5966 - Effect of conversion. - Pennsylvania Statutes

§ 5966. Effect of conversion. Upon the conversion becoming effective, the corporation shall be deemed to be a business corporation for all purposes, shall cease to be a nonprofit corporation, and may thereafter operate for a purpose or purposes resulting in pecuniary profit, incidental or otherwise, to its members or shareholders. The corporation shall issue share certificates to each shareholder entitled thereto. The corporation shall remain liable for all existing obligations, public and private, taxes due the Commonwealth or any other taxing authority for periods prior to the effective date of the conversion, and, as such business corporation, it shall continue to be entitled to all assets theretofore pertaining to it as a nonprofit corporation except as otherwise provided by order, if any, obtained pursuant to section 5547(b) (relating to nondiversion of certain property). (Dec. 21, 1988, P.L.1444, No.177, eff. Oct. 1, 1989)