":70935,"section_number":"38.2-4214.1","catch_line":"Rehabilitation, liquidation, conservation","order_by":null,"url":"\/38.2-4214.1\/"},{"id":61029,"section_number":"38.2-4316","catch_line":"Suspension or revocation of license","order_by":null,"url":"\/38.2-4316\/"}],"permalink":{"id":202319,"object_type":"law","relational_id":77733,"identifier":"32.1-374","token":"32.1\/20\/32.1-374","url":"\/32.1-374\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/32.1-374\/","token":"32.1\/20\/32.1-374","dublin_core":{"Title":"Obligations of nonprofit entity","Type":"Text","Format":"text\/html","Identifier":"\u00a7 32.1-374","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

Prior to disposition of assets<\/span>, any nonprofit entity<\/span> shall provide to the Attorney General<\/span> written notice, on a form provided by the Attorney General<\/span>, of its intent<\/span> to dispose of such assets, including the terms of the proposal. The notice shall be given at least 60 days in advance of the effective date of such proposed transaction in order<\/span> that the Attorney General<\/span> may exercise his common law<\/span> and statutory authority over the activities of these organizations. The Attorney General<\/span> may employ expert assistance in reviewing any proposed transaction, and such reasonable expenses incurred by the Attorney General<\/span> shall be paid by a party<\/span> to the proposed transaction.\n\t\tWithin 10 days of receipt of the notice from the entity, the Attorney General<\/span> shall cause a public notice of the transaction to be published in a newspaper in which legal notices may be published in that jurisdiction<\/span>.\n\t\tNo later than 40 days prior to any disposition of assets<\/span>, the nonprofit entity<\/span> shall convene a public meeting to set forth its expectations concerning how the health care needs of the community will be served following the proposed disposition of assets<\/span> and to receive comments and respond to questions on the potential impact of the proposed disposition of assets<\/span> on the community served by the nonprofit entity<\/span>. Notice of the time and place of such meeting shall be published at least 10 days prior to the meeting in a newspaper in which legal notices may be published in that jurisdiction<\/span>.\n\t\tNotice to the Attorney General<\/span> pursuant to this section shall be given for State Corporation Commission approval sought pursuant to Article 11 (\u00a7 13.1-893.1<\/a>) of Chapter 10 of Title 13.1 and \u00a7\u00a7 38.2-203<\/a> and 38.2-1322<\/a> through 38.2-1328<\/a> and subdivision A 1 of \u00a7 38.2-4316<\/a>. Such notice need not be given where the State Corporation Commission determines, in its sole discretion, that there is a reasonable expectation that the foreign or domestic nonstock corporation licensed and subject to regulation under Chapter 42 (\u00a7 38.2-4200<\/a> et seq.) of Title 38.2 or health maintenance organization referenced in this chapter will not be able to meet its obligations to subscribers or enrollees.\n\t\tThe provisions of this section shall not apply to any disposition of assets<\/span> subject to the provisions of \u00a7 38.2-4214.1<\/a> or any of the provisions of Chapter 15 (\u00a7 38.2-1500<\/a> et seq.) of Title 38.2.<\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nOBLIGATIONS OF NONPROFIT ENTITY (\u00a7 32.1-374)\n\nPrior to disposition of assets, any nonprofit entity shall provide to the\nAttorney General written notice, on a form provided by the Attorney General, of\nits intent to dispose of such assets, including the terms of the proposal. The\nnotice shall be given at least 60 days in advance of the effective date of such\nproposed transaction in order that the Attorney General may exercise his common\nlaw and statutory authority over the activities of these organizations. The\nAttorney General may employ expert assistance in reviewing any proposed\ntransaction, and such reasonable expenses incurred by the Attorney General shall\nbe paid by a party to the proposed transaction.\n\t\tWithin 10 days of receipt of the notice from the entity, the Attorney General\nshall cause a public notice of the transaction to be published in a newspaper in\nwhich legal notices may be published in that jurisdiction.\n\t\tNo later than 40 days prior to any disposition of assets, the nonprofit entity\nshall convene a public meeting to set forth its expectations concerning how the\nhealth care needs of the community will be served following the proposed\ndisposition of assets and to receive comments and respond to questions on the\npotential impact of the proposed disposition of assets on the community served\nby the nonprofit entity. Notice of the time and place of such meeting shall be\npublished at least 10 days prior to the meeting in a newspaper in which legal\nnotices may be published in that jurisdiction.\n\t\tNotice to the Attorney General pursuant to this section shall be given for\nState Corporation Commission approval sought pursuant to Article 11 (\u00a7\n13.1-893.1) of Chapter 10 of Title 13.1 and \u00a7\u00a7 38.2-203 and 38.2-1322 through\n38.2-1328 and subdivision A 1 of \u00a7 38.2-4316. Such notice need not be given\nwhere the State Corporation Commission determines, in its sole discretion, that\nthere is a reasonable expectation that the foreign or domestic nonstock\ncorporation licensed and subject to regulation under Chapter 42 (\u00a7 38.2-4200 et\nseq.) of Title 38.2 or health maintenance organization referenced in this\nchapter will not be able to meet its obligations to subscribers or enrollees.\n\t\tThe provisions of this section shall not apply to any disposition of assets\nsubject to the provisions of \u00a7 38.2-4214.1 or any of the provisions of Chapter\n15 (\u00a7 38.2-1500 et seq.) of Title 38.2.\n\nHISTORY: 1997, c. 615, \u00a7 55-532; 2002, c. 516; 2007, c. 925; 2008, c. 253;\n2018, c. 706; 2019, c. 712.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}