Articles Any Legal For Clat

• Category: Corporations - Public - Changes Affecting Capital Stock
• State: Multi-State
• Control #: US-CC-3-369
• Format: Word; Rich Text

Description

The document outlines an amendment to the Articles of Incorporation of Pacific Enterprises, aimed at enhancing the company's ability to pay dividends on both its Preferred and Common Stock. The proposed amendment seeks to remove the existing restrictions based on retained earnings, allowing greater flexibility in share distributions in accordance with applicable law. For the target audience of attorneys, partners, owners, associates, paralegals, and legal assistants, this form offers crucial insights into the corporate governance processes involved in dividend distributions. Users will find the approval process detailed, requiring majority votes from shareholders, and the amendment's implications on dividend rights articulated clearly. Filling out this form involves ensuring compliance with the California General Corporation Law, particularly sections relating to retained earnings and surplus profits. It serves as a key document for guiding corporate financial strategies and aligns the interests of various stakeholders, ensuring all parties understand their rights concerning dividend distributions. Additionally, it highlights the balance the Board of Directors seeks to maintain between the interests of common and preferred shareholders, significant for legal professionals advising clients on corporate governance issues.