Sec. 33-675. Share options. - Connecticut Statutes

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Statutes > Connecticut > Title33 > Chap601 > Sec33-675

      Sec. 33-675. Share options. (a) A corporation may issue rights, options or warrants for the purchase of shares or other securities of the corporation. The board of directors shall determine (1) the terms upon which the rights, options or warrants are issued, and (2) the terms upon which, including the consideration for which, the shares or other securities are to be issued. The authorization by the board of directors for the corporation to issue such rights, options or warrants constitutes authorization of the issuance of the shares or other securities for which the rights, options or warrants are exercisable.

      (b) The terms and conditions of such rights, options or warrants, including those outstanding on October 1, 2003, may include, but are not limited to, restrictions or conditions that: (1) Preclude or limit the exercise, transfer or receipt of such rights, options or warrants by any person or persons owning or offering to acquire a specified number or percentage of the outstanding shares or other securities of the corporation or by any transferee or transferees of any such person or persons; or (2) invalidate or void such rights, options or warrants held by any such person or persons or any such transferee or transferees.

      (P.A. 94-186, S. 47, 215; P.A. 03-158, S. 8.)

      History: P.A. 94-186 effective January 1, 1997; P.A. 03-158 designated existing provisions as Subsec. (a), amended same by adding provisions re other securities, deleting provision re form and content, adding provision re authorization by the board of directors and making technical changes, and added Subsec. (b) re restrictions on or conditions of rights, options or warrants.

      Annotations to former section 33-344:

      Cited. 150 C. 244. Company had stock option plan which provided that interpretation of terms and provisions thereof would be final, binding and conclusive. Held to permit parties to agree before dispute arises to submit differences to adjudication by one of parties to agreement is against public policy. Id., 501.

State Codes and Statutes

Statutes > Connecticut > Title33 > Chap601 > Sec33-675

      Sec. 33-675. Share options. (a) A corporation may issue rights, options or warrants for the purchase of shares or other securities of the corporation. The board of directors shall determine (1) the terms upon which the rights, options or warrants are issued, and (2) the terms upon which, including the consideration for which, the shares or other securities are to be issued. The authorization by the board of directors for the corporation to issue such rights, options or warrants constitutes authorization of the issuance of the shares or other securities for which the rights, options or warrants are exercisable.

      (b) The terms and conditions of such rights, options or warrants, including those outstanding on October 1, 2003, may include, but are not limited to, restrictions or conditions that: (1) Preclude or limit the exercise, transfer or receipt of such rights, options or warrants by any person or persons owning or offering to acquire a specified number or percentage of the outstanding shares or other securities of the corporation or by any transferee or transferees of any such person or persons; or (2) invalidate or void such rights, options or warrants held by any such person or persons or any such transferee or transferees.

      (P.A. 94-186, S. 47, 215; P.A. 03-158, S. 8.)

      History: P.A. 94-186 effective January 1, 1997; P.A. 03-158 designated existing provisions as Subsec. (a), amended same by adding provisions re other securities, deleting provision re form and content, adding provision re authorization by the board of directors and making technical changes, and added Subsec. (b) re restrictions on or conditions of rights, options or warrants.

      Annotations to former section 33-344:

      Cited. 150 C. 244. Company had stock option plan which provided that interpretation of terms and provisions thereof would be final, binding and conclusive. Held to permit parties to agree before dispute arises to submit differences to adjudication by one of parties to agreement is against public policy. Id., 501.

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State Codes and Statutes

Statutes > Connecticut > Title33 > Chap601 > Sec33-675

      Sec. 33-675. Share options. (a) A corporation may issue rights, options or warrants for the purchase of shares or other securities of the corporation. The board of directors shall determine (1) the terms upon which the rights, options or warrants are issued, and (2) the terms upon which, including the consideration for which, the shares or other securities are to be issued. The authorization by the board of directors for the corporation to issue such rights, options or warrants constitutes authorization of the issuance of the shares or other securities for which the rights, options or warrants are exercisable.

      (b) The terms and conditions of such rights, options or warrants, including those outstanding on October 1, 2003, may include, but are not limited to, restrictions or conditions that: (1) Preclude or limit the exercise, transfer or receipt of such rights, options or warrants by any person or persons owning or offering to acquire a specified number or percentage of the outstanding shares or other securities of the corporation or by any transferee or transferees of any such person or persons; or (2) invalidate or void such rights, options or warrants held by any such person or persons or any such transferee or transferees.

      (P.A. 94-186, S. 47, 215; P.A. 03-158, S. 8.)

      History: P.A. 94-186 effective January 1, 1997; P.A. 03-158 designated existing provisions as Subsec. (a), amended same by adding provisions re other securities, deleting provision re form and content, adding provision re authorization by the board of directors and making technical changes, and added Subsec. (b) re restrictions on or conditions of rights, options or warrants.

      Annotations to former section 33-344:

      Cited. 150 C. 244. Company had stock option plan which provided that interpretation of terms and provisions thereof would be final, binding and conclusive. Held to permit parties to agree before dispute arises to submit differences to adjudication by one of parties to agreement is against public policy. Id., 501.