Transferability of Shares in Different Types of Stock Companies - Prof. Domínguez, Apuntes de Derecho Mercantil

¡Descarga Transferability of Shares in Different Types of Stock Companies - Prof. Domínguez y más Apuntes en PDF de Derecho Mercantil solo en Docsity! Are there differences between types of stock companies regarding transferability of shares? 1. What is a stock company? 2. Types of stock companies 3. What do we mean with transferability of shares? What is a share? 4. Differences btw types of stock companies regarding transferability of shares 1. WHAT IS A STOCK COMPANY? A stock company is a business entity where different stocks can be bought and owned by shareholders (individuals who buy shares which represent part ownership of a company). There are 3 types of stock companies: • Corporations • Limited liability companies • Stock partnership 2. TYPES OF STOCK COMPANIES (a ser possible enfocado a los shares) 3. WHAT DO WE MEAN WITH TRANSFERABILITY OF SHARES? WHAT IS A SHARE? Shares are non-divisible equal parts of capital that may be accumulated. They provide rights entitled to shareholders. More specifically and according to the Corporate Enterprises Act, “shares in joint stock companies constitute aliquot, indivisible and cumulative parts of the capital”. Transferability of shares, procedure: i. The shareholder provides the transferee with a completed and signed stock transfer form and the share certificate in respect of the shares to be transferred. ii. The company (usually the directors) decides whether to accept the transfer: if it refuses to accept it, the company has two months to communicate the refusal to the transferee; if it accepts the transfer, the company will make the necessary entries in the register of members and issues a share certificate to the transferee (available within 2 months ) Share transfers: 26. (1) Shares may be transferred by means of an instrument of transfer in any usual form or any other form approved by the directors, which is executed by or on behalf of the transferor. (2) No fee may be charged for registering any instrument of transfer or other document