Texas Business Organizations Code - Section 21.153. Designations, Preferences, Limitations, And Rights Of A Class Or Series
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§ 21.153. DESIGNATIONS, PREFERENCES, LIMITATIONS, AND
RIGHTS OF A CLASS OR SERIES. (a) Each class or series of authorized
shares of a corporation must have the designations, preferences,
limitations, and relative rights, including voting rights, stated
in the corporation's certificate of formation.
(b) The certificate of formation may limit or deny the
voting rights of, or provide special voting rights for, the shares
of a class or series or the shares of a class or series held by a
person or class of persons to the extent the limitation, denial, or
provision is not inconsistent with this code.
(c) A designation, preference, limitation, or relative
right, including a voting right, of a class or series of shares of a
corporation may be made dependent on facts not contained in the
certificate of formation, including future acts of the corporation,
if the manner in which those facts will operate on the designation,
preference, limitation, or right is clearly and expressly stated in
the certificate of formation.
Acts 2003, 78th Leg., ch. 182, § 1, eff. Jan. 1, 2006.
Section: 21.105 21.106 21.107 21.108 21.109 21.151 21.152 21.153 21.154 21.155 21.156 21.157 21.158 21.159 21.160
Last modified: August 11, 2007
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