Both Sides File Motions In Columbia Case

Register now

As promised, both sides in the ongoing legal fight over Columbia CU's attempted conversion to a mutual savings bank filed motions for reconsideration in Clark County Superior Court.

Columbia Credit Union asked Judge Roger A. Bennett to reconsider his ruling that provisions of the Nonprofit Corporation Act apply to credit unions. Two weeks ago, Bennett denied two motions for dismissal filed by the credit union, one asking the court to rule the directors of the CU did not owe a fiduciary duty to individual members, the second seeing to dismiss a claim for inspection of books and records.

Attorneys for a group of dissident members, known as the "Save Columbia CU Committee," also asked Bennett to reconsider two decisions. Bennett had granted Columbia CU's motion for summary judgment on the board of directors term limits issue - ruling the credit union's term limits bylaw amendment adopted Nov. 16, 1999, limiting directors to nine consecutive years of service as a director, was to be applied beginning with the election following the adoption of the bylaw.

The Save Columbia CU Committee also asked Bennett to reconsider his dismissal of its request for declaratory judgment on issues relating to a possible renewal of the CU's conversion plan. Bennett had ruled no plan or intent to plan had been presented, but the SCCUC argued the credit union and its board of directors have not offered proof they have rescinded plans to convert.

For reprint and licensing requests for this article, click here.