Valorization of the Payment of Cooperative on Behalf of the Outgoing Member. A Gloss to the Resolution Made by the High Court on 15 III 1995, III CZP 26/95, OSNC 1995, no. 6, pos. 95

Abstract

The gloss concerns the resolution of the High Court (HC) of 15 III 1995. It considers the permissibility to apply the regulations about the legal valorization to cooperative services as regards return of shares to the resigning member. It should be stated that the HC was right in claiming that its permissible to apply these regulations in the case under consideration. It was also right in saying that the object of legal valorization is the cooperative service on behalf of the resigning member, and not the increase of value (valorization) of the initial (capital) share, which is at the disposal of the cooperative member. The HC, however, was wrong in approving that the member's right to the return of shares is effected at the moment defined by the cooperative code (art. 26, par. 1, prop. 2 of the cooperative law). One should advocate the opinions presented in German literature. They presume that such a right comes to existence at the moment when a member pays his share.

It should be permissible to apply regulations about legal valorization in reference to those cooperative services which are done on behalf of the resigning member which took place after the law about eh valorization of member share had come into effect. The HC declared that after this date legal valorization may not take place. This is not a right position. The HC's decision was made without due justification. It should be noted, however, that legal valorization may only tend to equalize the extraordinary buying power of money, and any change. Undoubtedly, this limits the permissibility of the application of legal valorization in the case of the return of share.