Mississippi Legend on Stock Certificate Giving Notice of Restriction on Transfer due to Stock Redemption Agreement Requiring First an Offer to the Corporation and then an Offer to other Stockholders

• Category: Corporations - Shareholders and Stock
• State: Multi-State
• Control #: US-1059BG
• Format: Word; Rich Text

Description

A Legend is a statement on a stock certificate noting restrictions on the transfer of the stock, often due to SEC requirements for unregistered securities. A stock redemption agreement is a contract between a corporation and the stockholder, where the corporation repurchases the stock from the owner A Mississippi Legend on a stock certificate is a legal provision that gives notice of a restriction on the transfer of stock. This restriction is due to a Stock Redemption Agreement that requires certain procedures to be followed before a stock transfer can take place. These procedures typically involve making an offer to the corporation and then an offer to other stockholders before transferring the shares. There are different types of Mississippi Legend on Stock Certificates giving notice of restrictions on transfer due to Stock Redemption Agreements. Some of these variations include: 1. Standard Mississippi Legend: This type of legend notifies the holder of the stock certificate that any transfer of shares must comply with the Stock Redemption Agreement. It typically states that a stockholder must first offer their shares to the corporation before offering them to other stockholders. 2. Mississippi Legend with Corporation First Refusal: This legend specifies that if a stockholder intends to transfer their shares, they must first give the corporation an opportunity to purchase the shares on the same terms as offered by a third party. The corporation has the right of first refusal to buy the shares. 3. Mississippi Legend with Rights Offer to Other Stockholders: This legend indicates that if a stockholder intends to transfer their shares, they must first make an offer to the corporation and, if declined, then offer the shares to the other stockholders on the same terms as initially offered. 4. Mississippi Legend with Fixed Purchase Price: This type of legend specifies a pre-determined purchase price at which the corporation or other stockholders have the option to acquire the shares. If a stockholder intends to transfer their shares, they must first offer them at the fixed purchase price before considering other offers. These Mississippi Legends serve as a notice to prospective buyers that the transfer of shares is subject to certain restrictions outlined in the Stock Redemption Agreement. It ensures that the corporation and other stockholders have an opportunity to purchase the shares before they are sold to external parties. Compliance with these restrictions is essential to maintain the integrity and control of the company's ownership structure.

A Mississippi Legend on a stock certificate is a legal provision that gives notice of a restriction on the transfer of stock. This restriction is due to a Stock Redemption Agreement that requires certain procedures to be followed before a stock transfer can take place. These procedures typically involve making an offer to the corporation and then an offer to other stockholders before transferring the shares. There are different types of Mississippi Legend on Stock Certificates giving notice of restrictions on transfer due to Stock Redemption Agreements. Some of these variations include: 1. Standard Mississippi Legend: This type of legend notifies the holder of the stock certificate that any transfer of shares must comply with the Stock Redemption Agreement. It typically states that a stockholder must first offer their shares to the corporation before offering them to other stockholders. 2. Mississippi Legend with Corporation First Refusal: This legend specifies that if a stockholder intends to transfer their shares, they must first give the corporation an opportunity to purchase the shares on the same terms as offered by a third party. The corporation has the right of first refusal to buy the shares. 3. Mississippi Legend with Rights Offer to Other Stockholders: This legend indicates that if a stockholder intends to transfer their shares, they must first make an offer to the corporation and, if declined, then offer the shares to the other stockholders on the same terms as initially offered. 4. Mississippi Legend with Fixed Purchase Price: This type of legend specifies a pre-determined purchase price at which the corporation or other stockholders have the option to acquire the shares. If a stockholder intends to transfer their shares, they must first offer them at the fixed purchase price before considering other offers. These Mississippi Legends serve as a notice to prospective buyers that the transfer of shares is subject to certain restrictions outlined in the Stock Redemption Agreement. It ensures that the corporation and other stockholders have an opportunity to purchase the shares before they are sold to external parties. Compliance with these restrictions is essential to maintain the integrity and control of the company's ownership structure.