17-2719.   Same; forfeiture of corporate right, when; trustees, powers. The certificate of incorporation of any corporation organized under thischapter shall be automatically forfeited as of the last day of December inany year if the corporation fails to file the certificate required underthis section, or if the certificate filed reflects that any shares of thecorporation have been owned by an unqualified person for more than one yearpreceding the date of the certificate and that no action as required hereinhas been timely instituted to fix the fair value of such shares. In theevent of any such forfeiture, all the powers, privileges and franchisesconferred upon such corporation by its certificate of incorporation shallbe subject to rescission, and the secretary of state shall notify thecorporation by mail, addressed to its registered office, as disclosed bythe records of his office, that its corporate existence and rights in thisstate have been forfeited and canceled, and the corporation dissolvedsubject to rescission as provided in chapter 17, Kansas Statutes Annotated.The directors and officers in office when any such forfeiture occurs shallbe the trustees of the corporation, shall have full authority to wind upits business and affairs, sell and liquidate its property and assets, payits debts and obligations and to distribute the net assets among theshareholders. The trustees as such shall have power to sue for and recoverthe debts and property due to corporation, describing it by its corporatename, and may be sued as such. The trustees shall be jointly and severallyresponsible to the creditors and shareholders of the corporation to theextent of its property and effects that shall have come into their hands.

      History:   L. 1965, ch. 157, § 14; June 30.