Cal. Code Regs. Tit. 10, § 260.141.1 - Restriction on Transfer

Current through Register 2022 Notice Reg. No. 16, April 25, 2022

It is unlawful to consummate a sale or transfer of any promotional shares, or any interest therein, without the prior written consent of the Commissioner, except pursuant to the order or process of any court provided that such transfer is on condition that any certificate evidencing such shares issued to the transferee shall contain the legend required by this Section. The certificates representing all shares subject to promotional waivers, whether upon original issuance or upon any transfer thereof, shall, until this condition is removed by order of the Commissioner, bear on their face a legend, prominently stamped or printed thereon and in capital letters of not less than 10-point size, reading as follows:

"THE SHARES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO CERTAIN RESTRICTIONS, INCLUDING WAIVERS OF DIVIDENDS AND ASSETS; AND IT IS UNLAWFUL TO CONSUMMATE A SALE OR TRANSFER OF THEM, OR ANY INTEREST THEREIN, OR RECEIVE ANY CONSIDERATION THEREFOR, WITHOUT THE PRIOR WRITTEN CONSENT OF THE COMMISSIONER OF CORPORATIONS OF THE STATE OF CALIFORNIA."

Notes

Cal. Code Regs. Tit. 10, § 260.141.1

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