# Minn. Stat. § 145D.31: CERTAIN CONVERSION TRANSACTIONS PROHIBITED

> Minnesota · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_MN_P144_159_C145D_S145D.31

## Section

- **Citation:** Minn. Stat. § 145D.31
- **Heading:** CERTAIN CONVERSION TRANSACTIONS PROHIBITED
- **Jurisdiction:** Minnesota
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** MN Code / Part 144_159 / Chapter 145D / Section 145D.31

## Text

A nonprofit health coverage entity must not enter into a conversion transaction if:

(1) doing so would result in less than the full and fair value of all public benefit assets remaining dedicated to the public benefit; or

(2) an individual who has been an officer, director, or other executive of the nonprofit health coverage entity or of a related organization, or a family member of such an individual:

(i) has held or will hold, whether guaranteed or contingent, an ownership stake, stock, securities, investment, or other financial interest in an entity to which the nonprofit health coverage entity transfers public benefit assets in connection with the conversion transaction;

(ii) has received or will receive any type of compensation or other financial benefit, except for salary or wages paid for employment, from an entity to which the nonprofit health coverage entity transfers public benefit assets in connection with the conversion transaction;

(iii) has held or will hold, whether guaranteed or contingent, an ownership stake, stock, securities, investment, or other financial interest in an entity that has or will have a business relationship with an entity to which the nonprofit health coverage entity transfers public benefit assets in connection with the conversion transaction; or

(iv) has received or will receive any type of compensation or other financial benefit, except for salary or wages paid for employment, from an entity that has or will have a business relationship with an entity to which the nonprofit health coverage entity transfers public benefit assets in connection with the conversion transaction.

## Nearby sections

- [Minn. Stat. § 145D.01 § 145D.01 REQUIREMENTS FOR CERTAIN HEALTH CARE ENTITY TRANSACTIONS.](https://www.frixlaw.com/law-library/statutes/STATE_MN_P144_159_C145D_S145D.01.md)
- [Minn. Stat. § 145D.02 § 145D.02 DATA REPORTING OF CERTAIN HEALTH CARE TRANSACTIONS.](https://www.frixlaw.com/law-library/statutes/STATE_MN_P144_159_C145D_S145D.02.md)
- [Minn. Stat. § 145D.30 § 145D.30 DEFINITIONS.](https://www.frixlaw.com/law-library/statutes/STATE_MN_P144_159_C145D_S145D.30.md)
- [Minn. Stat. § 145D.31 § 145D.31 CERTAIN CONVERSION TRANSACTIONS PROHIBITED.](https://www.frixlaw.com/law-library/statutes/STATE_MN_P144_159_C145D_S145D.31.md)
- [Minn. Stat. § 145D.32 § 145D.32 REQUIREMENTS FOR NONPROFIT HEALTH COVERAGE ENTITY CONVERSION TRANSACTIONS.](https://www.frixlaw.com/law-library/statutes/STATE_MN_P144_159_C145D_S145D.32.md)
- [Minn. Stat. § 145D.34 § 145D.34 ENFORCEMENT AND REMEDIES.](https://www.frixlaw.com/law-library/statutes/STATE_MN_P144_159_C145D_S145D.34.md)
- [Minn. Stat. § 145D.35 § 145D.35 DATA PRACTICES.](https://www.frixlaw.com/law-library/statutes/STATE_MN_P144_159_C145D_S145D.35.md)
- [Minn. Stat. § 145D.36 § 145D.36 COMMISSIONER OF HEALTH; REPORTS AND ANALYSIS.](https://www.frixlaw.com/law-library/statutes/STATE_MN_P144_159_C145D_S145D.36.md)
- [Minn. Stat. § 145D.37 § 145D.37 RELATION TO OTHER LAW.](https://www.frixlaw.com/law-library/statutes/STATE_MN_P144_159_C145D_S145D.37.md)
- [Minn. Stat. § 145D.40 § 145D.40 DEFINITIONS.](https://www.frixlaw.com/law-library/statutes/STATE_MN_P144_159_C145D_S145D.40.md)
- [Minn. Stat. § 145D.41 § 145D.41 NOTICE OF CERTAIN ACQUISITIONS OF NURSING HOMES AND ASSISTED LIVING FACILITIES.](https://www.frixlaw.com/law-library/statutes/STATE_MN_P144_159_C145D_S145D.41.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_MN_P144_159_C145D_S145D.31. Check the current official text before relying on it. Not legal advice.