{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/56-231.50_1.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/56-231.50_1.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/56-231.50_1.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/56-231.50_1.html"}],"law_id":62015,"edition_id":1,"section_id":62015,"structure_id":13183,"section_number":"56-231.50:1","catch_line":"Separation of regulated and unregulated businesses","history":"1999, c. 874; 2000, cc. 944, 999.","full_text":"A\n\nNo cooperative that engages in a regulated utility service shall conduct any unregulated business activity, other than traditional cooperative activities, except in or through one or more affiliates of such cooperative. No such affiliates, formed to engage in any business that is not a regulated utility service, shall engage in regulated utility services.B\n\nThe Commission shall promulgate rules and regulations to promote effective and fair competition between (i) affiliates of cooperatives that are engaged in business activities which are not regulated utility services and (ii) other persons engaged in the same or similar businesses. The rules and regulations shall be effective by July 1, 2000, and shall include provisions:1\n\nProhibiting cost-shifting or cross-subsidies between a cooperative and its affiliates;2\n\nProhibiting anticompetitive behavior or self-dealing between a cooperative and its affiliates;3\n\nProhibiting a cooperative from engaging in discriminatory behavior towards nonaffiliated entities; and4\n\nEstablishing codes of conduct detailing permissible relations between a cooperative and its affiliates. In establishing such codes, the Commission shall consider, among other things, whether and, if so, under what circumstances and conditions (i) a cooperative may provide its affiliates with customer lists or other customer information, sales leads, procurement advice, joint promotions, and access to billing or mailing systems unless such information or services are made available to third parties under the same terms and conditions, (ii) the cooperative&#8217;s name, logos or trademarks may be used in promotional, advertising or sales activities conducted by its affiliates, and (iii) the cooperative&#8217;s vehicles, equipment, office space and employees may be used by its affiliates.C\n\nNothing in this article shall be deemed to abrogate or modify the Commission&#8217;s authority under Chapter 4 (&#xA7; 56-76 et seq.) of this title.","order_by":null,"text":{"0":{"id":226334,"text":"No cooperative that engages in a regulated utility service shall conduct any unregulated business activity, other than traditional cooperative activities, except in or through one or more affiliates of such cooperative. No such affiliates, formed to engage in any business that is not a regulated utility service, shall engage in regulated utility services.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":226335,"text":"The Commission shall promulgate rules and regulations to promote effective and fair competition between (i) affiliates of cooperatives that are engaged in business activities which are not regulated utility services and (ii) other persons engaged in the same or similar businesses. The rules and regulations shall be effective by July 1, 2000, and shall include provisions:","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"B1"},"2":{"id":226336,"text":"Prohibiting cost-shifting or cross-subsidies between a cooperative and its affiliates;","type":"section","prefixes":["B","1"],"prefix":"1","entire_prefix":"B1","prefix_anchor":"B1","level":2,"prior_prefix":"B","next_prefix":"B2"},"3":{"id":226337,"text":"Prohibiting anticompetitive behavior or self-dealing between a cooperative and its affiliates;","type":"section","prefixes":["B","2"],"prefix":"2","entire_prefix":"B2","prefix_anchor":"B2","level":2,"prior_prefix":"B1","next_prefix":"B3"},"4":{"id":226338,"text":"Prohibiting a cooperative from engaging in discriminatory behavior towards nonaffiliated entities; and","type":"section","prefixes":["B","3"],"prefix":"3","entire_prefix":"B3","prefix_anchor":"B3","level":2,"prior_prefix":"B2","next_prefix":"B4"},"5":{"id":226339,"text":"Establishing codes of conduct detailing permissible relations between a cooperative and its affiliates. In establishing such codes, the Commission shall consider, among other things, whether and, if so, under what circumstances and conditions (i) a cooperative may provide its affiliates with customer lists or other customer information, sales leads, procurement advice, joint promotions, and access