---
kind: "section"
citation: "36 U.S.C. § 220308"
title: "36"
title_heading: "Patriotic and National Observances, Ceremonies, and Organizations"
number: "220308"
heading: "Restrictions"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/36/220308"
units:
  - "Subtitle II — Patriotic and National Organizations"
  - "Part B — Organizations"
  - "Chapter 2203 — United States Capitol Historical Society"
---

# §220308. Restrictions

- (a) **Stock and Dividends.—** The [corporation](/usc/36/220501.md?p=b-7) may not issue stock or declare or pay a dividend.
- (b) **Distribution of Income or Assets.—** The income or assets of the [corporation](/usc/36/220501.md?p=b-7) may not inure to the benefit of, or be distributed to, a trustee, officer, or member as such during the life of the [corporation](/usc/36/220501.md?p=b-7) or on its dissolution or final liquidation. This subsection does not prevent the payment of reasonable compensation to an officer or employee or reimbursement for actual expenses in amounts approved by the board of trustees.
- (c) **Loans.—** The [corporation](/usc/36/220501.md?p=b-7) may not make a loan or advance to a trustee, officer, or employee. Trustees who vote for or assent to making a loan or advance to a trustee, officer, or employee, and officers who participate in making the loan or advance, are jointly and severally liable to the [corporation](/usc/36/220501.md?p=b-7) for the amount of the loan or advance until it is repaid.

## Source credit

(Pub. L. 105–225, Aug. 12, 1998, 112 Stat. 1464.)

## Notes

| Historical and Revision Notes |  |  |
| --- | --- | --- |
| Revised<br>Section | Source (U.S. Code) | Source (Statutes at Large) |
| 220308(a) | 36:1211. | Oct. 20, 1978, Pub. L. 95–493, §§ 9, 11, 92 Stat. 1646. |
| 220308(b) | 36:1209(a). |  |
| 220308(c) | 36:1209(b). |  |

In subsection (a), the words “any shares of” are omitted as unnecessary.

In subsection (b), the words “inure to the benefit of” are substituted for “inure to” for consistency in the revised title. The words “This subsection does not prevent” are substituted for “Nothing in this subsection, however, shall be construed to prevent” for consistency in the revised title and to eliminate unnecessary words.

In subsection (c), the words “or advance” are added the first time they appear for consistency in the subsection. The word “Trustees” is substituted for “Any director”, and the word “trustee” is substituted for “director”, for clarity and consistency in the revised chapter.