17-1297.   Same; control shares, voting rights; affiliate and associate, defined.(a) As used in this section "affiliate" means a person thatdirectly or indirectly controls, is controlled by, or is under commoncontrol with, a specified person.

      (b)   As used in this section "associate," when used to indicate arelationship with any person, means any of the following:

      (1)   Any corporation or organization of which the person is an officer,director or partner or is, directly or indirectly, the beneficial owner of10% or more of any class or series of shares entitled to vote or other equity interest.

      (2)   Any trust or estate in which the person has a substantial beneficialinterest or as to which the person serves as trustee or personalrepresentative or in a similar fiduciary capacity.

      (3)   Any relative or spouse of the person, or any relative of the spouse,residing in the house of the person.

      (c)   Control shares acquired in a control share acquisition that do nothave voting rights accorded them by approval of a resolution ofshareholders shall regain their voting rights on transfer to a person otherthan the acquiring person or affiliate or associate of the acquiringperson, unless the acquisition of the shares by the other personconstitutes a control share acquisition, in which case the voting rightsof the shares acquired by such other person are subject to the provisions of this act.

      History:   L. 1988, ch. 93, § 12; April 21.