to billing or mailing systems unless such information or services are made available to third parties under the same terms and conditions, (ii) the cooperative&#8217;s name, logos or trademarks may be used in promotional, advertising or sales activities conducted by its affiliates, and (iii) the cooperative&#8217;s vehicles, equipment, office space and employees may be used by its affiliates.","type":"section","prefixes":["B","4"],"prefix":"4","entire_prefix":"B4","prefix_anchor":"B4","level":2,"prior_prefix":"B3","next_prefix":"C"},"6":{"id":226340,"text":"Nothing in this article shall be deemed to abrogate or modify the Commission&#8217;s authority under Chapter 4 (&#xA7; 56-76 et seq.) of this title.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B4"}},"ancestry":[{"id":13183,"edition_id":1,"name":"Utility Aggregation Cooperatives Act","identifier":"2","label":"article","depth":3,"order_by":1,"parent_id":13182,"metadata":{},"date_created":"2026-06-26 03:44:24","date_modified":"2026-06-26 03:44:24","permalink":{"id":251431,"object_type":"structure","relational_id":13183,"identifier":"2","token":"56\/9.1\/2","url":"\/56\/9.1\/2\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13182,"edition_id":1,"name":"Utility Consumer Services Cooperatives and Utility Aggregation Cooperatives","identifier":"9.1","label":"chapter","depth":2,"order_by":1,"parent_id":12881,"metadata":{},"date_created":"2026-06-26 03:44:24","date_modified":"2026-06-26 03:44:24","permalink":{"id":251323,"object_type":"structure","relational_id":13182,"identifier":"9.1","token":"56\/9.1","url":"\/56\/9.1\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12881,"edition_id":1,"name":"Public Service Companies","identifier":"56","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:58","date_modified":"2026-06-26 03:43:58","permalink":{"id":248473,"object_type":"structure","relational_id":12881,"identifier":"56","token":"56","url":"\/56\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":66888,"structure_id":13183,"section_number":"56-231.38","catch_line":"Definitions","url":"\/56-231.38\/","token":"56\/9.1\/2\/56-231.38","metadata":false},{"id":87060,"structure_id":13183,"section_number":"56-231.39","catch_line":"Organization and purpose","url":"\/56-231.39\/","token":"56\/9.1\/2\/56-231.39","metadata":false},{"id":81119,"structure_id":13183,"section_number":"56-231.40","catch_line":"Names","url":"\/56-231.40\/","token":"56\/9.1\/2\/56-231.40","metadata":false},{"id":72635,"structure_id":13183,"section_number":"56-231.41","catch_line":"Articles of incorporation","url":"\/56-231.41\/","token":"56\/9.1\/2\/56-231.41","metadata":false},{"id":84810,"structure_id":13183,"section_number":"56-231.42","catch_line":"Bylaws","url":"\/56-231.42\/","token":"56\/9.1\/2\/56-231.42","metadata":false},{"id":87202,"structure_id":13183,"section_number":"56-231.43","catch_line":"Powers","url":"\/56-231.43\/","token":"56\/9.1\/2\/56-231.43","metadata":false},{"id":84311,"structure_id":13183,"section_number":"56-231.44","catch_line":"Board of directors","url":"\/56-231.44\/","token":"56\/9.1\/2\/56-231.44","metadata":false},{"id":64249,"structure_id":13183,"section_number":"56-231.45","catch_line":"Officers","url":"\/56-231.45\/","token":"56\/9.1\/2\/56-231.45","metadata":false},{"id":60554,"structure_id":13183,"section_number":"56-231.46","catch_line":"Members","url":"\/56-231.46\/","token":"56\/9.1\/2\/56-231.46","metadata":false},{"id":66528,"structure_id":13183,"section_number":"56-231.47","catch_line":"Adoption of article","url":"\/56-231.47\/","token":"56\/9.1\/2\/56-231.47","metadata":false},{"id":81005,"structure_id":13183,"section_number":"56-231.48","catch_line":"Applicability of other laws","url":"\/56-231.48\/","token":"56\/9.1\/2\/56-231.48","metadata":false},{"id":55354,"structure_id":13183,"section_number":"56-231.49","catch_line":"Restructuring costs","url":"\/56-231.49\/","token":"56\/9.1\/2\/56-231.49","metadata":false},{"id":77460,"structure_id":13183,"section_number":"56-231.50","catch_line":"Regulation by State Corporation Commission","url":"\/56-231.50\/","token":"56\/9.1\/2\/56-231.50","metadata":false},{"id":62015,"structure_id":13183,"section_number":"56-231.50:1","catch_line":"Separation of regulated and unregulated businesses","url":"\/56-231.50_1\/","token":"56\/9.1\/2\/56-231.50_1","metadata":false},{"id":54197,"structure_id":13183,"section_number":"56-231.50:2","catch_line":"Right of action; violation of rules or regulations","url":"\/56-231.50_2\/","token":"56\/9.1\/2\/56-231.50_2","metadata":false},{"id":60306,"structure_id":13183,"section_number":"56-231.51","catch_line":"Construction