Terms Used In Montana Code > Title 90 > Chapter 5 > Part 3 - Employee Ownership Opportunity Act

• Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
• Employee-owned enterprise: means a business corporation that:

  (a)requires that at least a majority of its employees:

  (i)are vested with stock in the enterprise and all of whose vested employees are entitled to vote; and

  (ii)own a majority of the shares which must be voted so that the vote of a majority of the employees control the vote of a majority of shares;

  (b)requires that voting rights on corporate matters for shares held in trust for the employees pass through to those employees at least to the extent required by the voting requirements of section 409(e) of the Internal Revenue Code of 1986, as amended;

  (c)provides vested employees the right to vote on corporate matters, including merger, consolidation, recapitalization, reclassification, liquidation, dissolution, or sale; and

  (d)requires that at least a majority of the members of the board of directors is elected by the employees of the enterprise. See Montana Code 90-5-303

• State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Montana Code 1-1-201