In California, a corporation may find its powers, rights and privileges suspended by either the Secretary of State or by the Franchise Tax Board. Today's post discusses the two roads to suspension by the California Secretary of State.
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The LLC May Well Be The Platypus Of Business Organizations
In an arms race, each suffers the worst result if it disarms and the other side remains armed. However, if both sides are armed, they are not as well off as when both sides are disarmed. This is, of course, the classic "Prisoners' Dilemma" game (see...
The modern understanding of the term "outlaw" is someone who has broken the law and has not been captured and brought to justice. There is, however, another sense of the term. A note is said to be "outlawed" when the statute of limitations no longer...
In 2014, the Securities and Exchange Commission announced that all comment letters would request that the issuer include the so-called "Tandy Letter". Thus, all staff comment letters include a request for a written statement in haec verba:
Some activists are continuing to submit stockholder proposals seeking the implementation of "simple majority voting". For example, Morgan Stanley's 2016 proxy statement includes the following proposal from Newground Social Investment, SPC:
When paying a dividend to shareholders, California corporations are subject to Chapter 5 of the California Corporations Code. Corporations incorporated in Delaware and other states may also be subject to Chapter 5 if they meet the conditions of...
Muttering About Mottoes
Recently, I've written about the "absolute" right of shareholders to inspect the shareholders list pursuant to California Corporations Code Section 1600. Readers at, or representing, foreign corporations may have skipped these posts as inapposite to...