of article and conflicting laws","url":"\/56-231.51\/","token":"56\/9.1\/2\/56-231.51","metadata":false},{"id":80704,"structure_id":13183,"section_number":"56-231.52","catch_line":"Citation to article","url":"\/56-231.52\/","token":"56\/9.1\/2\/56-231.52","metadata":false}],"previous_section":{"id":77460,"structure_id":13183,"section_number":"56-231.50","catch_line":"Regulation by State Corporation Commission","url":"\/56-231.50\/","token":"56\/9.1\/2\/56-231.50","metadata":false},"next_section":{"id":54197,"structure_id":13183,"section_number":"56-231.50:2","catch_line":"Right of action; violation of rules or regulations","url":"\/56-231.50_2\/","token":"56\/9.1\/2\/56-231.50_2","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/56-231.50:1\/","history_text":"<p>This law was first created in 1999. The record of its establishment is cataloged in chapter <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?991+ful+CHAP0874\">874<\/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 1 time. 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. That modification is as follows: in 2000, chapters <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?001+ful+CHAP0944\">944<\/a> and <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?001+ful+CHAP0999\">999<\/a>.<\/p>","references":[{"id":82086,"section_number":"55.1-306.1","catch_line":"Utility easements; expansion of broadband","order_by":null,"url":"\/55.1-306.1\/"},{"id":87060,"section_number":"56-231.39","catch_line":"Organization and purpose","order_by":null,"url":"\/56-231.39\/"},{"id":77460,"section_number":"56-231.50","catch_line":"Regulation by State Corporation Commission","order_by":null,"url":"\/56-231.50\/"},{"id":54197,"section_number":"56-231.50:2","catch_line":"Right of action; violation of rules or regulations","order_by":null,"url":"\/56-231.50_2\/"}],"refers_to":[{"id":58706,"section_number":"56-76","catch_line":"Definitions","order_by":null,"url":"\/56-76\/"}],"permalink":{"id":251485,"object_type":"law","relational_id":62015,"identifier":"56-231.50:1","token":"56\/9.1\/2\/56-231.50_1","url":"\/56-231.50_1\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/56-231.50_1\/","token":"56\/9.1\/2\/56-231.50_1","dublin_core":{"Title":"Separation of regulated and unregulated businesses","Type":"Text","Format":"text\/html","Identifier":"\u00a7 56-231.50:1","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t<section id=\"A\"><p><span class=\"prefix-number\">A.<\/span> No <span class=\"dictionary\">cooperative<\/span> that engages in a regulated utility service shall conduct any unregulated business activity, other than traditional <span class=\"dictionary\">cooperative<\/span> activities, except in or through one or more <span class=\"dictionary\">affiliates<\/span> of such <span class=\"dictionary\">cooperative<\/span>. No such <span class=\"dictionary\">affiliates<\/span>, formed to engage in any business that is not a regulated utility service, shall engage in <span class=\"dictionary\">regulated utility services<\/span>. <a id=\"paragraph-226334\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/56-231.50_1\/#A\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"B\"><p><span class=\"prefix-number\">B.<\/span> The <span class=\"dictionary\">Commission<\/span> shall promulgate rules and regulations to promote effective and fair competition between (i) <span class=\"dictionary\">affiliates<\/span> of <span class=\"dictionary\">cooperatives<\/span> that are engaged in business activities which are not <span class=\"dictionary\">regulated utility services<\/span> and (ii) other <span class=\"dictionary\">persons<\/span> engaged in the same or similar businesses. The rules and regulations shall be effective by July 1, 2000, and shall include provisions: <a id=\"paragraph-226335\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/56-231.50_1\/#B\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"B1\" class=\"indent-1\"><p><span class=\"prefix-number\">1.<\/span> Prohibiting cost-shifting or cross-subsidies between a <span class=\"dictionary\">cooperative<\/span> and its <span class=\"dictionary\">affiliates<\/span>; <a id=\"paragraph-226336\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/56-231.50_1\/#B1\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"B2\" class=\"indent-1\"><p><span class=\"prefix-number\">2.<\/span> Prohibiting anticompetitive behavior or self-dealing between a <span class=\"dictionary\">cooperative<\/span> and its <span class=\"dictionary\">affiliates<\/span>; <a id=\"paragraph-226337\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/56-231.50_1\/#B2\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"B3\" class=\"indent-1\"><p><span class=\"prefix-number\">3.