Ohio Legend on Stock Certificate with Reference to Separate Document Restricting Transfer of Shares

State:
Multi-State
Control #:
US-1058BG
Format:
Word; 
Rich Text
Instant download

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). This Legend restricts the transfer of stock in accordance with the Articles of Incorporation or the Corporation's Bylaws or a Shareholder's Buy Sell Agreement.

The Ohio Legend on Stock Certificate refers to a specific marking or statement found on stock certificates issued by companies based in the state of Ohio. This special designation is used in conjunction with a separate document known as a "Restricted Transfer Agreement," which restricts or limits the transferability of the shares mentioned on the stock certificate. These restrictions may be imposed for various reasons, such as maintaining control, complying with legal regulations, or protecting the interests of the company or its shareholders. One type of Ohio Legend on Stock Certificate that may be encountered is the "Common Stock Ohio Legend." This legend indicates that the shares mentioned on the stock certificate are common stock and are subject to the terms and conditions specified in the Restricted Transfer Agreement. Common stock represents the basic ownership interest in a company and generally carries voting rights. Another type is the "Preferred Stock Ohio Legend." This legend signifies that the shares mentioned on the stock certificate are preferred stock, which typically grants certain preferential rights to the shareholders, such as priority in receiving dividend payments or assets in case of liquidation. The terms and transferability of preferred stock could be subject to additional restrictions mentioned in the Restricted Transfer Agreement. The Ohio Legend on Stock Certificate, combined with the Separate Document Restricting Transfer of Shares, safeguards the company's shares from unauthorized transfers and maintains the integrity of the ownership structure. These legends generally contain legal language or statements emphasizing the restrictions, and they serve as a clear warning to potential buyers or transferees of the limitations associated with the shares. It is important for stockholders, potential buyers, or anyone involved in the transfer or acquisition of shares from an Ohio-based company to carefully review the stock certificate and associated Restricted Transfer Agreement. These documents will provide the necessary details, terms, and conditions regarding the transferability or restrictions imposed on the shares. In summary, the Ohio Legend on Stock Certificate with Reference to Separate Document Restricting Transfer of Shares refers to a marking or statement on stock certificates issued by Ohio companies, indicating the presence of restrictions imposed by a separate document known as the Restricted Transfer Agreement. Common Stock Ohio Legends and Preferred Stock Ohio Legends are two possible types of Ohio Legends that one may encounter, depending on the nature of the shares being transferred. These legends play a crucial role in ensuring compliance and protecting the interests of the company and its shareholders.

How to fill out Ohio Legend On Stock Certificate With Reference To Separate Document Restricting Transfer Of Shares?

Choosing the right legal document design can be quite a have a problem. Of course, there are a lot of web templates available online, but how can you obtain the legal form you require? Use the US Legal Forms website. The assistance offers thousands of web templates, such as the Ohio Legend on Stock Certificate with Reference to Separate Document Restricting Transfer of Shares, that you can use for business and private needs. Every one of the kinds are examined by specialists and satisfy federal and state requirements.

When you are previously authorized, log in for your accounts and click on the Download switch to get the Ohio Legend on Stock Certificate with Reference to Separate Document Restricting Transfer of Shares. Utilize your accounts to look with the legal kinds you possess purchased earlier. Proceed to the My Forms tab of your own accounts and have one more backup from the document you require.

When you are a brand new user of US Legal Forms, allow me to share basic recommendations for you to follow:

  • Initially, make certain you have chosen the proper form for your metropolis/region. You can examine the shape making use of the Preview switch and read the shape description to ensure it will be the right one for you.
  • When the form will not satisfy your requirements, take advantage of the Seach discipline to obtain the right form.
  • Once you are positive that the shape would work, go through the Get now switch to get the form.
  • Pick the prices plan you want and enter in the necessary information. Design your accounts and purchase the transaction using your PayPal accounts or Visa or Mastercard.
  • Pick the document structure and obtain the legal document design for your product.
  • Full, edit and print out and sign the received Ohio Legend on Stock Certificate with Reference to Separate Document Restricting Transfer of Shares.

US Legal Forms will be the most significant local library of legal kinds in which you can discover a variety of document web templates. Use the service to obtain professionally-made files that follow express requirements.

Form popularity

FAQ

The purpose of the restrictive legend or notation is to protect the issuing company from loosing its private placement exemption for the initial sale of the securities and to notify the investor that the restricted securities cannot be resold into the public securities market without satisfying certain requirements.

Two types of stock that may contain a stock legend are: Control stock and restricted stock, Control and restricted stock are both subject to transfer restrictions. The restriction stipulates when and how the securities may be lawfully sold.

The purpose of the restrictive legend or notation is to protect the issuing company from loosing its private placement exemption for the initial sale of the securities and to notify the investor that the restricted securities cannot be resold into the public securities market without satisfying certain requirements.

A legend is a statement on a stock certificate noting restrictions on the transfer or sale of a company's stock.

In order to have the legend on a stock certificate removed, investors should contact the company's shareholder relations department to find out the details of the removal process. Following that, the company will send a confirmation authorizing its transfer agent to remove the legend.

The process of removing the restrictive legend from a stock certificate is done only to facilitate a public resale, and in no way alleviates an investor from complying with all aspects of Rule 144 at all times.

A restricted security must bear a legend giving notice of the restrictions. That legend which must be removed after the restrictions are lifted. A security with a legend cannot be transferred or sold and must be removed before any transaction.

Only a transfer agent can complete the task of removing a restrictive stock legend. The transfer agent will require an opinion letter from the issuer's counsel or from his or her own lawyer plus 144 papers completed by a broker?stating that the restricted legend can be removed.

Interesting Questions

More info

Jan 16, 2013 — Only a transfer agent can remove a restrictive legend. But the transfer agent won't remove the legend unless the issuer consents—usually in ... 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.1. Submit the certificate with the Transfer Instruction Letter and an acceptable Medallion Signature Guarantee. · 2. Submit a confirmation of sale letter signed ... (2) The name of the person to whom the shares represented by the certificate are issued; ... (B) No restriction on the right to transfer shares and no reservation ... A stock certificate is documentation of a shareholder's ownership in a corporation. It indicates the number of shares owned by an individual, the par value (if ... 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 Shares represented by this certificate are subject to certain restrictions against transfer by the terms of an agreement entered into by this ... by FB Weinberg · Cited by 10 — THE CLOSE CORPORATION. Since stock transfer restrictions are a form of restraint against the alienation of property, in the absence of authorizing ... This article provides information and procedures to help remove a restricted stock legend from restricted stock. A stock power can be located on the reverse side of a stock certificate or can be a separate form to complete. A stock transfer request form is another form ...

Trusted and secure by over 3 million people of the world’s leading companies

Ohio Legend on Stock Certificate with Reference to Separate Document Restricting Transfer of Shares