Fairfax Virginia Statement or Legend on Stock Certificate - Notice of Restriction on Transfer - Stock not Registered - Intrastate Exemption

• Category: Corporations - Shareholders and Stock
• State: Multi-State
• County: Fairfax
• Control #: US-1057BG
• 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. The Securities Act of 1933 regulates the initial sale of securities to the public. Some securities are exempt from coverage of the Act. Certain stock issue transactions are also exempt (i.e., exempt from registration with the Securities and Exchange Commission). The most common exempt transaction that close corporations take advantage of is the intrastate offering. To qualify for this exemption, both the investors and the issuer must all be residents of the same state. The issuer must also meet the following requirements: • 80% of its assets must be located in the state; • 80% of its income must be earned from operations within the state; and • 80% of the proceeds from the sale must be used on operations within the state. Also, for nine months after the issuance, the stock can only be sold to state residents. Fairfax Virginia Statement or Legend on Stock Certificate — Notice of Restrictiotransfereefe— - Stock not Registered — Intrastate Exemption: In the realm of stock certificates, the Fairfax Virginia Statement or Legend serves as a Notice of Restriction on Transfer and emphasizes that the stock in question has not been registered. Additionally, it highlights the Intrastate Exemption, which denotes that the stock can only be traded within the borders of Virginia. This statement or legend plays a crucial role in disclosing important information to potential investors and ensuring compliance with regulations within Fairfax, Virginia. 1. "Fairfax Virginia Statement or Legend — Restriction on Transfer": This type of statement denotes that there are specific restrictions imposed on the transfer of the stock mentioned on the certificate within Fairfax, Virginia. It serves as a reminder that any potential transfer must comply with the applicable laws and regulations governing stock transfers in this jurisdiction. 2. "Fairfax Virginia Statement or Legend — Stock not Registered": This statement indicates that the stock mentioned on the certificate has not been registered with the appropriate regulatory bodies within Fairfax, Virginia. It notifies potential investors that the stock may lack the scrutiny and oversight typically associated with registered stocks, and therefore, caution should be exercised before making any investment decisions. 3. "Fairfax Virginia Statement or Legend — Intrastate Exemption": The Intrastate Exemption serves as a crucial element of the legend or statement on the stock certificate. It signifies that the stock is only allowed to be traded within the boundaries of Virginia. This exemption is governed by the Securities and Exchange Commission (SEC) regulations and indicates that the stock is not authorized for interstate commerce. In summary, the Fairfax Virginia Statement or Legend on Stock Certificate — Notice of Restrictiotransfereefe— - Stock not Registered — Intrastate Exemption exists to inform potential investors about the limitations and regulatory framework surrounding a specific stock within Fairfax, Virginia. It provides essential information regarding transfer restrictions, lack of registration, and the Intrastate Exemption, promoting transparency and compliance within the local stock market.

Fairfax Virginia Statement or Legend on Stock Certificate — Notice of Restrictiotransfereefe— - Stock not Registered — Intrastate Exemption: In the realm of stock certificates, the Fairfax Virginia Statement or Legend serves as a Notice of Restriction on Transfer and emphasizes that the stock in question has not been registered. Additionally, it highlights the Intrastate Exemption, which denotes that the stock can only be traded within the borders of Virginia. This statement or legend plays a crucial role in disclosing important information to potential investors and ensuring compliance with regulations within Fairfax, Virginia. 1. "Fairfax Virginia Statement or Legend — Restriction on Transfer": This type of statement denotes that there are specific restrictions imposed on the transfer of the stock mentioned on the certificate within Fairfax, Virginia. It serves as a reminder that any potential transfer must comply with the applicable laws and regulations governing stock transfers in this jurisdiction. 2. "Fairfax Virginia Statement or Legend — Stock not Registered": This statement indicates that the stock mentioned on the certificate has not been registered with the appropriate regulatory bodies within Fairfax, Virginia. It notifies potential investors that the stock may lack the scrutiny and oversight typically associated with registered stocks, and therefore, caution should be exercised before making any investment decisions. 3. "Fairfax Virginia Statement or Legend — Intrastate Exemption": The Intrastate Exemption serves as a crucial element of the legend or statement on the stock certificate. It signifies that the stock is only allowed to be traded within the boundaries of Virginia. This exemption is governed by the Securities and Exchange Commission (SEC) regulations and indicates that the stock is not authorized for interstate commerce. In summary, the Fairfax Virginia Statement or Legend on Stock Certificate — Notice of Restrictiotransfereefe— - Stock not Registered — Intrastate Exemption exists to inform potential investors about the limitations and regulatory framework surrounding a specific stock within Fairfax, Virginia. It provides essential information regarding transfer restrictions, lack of registration, and the Intrastate Exemption, promoting transparency and compliance within the local stock market.