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  1. #1
    Join Date
    Feb 2019
    Location
    alabama
    Posts
    2

    Angry Starting a Corporation Without Permission from Those Listed As Directors

    My question involves business law in the state of: Alabama
    I have been a member of a hunting club for 20 years now. This said club I am the vice president of and recently we voted to be a stalk only club. The other members that wanted to be a dog club were angry. So the president of the club starts a non-profit corporation in clubs name to "keep anyone from getting lease." Thing is, this "corporation" that him and his wife started has them as president and secretary, listing me and another member as directors. I didn't give permission nor did the other member to do this, all of a sudden there it was. Now any vote is his and her way because a tie vote the president gets to decide according to paper work I looked up on our business online. So I would like to know how can someone just put you in a corp, without your knowledge or permission???? Is this even legal??? But most of all, What do I do to get our club back to being a club, or I should say, how do you get rid of this fake business?? Any help would be very appreciated.

  2. #2
    Join Date
    Oct 2016
    Posts
    2,651

    Default Re: Starting a Corporation Without Permission from Those Listed As Directors

    I don't see how this new entity has the power to do anything that the original club didn't give it the power to do. Is the original entity a legal entity of any sort... LLC, Corp?

    How does the new entity "keep anyone from getting lease." ?

  3. #3
    Join Date
    Oct 2014
    Posts
    7,087

    Default Re: Starting a Corporation Without Permission from Those Listed As Directors

    Quote Quoting mike machen
    View Post
    My question involves business law in the state of: Alabama
    I have been a member of a hunting club for 20 years now. This said club I am the vice president of and recently we voted to be a stalk only club. The other members that wanted to be a dog club were angry. So the president of the club starts a non-profit corporation in clubs name to "keep anyone from getting lease." Thing is, this "corporation" that him and his wife started has them as president and secretary, listing me and another member as directors. I didn't give permission nor did the other member to do this, all of a sudden there it was. Now any vote is his and her way because a tie vote the president gets to decide according to paper work I looked up on our business online. So I would like to know how can someone just put you in a corp, without your knowledge or permission???? Is this even legal??? But most of all, What do I do to get our club back to being a club, or I should say, how do you get rid of this fake business?? Any help would be very appreciated.
    Let's start with this: who currently has the lease on the land that the club uses? The lease is in someone's name (either a natural person or a business entity), and until that lease expires that person gets to decide who gets access to it.

    You are free to resign the director position they gave you. They are free to organize a new club and form a corporation for it. That does not make it a "fake" club or business. It would then be up the members if they want to join the new dog club or stay with the stalk only club.

  4. #4
    Join Date
    Feb 2019
    Location
    alabama
    Posts
    2

    Default Re: Starting a Corporation Without Permission from Those Listed As Directors

    That was the presidents thoughts, that no one could take the lease away. But it just gave all say so to him and his wife. The club, as majority does not want to be a "corporation," we just want to be a club where majority vote rules, like it has been since 1995. I just don't understand how I could just get up and go start a corporation with me and two or three others without their permission/signature. Now "legally" it doesn't matter what the other 25 members think or like, him and his wife have final say, and Im pretty sure they are not even paying their yearly dues. Im going to pull bank records to see if they paid or not, and talk to lease holders about land and see if I can get lease swapped into a new club new name for next year. They can have their "corp." Do I need to write letter to secretary of state, claiming to have no part in this corporation? Or would it help any? I don't wont any part in it, I never agreed/signed anything to be in this. Thanks.

  5. #5
    Join Date
    Oct 2006
    Posts
    15,112

    Default Re: Starting a Corporation Without Permission from Those Listed As Directors

    Quote Quoting mike machen
    View Post
    That was the presidents thoughts, that no one could take the lease away. But it just gave all say so to him and his wife. The club, as majority does not want to be a "corporation," we just want to be a club where majority vote rules, like it has been since 1995. I just don't understand how I could just get up and go start a corporation with me and two or three others without their permission/signature. Now "legally" it doesn't matter what the other 25 members think or like, him and his wife have final say, and Im pretty sure they are not even paying their yearly dues. Im going to pull bank records to see if they paid or not, and talk to lease holders about land and see if I can get lease swapped into a new club new name for next year. They can have their "corp." Do I need to write letter to secretary of state, claiming to have no part in this corporation? Or would it help any? I don't wont any part in it, I never agreed/signed anything to be in this. Thanks.
    You didn't answer the most important question. In whose name is the current lease?

  6. #6
    Join Date
    May 2014
    Posts
    174

    Default Re: Starting a Corporation Without Permission from Those Listed As Directors

    Quote Quoting llworking
    View Post
    You didn't answer the most important question. In whose name is the current lease?
    I would go even further than that:

    What is the lease for? Land? Any buildings?
    Who signed and took responsibility of the original lease?
    Is there any obligation of the other members to continue to pay dues?
    Is there anything of value that belongs to the original club? Land? money? Equipment? etc?
    Any there any bylaws for the original club spelling out how the club was governed?
    Is there any legal formation of any type of the original club?

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