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Section 223(c) provides that if, at the time of filling any vacancy, the directors then in office constituted less than a majority of the whole board, any stockholder or stockholders holding at least ten percent of the outstanding voting stock with the right to elect directors may petition the Court of Chancery to ...
New Section 251(h) solves these problems by allowing a friendly acquiror to consummate a short-form merger without a stockholder vote upon the acceptance of shares for purchase in the tender or exchange offer if it obtains sufficient shares to approve a long-form merger at a stockholders' meeting (typically a majority ...
Section 170(a) of the Delaware General Corporation Law (DGCL) permits dividends to be declared out of two legally available sources: (1) out of surplus, or (2) if there is no surplus, out of net profits for the fiscal year in which the dividend is declared and/or the preceding fiscal year (so-called ?nimble dividends?) ...
§ 272. Mortgage or pledge of assets. (a) The authorization or consent of stockholders to the mortgage or pledge of a corporation's property and assets shall not be necessary, except to the extent that the certificate of incorporation otherwise provides.
(b) The Code may be cited by the abbreviation ?Del. C.? preceded by the number of the title and followed by the number of the section, chapter or part in the title. Examples: Section 101 of Title 1 may be cited as 1 Del. C.
The DGCL requires that a change in directors be made only by obtaining a vote, or by the consent of shareholders holding more than fifty percent of the outstanding stock and entitled to vote on the matter under the Certificate of Incorporation.
1 The current default standard under the DGCL is plurality voting: the director who receives the greatest number of votes is elected. Majority voting, on the other hand, requires a director to receive a majority of the votes cast or present and entitled to vote, depending upon how the provision is drafted.
A certificate which contains a copy of the board resolution setting out the powers, designations, preferences or rights of a class or series of a class of stock of a corporation (typically a series of preferred stock) if they are not already contained in the certificate of incorporation of the corporation.
§ 158. Stock certificates; uncertificated shares. The shares of a corporation shall be represented by certificates, provided that the board of directors of the corporation may provide by resolution or resolutions that some or all of any or all classes or series of its stock shall be uncertificated shares.
Section 228 rules that unless otherwise described in a company's certificate of incorporation, shareholders have the right to proceed with any action that would typically be done at a meeting of shareholders, but are not required to have a meeting, give prior notice or hold a vote.