Suffolk New York Resolution of Directors of a Close Corporation Authorizing Redemption of Stock

• Category: Corporations - Minutes and Resolutions
• State: Multi-State
• County: Suffolk
• Control #: US-02533BG
• Format: Word; Rich Text

Description

Modern corporation statutes give corporations a wide range of powers. Generally, a corporation may purchase its own stock if it is solvent. A Suffolk New York Resolution of Directors of a Close Corporation Authorizing Redemption of Stock is a legal document that outlines the process by which a close corporation's directors decide to redeem shares of stock held by shareholders. This resolution enables the corporation to repurchase and retire stock, providing shareholders with an exit strategy, or allowing the corporation to consolidate ownership. The resolution typically begins by stating the purpose and context, highlighting the legal framework under which it is authorized to act. Specific keywords such as "Suffolk New York Resolution," "Directors of a Close Corporation," "Redemption of Stock," and "Authorization" would be relevant throughout the resolution. There are several types of Suffolk New York Resolution of Directors of a Close Corporation Authorizing Redemption of Stock, including: 1. Voluntary Redemption Resolution: This resolution is adopted when the close corporation voluntarily decides to redeem shares from shareholders. It outlines the process, criteria, and timeline for redemption, including the formulation of a redemption price and the payment method. 2. Involuntary Redemption Resolution: This resolution is adopted when certain circumstances force the close corporation to redeem shares. Such circumstances may include the death, disability, retirement, or termination of employment of a shareholder, breaching certain provisions of the corporation's agreement, or violating legal obligations. 3. Preemptive Redemption Resolution: This resolution allows the corporation to redeem shares preemptively, prior to the occurrence of any specific circumstances. It is utilized to secure control or safeguard the stability of the corporation by repurchasing shares owned by shareholders who may pose a risk to the corporation's interests. 4. Partial Redemption Resolution: This resolution authorizes the redemption of a portion of shares held by shareholders, rather than all outstanding shares. The corporation determines the criteria and conditions for selecting the specific shares to be redeemed, such as through a pro rata allocation or based on certain shareholder characteristics. Throughout the resolution, other relevant keywords may include "shareholder consent," "voting rights," "corporate bylaws," "redemption date," "notice requirements," "stock certificates," "tax implications," and "valuation methods" among others. It is essential to consult an attorney or legal expert well-versed in Suffolk New York corporate law when drafting or adopting such resolutions to ensure adherence to regulations and the specific needs of the corporation.

A Suffolk New York Resolution of Directors of a Close Corporation Authorizing Redemption of Stock is a legal document that outlines the process by which a close corporation's directors decide to redeem shares of stock held by shareholders. This resolution enables the corporation to repurchase and retire stock, providing shareholders with an exit strategy, or allowing the corporation to consolidate ownership. The resolution typically begins by stating the purpose and context, highlighting the legal framework under which it is authorized to act. Specific keywords such as "Suffolk New York Resolution," "Directors of a Close Corporation," "Redemption of Stock," and "Authorization" would be relevant throughout the resolution. There are several types of Suffolk New York Resolution of Directors of a Close Corporation Authorizing Redemption of Stock, including: 1. Voluntary Redemption Resolution: This resolution is adopted when the close corporation voluntarily decides to redeem shares from shareholders. It outlines the process, criteria, and timeline for redemption, including the formulation of a redemption price and the payment method. 2. Involuntary Redemption Resolution: This resolution is adopted when certain circumstances force the close corporation to redeem shares. Such circumstances may include the death, disability, retirement, or termination of employment of a shareholder, breaching certain provisions of the corporation's agreement, or violating legal obligations. 3. Preemptive Redemption Resolution: This resolution allows the corporation to redeem shares preemptively, prior to the occurrence of any specific circumstances. It is utilized to secure control or safeguard the stability of the corporation by repurchasing shares owned by shareholders who may pose a risk to the corporation's interests. 4. Partial Redemption Resolution: This resolution authorizes the redemption of a portion of shares held by shareholders, rather than all outstanding shares. The corporation determines the criteria and conditions for selecting the specific shares to be redeemed, such as through a pro rata allocation or based on certain shareholder characteristics. Throughout the resolution, other relevant keywords may include "shareholder consent," "voting rights," "corporate bylaws," "redemption date," "notice requirements," "stock certificates," "tax implications," and "valuation methods" among others. It is essential to consult an attorney or legal expert well-versed in Suffolk New York corporate law when drafting or adopting such resolutions to ensure adherence to regulations and the specific needs of the corporation.