Rights as a Holder of Capital Stock Clause Samples
The 'Rights as a Holder of Capital Stock' clause defines the entitlements and privileges granted to individuals or entities that own shares in a company. Typically, this clause outlines rights such as voting on corporate matters, receiving dividends, and participating in shareholder meetings. It may also specify rights to information, preemptive rights to purchase additional shares, or preferences in the event of liquidation. The core function of this clause is to clearly establish what shareholders can expect in terms of participation and benefits, thereby ensuring transparency and protecting the interests of capital stockholders.
Rights as a Holder of Capital Stock. Once the Restricted Stock is purchased, the Participant shall have the rights equivalent to those of a holder of capital stock, and shall be a record holder when his or her purchase and the issuance of the Shares is entered upon the records of the duly authorized transfer agent of the Company. No adjustment will be made for a dividend or other right for which the record date is prior to the date the Restricted Stock is purchased, except as provided in Section 11 below.
Rights as a Holder of Capital Stock. Once the Restricted Stock is purchased (or if the Restricted Stock has no purchase price, once the Restricted Stock is granted), but not in respect to Stock Appreciation Rights or Phantom Stock, the Participant shall have the rights equivalent to those of a holder of capital stock, and shall be a record holder when his or her purchase and the issuance of the Shares is entered upon the records of the duly authorized transfer agent of the Company. No adjustment will be made for a dividend or other right for which the record date is prior to the date the Restricted Stock is purchased, except as provided in Section 10 below. Participants who hold or have received cash compensation in respect to Stock Appreciation Rights or Phantom Stock shall never have rights as holders of capital stock in respect to such Participants’ Stock Appreciation Rights or Phantom Stock.