<\/span> Prohibiting a <span class=\"dictionary\">cooperative<\/span> from engaging in discriminatory behavior towards nonaffiliated entities; and <a id=\"paragraph-226338\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/56-231.50_1\/#B3\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"B4\" class=\"indent-1\"><p><span class=\"prefix-number\">4.<\/span> Establishing codes of conduct detailing permissible relations between a <span class=\"dictionary\">cooperative<\/span> and its <span class=\"dictionary\">affiliates<\/span>. In establishing such codes, the <span class=\"dictionary\">Commission<\/span> shall consider, among other things, whether and, if so, under what circumstances and conditions (i) a <span class=\"dictionary\">cooperative<\/span> may provide its <span class=\"dictionary\">affiliates<\/span> with customer lists or other customer information, sales leads, procurement advice, joint promotions, and access to billing or mailing <span class=\"dictionary\">systems<\/span> unless such information or services are made available to third parties under the same terms and conditions, (ii) the <span class=\"dictionary\">cooperative<\/span>&#8217;s name, logos or trademarks may be used in promotional, advertising or sales activities conducted by its <span class=\"dictionary\">affiliates<\/span>, and (iii) the <span class=\"dictionary\">cooperative<\/span>&#8217;s vehicles, equipment, office space and employees may be used by its <span class=\"dictionary\">affiliates<\/span>. <a id=\"paragraph-226339\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/56-231.50_1\/#B4\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"C\"><p><span class=\"prefix-number\">C.<\/span> Nothing in this article shall be deemed to abrogate or modify the <span class=\"dictionary\">Commission<\/span>&#8217;s authority under Chapter 4 (&#xA7; <a class=\"law\" title=\"Definitions\" href=\"\/56-76\/\">56-76<\/a> et seq.) of this title. <a id=\"paragraph-226340\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/56-231.50_1\/#C\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>","plain_text":"                                 CODE OF VIRGINIA\n\nSEPARATION OF REGULATED AND UNREGULATED BUSINESSES (\u00a7 56-231.50:1)\n\nA. No cooperative that engages in a regulated utility service shall conduct any\nunregulated business activity, other than traditional cooperative activities,\nexcept in or through one or more affiliates of such cooperative. No such\naffiliates, formed to engage in any business that is not a regulated utility\nservice, shall engage in regulated utility services.\n\nB. The Commission shall promulgate rules and regulations to promote effective\nand fair competition between (i) affiliates of cooperatives that are engaged in\nbusiness activities which are not regulated utility services and (ii) other\npersons engaged in the same or similar businesses. The rules and regulations\nshall be effective by July 1, 2000, and shall include provisions:\n\n   1. Prohibiting cost-shifting or cross-subsidies between a cooperative and its\n   affiliates;\n\n   2. Prohibiting anticompetitive behavior or self-dealing between a cooperative\n   and its affiliates;\n\n   3. Prohibiting a cooperative from engaging in discriminatory behavior towards\n   nonaffiliated entities; and\n\n   4. Establishing codes of conduct detailing permissible relations between a\n   cooperative and its affiliates. In establishing such codes, the Commission\n   shall consider, among other things, whether and, if so, under what\n   circumstances and conditions (i) a cooperative may provide its affiliates with\n   customer lists or other customer information, sales leads, procurement advice,\n   joint promotions, and access to billing or mailing systems unless such\n   information or services are made available to third parties under the same\n   terms and conditions, (ii) the cooperative&#8217;s name, logos or trademarks\n   may be used in promotional, advertising or sales activities conducted by its\n   affiliates, and (iii) the cooperative&#8217;s vehicles, equipment, office\n   space and employees may be used by its affiliates.\n\nC. Nothing in this article shall be deemed to abrogate or modify the\nCommission&#8217;s authority under Chapter 4 (&#xA7; 56-76 et seq.) of this\ntitle.\n\nHISTORY: 1999, c. 874; 2000, cc. 944, 999.","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}}