---
kind: "section"
citation: "29 U.S.C. § 463"
title: "29"
title_heading: "Labor"
number: "463"
heading: "Unlawful acts relating to labor organization under trusteeship"
release: "119-102"
url: "https://uscodex.org/usc/29/463"
units:
  - "Chapter 11 — Labor-Management Reporting and Disclosure Procedure"
  - "Subchapter IV — Trusteeships"
---

# §463. Unlawful acts relating to labor organization under trusteeship

- (a) During any period when a subordinate body of a [labor organization](/usc/29/402.md?p=i) is in [trusteeship](/usc/29/402.md?p=h), it shall be unlawful (1) to count the vote of delegates from such body in any convention or election of [officers](/usc/29/402.md?p=n) of the [labor organization](/usc/29/402.md?p=i) unless the delegates have been chosen by [secret ballot](/usc/29/402.md?p=k) in an election in which all the members in good standing of such subordinate body were eligible to participate, or (2) to transfer to such organization any current receipts or other [funds](/usc/29/1301.md?p=a-5) of the subordinate body except the normal per capita tax and assessments payable by subordinate bodies not in [trusteeship](/usc/29/402.md?p=h): Provided, That nothing herein contained shall prevent the distribution of the assets of a [labor organization](/usc/29/402.md?p=i) in accordance with its constitution and bylaws upon the bona fide dissolution thereof.
- (b) Any [person](/usc/29/402.md?p=d) who willfully violates this section shall be fined not more than $10,000 or imprisoned for not more than one year, or both.

## Source credit

(Pub. L. 86–257, title III, § 303, Sept. 14, 1959, 73 Stat. 531.)