Title
Amendment to Corp. Law on Stock/Transfer Book
Law
Act No. 3741
Decision Date
Nov 22, 1930
Amendment to the Corporation Law requiring business corporations to maintain a "Stock and transfer book" containing records of stockholders, stock transactions, and other prescribed entries, to be open for inspection by directors, stockholders, and members.
A

Location and Access to the Stock and Transfer Book

  • The stock and transfer book must be kept at the corporation's principal office.
  • It must be accessible for inspection during reasonable hours to any director, stockholder, or member of the corporation.

Permissible Alternative Record-Keeping

  • Corporations are allowed to open a share register in any U.S. state or territory.
  • An agent or agents may be employed to maintain this share register and to record stock transfers.
  • Transfers recorded on these share registers must include the names of parties, date of transfer, certificate number, and number of shares transferred.

Validity of Stock Transfers

  • No transfer of stock is valid between parties unless noted in the share register.
  • The record must reflect essential transaction details such as name of parties, date, certificate number, and share quantities.

Effectivity of the Amendment

  • The amendment took effect immediately upon approval on November 22, 1930.

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