Montana Code 35-14-602. Terms of class or series — determination by board of directors
35-14-602. Terms of class or series — determination by board of directors. (1) If the articles of incorporation so provide, the board of directors is authorized, without shareholder approval, to:
Terms Used In Montana Code 35-14-602
- Amendment: A proposal to alter the text of a pending bill or other measure by striking out some of it, by inserting new language, or both. Before an amendment becomes part of the measure, thelegislature must agree to it.
- 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.
- 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
(a)classify any unissued shares into one or more classes or into one or more series within a class;
(b)reclassify any unissued shares of any class into one or more classes or into one or more series within one or more classes; or
(c)reclassify any unissued shares of any series of any class into one or more classes or into one or more series within a class.
(2)If the board of directors acts pursuant to subsection (1), it shall determine the terms, including the preferences, rights, and limitations, to the same extent permitted under 35-14-601, of:
(a)any class of shares before the issuance of any shares of that class; or
(b)any series within a class before the issuance of any shares of that series.
(3)Before issuing any shares of a class or series created under this section, the corporation shall deliver to the secretary of state for filing articles of amendment setting forth the terms determined under subsection (2).