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§ 308B.201 Organizational Purpose

Statute text

Extracted from the Revisor of Statutes; first captured here October 15, 2026. Formatting and whitespace are normalized. Extraction can contain errors; the linked official text controls.

A cooperative may be formed and organized on a cooperative plan for any lawful purpose, including:

(1) to market, process, or otherwise change the form or marketability of products, including crops, livestock, and other agricultural products, the manufacturing and further processing of those products, other purposes that are necessary or convenient to facilitate the production or marketing of products by patron members and others, and other purposes that are related to the business of the cooperative;

(2) to provide products, supplies, and services to its members; and

(3) for any other purposes that cooperatives are authorized to perform by law.

History: 2003 c 105 art 1 s 9; 2004 c 228 art 1 s 51

Notes & interpretation Not part of the law

Verified against sources: October 15, 2026Last edited: October 15, 2026

In plain language#

A cooperative under chapter 308B may be formed "for any lawful purpose." P1, § 308B.201 The statute then gives two named examples and a catch-all:

  1. Marketing and processing. Marketing, processing or otherwise changing the form or marketability of products (the text mentions crops, livestock and other agricultural products, manufacturing and further processing of them, purposes necessary or convenient for producing or marketing products by patron members and others, and other purposes related to the cooperative's business).
  2. Supply and services. Providing products, supplies and services to its members.
  3. Anything else cooperatives are authorized to do by law.

The word "including" means the list is illustrative, not limiting.

How it works in practice#

  • Despite the agricultural examples, "any lawful purpose" is not limited to farming. Consumer, worker, producer and other cooperatives all fit under the general words; see Choose a cooperative type and chapter.
  • The purpose must be stated in the articles (§ 308B.215, subd. 1) and, if not in the articles, in the bylaws (§ 308B.241, subd. 2).
  • The purpose has to be pursued "on a cooperative plan." The chapter does not define that phrase; see § 308B.005, subd. 9.
  • Other laws may separately limit or license particular lines of business (for example, banking, credit unions and savings associations are excluded from the powers in § 308B.301, subd. 1(b)).

Sources

  • P1 Minnesota Statutes, Chapter 308B (Cooperative Associations), Office of the Revisor of Statutes, State of Minnesota. revisor.mn.gov (primary; accessed October 15, 2026)

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