Oklahoma 2024 Regular Session

Oklahoma Senate Bill SB620 Compare Versions

Version 1 (Old)

Version 2 (New)

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4		-	An Act
5		-	ENROLLED SENATE
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	29	+	HOUSE OF REPRESENTATIVES - FLOOR VERSION
	30	+
	31	+	STATE OF OKLAHOMA
	32	+
	33	+	1st Session of the 59th Legislature (2023)
	34	+
	35	+	ENGROSSED SENATE
6	36		BILL NO. 620 By: Montgomery of the Senate
7	37
8	38		and
9	39
10		-	Echols and McDugle of the
11		-	House
	40	+	Echols of the House
12	41
13	42
14	43
15	44
16	45		An Act relating to business entities; amending 18
17	46		O.S. 2021, Sections 803, 804, 807, 808, 809, 810,
18	47		811, and 815, which relate to the Professional Entity
19	48		Act; modifying definitions; modifying requirements
20	49		for formation or qualification of professional enti ty
21	50		to render professional services; clarifying
22	51		requirement for name of domestic professional entity;
23	52		requiring designation of principal office in
24	53		qualification instrument; requiring owners of certain
25	54		professional entity to be licensed or permitted to
26	55		render certain services; requiring managers of
27	56		certain professional entity to be licensed or
28	57		permitted to render certain services; clarifying
29	58		persons authorized to render certain services for
30	59		certain professional entity; clarifying professional
31	60		corporation authorized to purchase or redeem certain
32	61		shares; amending 18 O.S. 2021, Sections 1004.1, 1006,
33	62		1012, 1014, 1014.3, 1022, 1025, 1027, 1031, 1033,
34	63		1034, 1038, and 1041, which relate to formation,
35	64		registered office and agent, directors and officers,
36	65		and stocks and dividends under the Oklahoma General
37	66		Corporation Act; updating statutory references;
38	67		modifying requirements for personal liability of
39	68		certain directors and officers; authorizing
40	69		documentation, signature, and delivery of consent by
41	70		electronic means; allowing adoption of emergency
42	71		bylaws without quorum; establis hing certain emergency
43	72		powers of directors; clarifying signature
44	73		requirements for certain docume nts; removing
45	74		reference to foreign general partnership; removing
46	75		requirement for issuance of certain ce rtificate by
47	76
48		-	ENR. S. B. NO. 620 Page 2
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49	103		the Secretary of State; requiring filing of certain
50	104		consents with minutes of certain proceedings;
51	105		authorizing indemnification of certain per sons for
52	106		defense of certain claims; defining term; requiring
53	107		captive insurance to include certain terms ;
54	108		establishing requirements for certain captive
55	109		insurance policies; construing provisions;
56	110		authorizing board of directors to delegate authority
57	111		to enter into transactions to issue stock;
58	112		authorizing board of directors to delegate
59	113		disposition of treasury sh ares in certain manner;
60	114		authorizing board of directors to delegate authority
61	115		to issue rights or options to acquire stock;
62	116		prohibiting shares of capital s tock of a corporation
63	117		to be voted or counted for quorum purposes under
64	118		certain circumstances; authorizi ng issuance of new
65	119		certificates of stock in place of lost , stolen, or
66	120		destroyed certificates; providing for application to
67	121		district court to require issu ance of certain shares
68	122		or certificates; amending 18 O.S. 2021, Sections
69	123		1057, 1058, 1064, 1067, 1073, 1 075.2, 1081, 1090.4,
70	124		1090.5, 1091, 1096, 1097, and 1120, which relate to
71	125		meetings, elections, voting, and notice, merger or
72	126		consolidation, dissolution an d winding up, and
73	127		revival of certificate of incorporation under the
74	128		Oklahoma General Corporation Act; authorizing
75	129		documentation, signature, and delivery of
76	130		authorization of a proxy by electronic means under
77	131		certain circumstances; conforming language relate d to
78	132		delivery of consent; eliminating requirement for
79	133		availability of shareholder list for inspection
80	134		during certain meetings; clarifying calculation of
81	135		certain time period; authorizing application to
82	136		district court for examination of shareholder list;
83	137		establishing burden of proof; authorizing court to
84	138		issue certain orders; modifying notice requirements
85	139		for shareholder meetings; conforming language;
86	140		modifying requirements for documentation, signature,
87	141		and delivery of consent of shareholders; clarifying
88	142		validity of consent executed by non -shareholder;
89	143		authorizing certain reproduction of written consent;
90	144		clarifying acceptable forms of delivery of written or
91		-
92		-	ENR. S. B. NO. 620 Page 3
93	145		electronic transmissions; authorizing electronic
94	146		transmission of certain notice; prohibiting
95	147		electronic transmission of notice under certain
96	148		circumstances; allowing certain affidavit to be prima
97	149		facie evidence of certain facts; defining terms;
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98	177		modifying certain ex ceptions; modifying requirements
99	178		for organizational documents of surviving entity
