(1) An institution or Oregon stock savings bank may:
(a) Issue fractions of a share or pay in money the value of fractions of a share;
(b) Arrange for disposition of fractional shares by the shareholders; or
(c) Issue scrip in registered or bearer form entitling the holder to receive a full share upon surrendering enough scrip to equal a full share.
(2) Each certificate representing scrip must be conspicuously labeled “scrip” and must contain the following information:
(a) The name of the issuing institution or Oregon stock savings bank and a statement that it is organized under the law of this state;
(b) The name of the person to whom the scrip is issued; and
(c) The number and class of shares and the designation of the series, if any, for which the certificate may be exchanged.
(3) The holder of a fractional share is entitled to exercise the rights of a shareholder, including the right to vote, receive dividends and participate in the assets of the institution or Oregon stock savings bank upon liquidation. The holder of scrip is not entitled to any of these rights unless the scrip provides for them.
(4) The board of directors may authorize the issuance of scrip subject to any condition considered desirable, including:
(a) That the scrip will become void if not exchanged for full shares before a specified date; or
(b) That the shares for which the scrip is exchangeable may be sold and the proceeds paid to the scripholders. [1989 c.324 §32; 1997 c.631 §67]Section: Previous 707.246 707.248 707.250 707.252 707.254 707.256 707.258 707.260 707.262 707.264 707.266 707.268 707.270 707.272 707.310 Next
Last modified: August 7, 2008