Comment on the following features of cooperative society

cbse
formsofbusiness

#1

Comment on the following features of cooperative society
(a) Legal status, (b) Control.


#2

(a)Legal Status : It is compulsory for a cooperative society to get registered under Cooperative Societies Act 1912. This accords a separate identity to the society which is distinct from its member. As a result of being a separate legal entity it is not affected by the entry and exit of its members.
(b)Control: In cooperative society, the power to take decisions lies in the hands of an elected managing committee. Through the right to vote every member is given a chance to participate in the management and all the decisions taken by the management committee on the basis of majority.