100	179		following merger; requiring certain approvals before
101	180		certificate of conversion becomes effective;
102	181		modifying requirement for shareholder approval to a
103	182		majority of outstanding shares of stock for
104	183		conversion of corporation to another entity;
105	184		requiring approval of each shar eholder becoming a
106	185		general partner in conversion to partnership;
107	186		requiring certificate of conversion t o contain
108	187		certain agreement for enforcement of obligations of
109	188		converted entity; defining term; prohibiting
110	189		availability of certain appraisal rights on cer tain
111	190		date; modifying requirements to perfect certain
112	191		appraisal rights; permitting beneficial owner of
113	192		stock to demand appraisal directly under certain
114	193		circumstances; modifying procedures for filing
115	194		petition in district court for determination of value
116	195		of stock; modifying certain notice requirements;
117	196		requiring court to determine persons entitled to
118	197		appraisal; authorizing court to issue certain orders;
119	198		authorizing order for pro rata share of certain
120	199		expenses to a shareholder or beneficial owner
121	200		participating in appraisal proceedings; modifying
122	201		requirements for dismissal of appraisal proceedings;
123	202		authorizing reservation of jurisdiction for certain
124	203		applications to the court; establishing requirements
125	204		for execution of certain certificate of dissolution
126	205		of corporation; stating effect of failure to timely
127	206		file certification of dissolution of corporation;
128	207		clarifying effective date of dissolution of
129	208		corporation; establishin g requirements for execution
130	209		of certain certificate of dissolution of nonstock
131	210		corporation; stating effect of failure to timely file
132	211		certification of dissolution of nonstock corporation;
133	212		making language gender neutral; deleting obsolete
134		-
135		-	ENR. S. B. NO. 620 Page 4
136	213		language; updating statutory references; providing
137	214		for codification; and providing an effective date.
138	215
139	216
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141	218
142		-	SUBJECT: Professional Entity Act
143		-
144	219		BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
145		-
146	220		SECTION 1. AMENDATORY 18 O.S. 2021, Section 803, is
147	221		amended to read as follows:
148	222
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149	249		Section 803. A. As used in the Professional Entity Act, unle ss
150	250		the context clearly indicates th at a different meaning is intended:
151		-
152	251		1. “Associated act” means the Oklahoma General Corporation Act,
153	252		in the case of a corporation; the Oklahoma Revised Uniform Limited
154	253		Partnership Act Uniform Limited Partnership Act of 2010, in the case
155	254		of a limited partnership; or the Oklahoma Limited Liability Company
156	255		Act, in the case of a limited lia bility company;
157		-
158	256		2. “Interest” means a share of stock in a corporation, a
159	257		partnership interest in a limited partnership or a membership
160	258		interest in a limited liability compan y;
161		-
162	259		3. “Owner” means a shareholder in the case of a corporation, a
163	260		general or limited partner in the case of a limited partnership or a
164	261		member in the case of a limited liability company;
165		-
166	262		4. “Manager” means a director or off icer in the case of a
167	263		corporation, a general partner in the case of a limited partnership
168	264		or a manager in the case of a limited liability company;
169		-
170	265		5. “Professional entity” means a domestic or qualified foreign
171	266		corporation, limited partnershi p or limited liability company formed
172	267		for the purpose of rendering professional service or formed for the
173	268		purpose of owning a pr ofessional entity rendering professional
174	269		service;
175		-
176	270		6. “Professional service ” means the personal service rendered
177	271		by:
178	272
179		-	ENR. S. B. NO. 620 Page 5
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180	298
181	299		a. a physician, surgeon o r doctor of medicine pursuant to
182	300		a license under Sections 481 through 524 of Title 59
183	301		of the Oklahoma Statutes, an d any subsequent laws
184	302		regulating the practice of medicine,
185		-
186	303		b. an osteopathic physician or surgeon pursuant to a
187	304		license under Sections 620 thr ough 645 of Title 59 of
188	305		the Oklahoma Statutes, and any subsequent laws
189	306		regulating the practice of osteopathy,
190		-
191	307		c. a chiropractic physician pursuant to a license under
192	308		Sections 161.1 through 161.20 of T itle 59 of the
193	309		Oklahoma Statutes, and any subsequent law s regulating
194	310		the practice of chiropractic,
195		-
196	311		d. a podiatric physician pursuant to a license under
197	312		Sections 135.1 through 160.2 of Title 59 of the
198	313		Oklahoma Statutes, and any subsequent laws regulating
199	314		the practice of podiatric medicine,
200		-
201	315		e. an optometrist pursuant to a license under Sections
202	316		581 through 606 of Title 59 of the Oklahoma Statutes,
203	317		and any subsequent laws reg ulating the practice of
204	318		optometry,
