State Codes and Statutes

State Codes and Statutes

Statutes > Nebraska > Chapter21 > 21-20_119

21-20,119. Articles of incorporation; voting on amendments by voting groups.(1) The holders of the outstanding shares of a class shall be entitled to vote as a separate voting group if shareholder voting is otherwise required by the Business Corporation Act on a proposed amendment if the amendment would:(a) Increase or decrease the aggregate number of authorized shares of the class;(b) Effect an exchange or reclassification of all or part of the shares of the class into shares of another class;(c) Effect an exchange or reclassification or create the right of exchange of all or part of the shares of another class into shares of the class;(d) Change the designation, rights, preferences, or limitations of all or part of the shares of the class;(e) Change the shares of all or part of the class into a different number of shares of the same class;(f) Create a new class of shares having rights or preferences with respect to distributions or to dissolution that are prior, superior, or substantially equal to the shares of the class;(g) Increase the rights, preferences, or number of authorized shares of any class that, after giving effect to the amendment, have rights or preferences with respect to distributions or to dissolution that are prior, superior, or substantially equal to the shares of the class;(h) Limit or deny an existing preemptive right of all or part of the shares of the class; or(i) Cancel or otherwise affect rights to distributions or dividends that have accumulated but not yet been declared on all or part of the shares of the class.(2) If a proposed amendment would affect a series of a class of shares in one or more of the ways described in subsection (1) of this section, the shares of that series shall be entitled to vote as a separate voting group on the proposed amendment.(3) If a proposed amendment that entitles two or more series of shares to vote as separate voting groups under this section would affect those two or more series in the same or a substantially similar way, the shares of all the series so affected shall vote together as a single voting group on the proposed amendment.(4) A class or series of shares shall be entitled to the voting rights granted by this section although the articles of incorporation provide that the shares are nonvoting shares. SourceLaws 1995, LB 109, § 119.