§ 4-202. Required references to close corporation status

   (a) Clear reference required. -- Clear reference to the fact that the corporation is a close corporation shall appear prominently:

   (1) At the head of the charter document in which the election to be a close corporation is made;

   (2) In each subsequent charter document of the corporation; and

   (3) On each certificate representing outstanding stock of the corporation.

(b) Absence of reference. -- The status of a corporation as a close corporation is not affected by the failure of any charter document or stock certificate to contain the reference required by this section.

HISTORY: An. Code 1957, art. 23, § 100; 1975, ch. 311, § 2.