---
title: O.C.G.A. § 14-4-65. Improper dividends; liability of officers.
collection: code
id: 14-4-65
cite_as: O.C.G.A. § 14-4-65 (2025)
canonical_url: https://georgiacommons.org/code/14-4-65
md_url: https://georgiacommons.org/code/14-4-65.md
text_url: https://georgiacommons.org/code/14-4-65/text
source_url: https://www.legis.ga.gov/api/document/docs/default-source/joint-features-document-library/t14-(v12)-2017-pdf.pdf?sfvrsn=507372ea_0#page=799
date: 2025
status: active
corpus_version: 2025-supplement-89aa39ab3c68
license: CC0-1.0
publisher: Georgia Commons, an independent project of Georgia Civic Data. Not the State of Georgia. Not legal advice.
up: https://georgiacommons.org/code/14-4.md
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version: the only printed version
in_force: true
current_through: Including Acts of the 2025 Regular Session of the General Assembly
heading_path: CORPORATIONS, PARTNERSHIPS, AND ASSOCIATIONS / SECRETARY OF STATE CORPORATIONS / POWERS AND LIABILITIES
---

# O.C.G.A. § 14-4-65. Improper dividends; liability of officers.

No corporation or association shall declare any dividend or distribute any money among its members as profits when such dividend or money is not declared or distributed from the actual legitimate net earnings and in any manner increases its debts. Should the president, directors, or other agent of any corporation declare a dividend or dividends in violation of the above provisions they shall be subject to an action for double the amount of damages that any person or persons may sustain in consequence of the declaring of such dividend or dividends.

## History

Ga. L. 1877, p. 35, §§ 1-3; Code 1882, §§ 4604a, 4604b, 4604c; Penal Code 1895, § 691; Ga. L. 1902, p. 58, § 1; Penal Code 1910, § 740; Code 1933, § 22-713; Code 1933, § 22-4106, enacted by Ga. L. 1968, p. 565, § 1.