Chap. 16.—An ACT to amend the Code of Virginia by adding thereto a new section
numbered 3875-a, authorizing any stock corporation organized to operate an
educational institution to amend its charter so as to become a corporation not
organized for profit and without capital stock. [H B 41]

Approved February 9, 1940

1. Be it enacted by the General Assembly of Virginia, That the
Code of Virginia be amended by adding thereto a new section num-
bered thirty-eight hundred and seventy-five-a, which new section
shall read as follows:

Section 3875-a. A stock corporation, incorporated under the laws
of this State for the purpose of conducting and operating an educa-
tional institution, may amend its charter so as to become a corpora-
tion not organized for profit, in which no capital stock is required, or
to be issued, as though originally incorporated under the provisions
of this chapter, by following the requirements and provisions of
section thirty-seven hundred and eighty of the Code. The certificate
required by said section shall also set forth the same information as
is required by section thirty-eight hundred and seventy-three of this
chapter, but need not be presented to a judge for his endorsement,
and upon its approval by the State Corporation Commission, as and
in the manner provided by section thirty-seven hundred and eighty,
the corporation shall be considered and treated for all purposes as
organized and existing under the provisions of this chapter, and the
certificate herein provided for, setting forth the information required
by section thirty-eight hundred and seventy-three, shall thereupon
become its charter, and it shall have all the rights, powers and privi-
leges, and be subject to the same provisions of law, as if incorporated
under the provisions of this chapter.

Any corporation incorporated under the laws of this State prior
to the adoption of the present Constitution shall, in addition, have
all the rights, powers and privileges contained in its original charter,
or any amendments thereof, except the right to have or issue shares
of stock and be operated for profit.
24 ACTS OF ASSEMBLY [va., 1940

Upon the completion of such amendment, in the manner herein
provided, it shall be lawful for such corporation to issue its bonds,
notes and other evidences of indebtedness, in exchange for the shares
of stock issued and outstanding. ,