205		-
206	319		f. a veterinarian pursuant to a license under Secti ons
207	320		698.1 through 698.30b of Title 59 of the Oklahoma
208	321		Statutes, and any subsequent laws regulating the
209	322		practice of veterinary medicine,
210	323
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211	350		g. an architect pursuant to a lice nse under Sections 46.1
212	351		through 46.41 of Title 59 of the Oklahoma Statutes,
213	352		and any subsequent laws regulating the practice of
214	353		architecture,
215		-
216	354		h. an attorney pursuant to his or her authority to
217	355		practice law granted by the Supr eme Court of the State
218	356		of Oklahoma this state,
219		-
220	357		i. a dentist pursuant to a license under Sections 328.1
221	358		through 328.53 of Title 59 of the Oklahoma Statutes,
222		-
223		-	ENR. S. B. NO. 620 Page 6
224	359		and any subsequent laws regulating the practice of
225	360		dentistry,
226		-
227	361		j. a certified public accountant or a public acco untant
228	362		pursuant to his or her au thority to practice
229	363		accounting under Sections 15.1 through 15.38 of Title
230	364		59 of the Oklahoma Statutes, and any subseq uent laws
231	365		regulating the practice of public ac countancy,
232		-
233	366		k. a psychologist pursuant to a license under Sect ions
234	367		1351 through 1376 of Title 59 of the Oklahoma
235	368		Statutes, and any subsequent laws regulating the
236	369		practice of psychology,
237		-
238	370		l. a physical therapist p ursuant to a license under
239	371		Sections 887.1 through 887.18 of Title 59 of the
240	372		Oklahoma Statutes, and any subs equent laws regulating
241	373		the practice of physical therapy,
242	374
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243	401		m. a registered nurse pursuant to a license under
244	402		Sections 567.1 through 567.19 of Title 59 of the
245	403		Oklahoma Statutes, and any other subseq uent laws
246	404		regulating the practice of nursing,
247		-
248	405		n. a professional engineer pursuant to a licens e under
249	406		Sections 475.1 through 475.22a of Title 59 of the
250	407		Oklahoma Statutes, and any subsequent laws relating to
251	408		the practice of engineering,
252		-
253	409		o. a land surveyor pursuant to a license under Sections
254	410		475.1 through 475.22a of T itle 59 of the Oklahoma
255	411		Statutes, and any subsequent laws relating to the
256	412		practice of land surveying,
257		-
258	413		p. an occupational therapist pursuant to Sectio ns 888.1
259	414		through 888.15 of Title 59 of the Okl ahoma Statutes
260	415		and any subsequent law regulating the practice of
261	416		occupational therapy,
262		-
263	417		q. a speech pathologist or speech therapist pursuant to
264	418		Sections 1601 through 162 2 of Title 59 of the Oklahoma
265		-
266		-	ENR. S. B. NO. 620 Page 7
267	419		Statutes, and any subsequent law regulating the
268	420		practice of speech pathology,
269		-
270	421		r. an audiologist pursuant to Sections 16 01 through 1622
271	422		of Title 59 of the Oklahoma Statutes, and any
272	423		subsequent law regulating the practice of aud iology,
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273	450
274	451		s. a registered pharmacist pursuan t to Sections 353
275	452		through 366 360 of Title 59 of the Oklahoma Statutes,
276	453		and any subsequent law regulating the p ractice of
277	454		pharmacy,
278		-
279	455		t. a licensed perfusionist pursuant to Sections 2051
280	456		through 2071 of Title 59 of t he Oklahoma Statutes, and
281	457		any subsequent laws regulating the practice of
282	458		perfusionists,
283		-
284	459		u. a licensed professional counselor pursuant to Sections
285	460		1901 through 1920 of Title 59 of the Ok lahoma
286	461		Statutes, and any subsequent law regulating the
287	462		practice of professional counseling,
288		-
289	463		v. a licensed marital and family therapist pursuant to
290	464		Sections 1925.1 through 1925.18 of Title 59 of the
291	465		Oklahoma Statutes, and any subsequent law regulating
292	466		the practice of marital and family therapy,
293		-
294	467		w. a dietitian licensed pursuant to Sections 1721 through
295	468		1739 of Title 59 of the Oklahoma Statutes and any
296	469		subsequent laws regulating the practice of dietitians,
297		-
298	470		x. a social worker licensed pursuant to Sections 1250
299	471		through 1273 of Title 59 of the Oklahoma Statutes, and
300	472		any subsequent laws regulating the practice of social
301	473		work,
302	474
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303	501		y. a licensed alcohol and drug counselor pursuant to
304	502		Sections 1870 through 1885 of Title 59 of the Oklahoma
305	503		Statutes, and any subsequent laws regulating the
306	504		practice of alcohol and drug counseling,
307		-
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309		-	ENR. S. B. NO. 620 Page 8
310	505		z. a licensed behavioral practitioner pursuant to
311	506		Sections 1930 through 1949.1 of Title 59 of the
312	507		Oklahoma Statutes, and any subsequent laws regulating
313	508		the practice of behavioral health services, or
314		-
315	509		aa. a certified real estate appraiser licensed pursuant to
316	510		Sections 858-700 through 858-732 of Title 59 of the
317	511		Oklahoma Statutes or listed on the National Registry
318	512		of Appraisers by the Appraisal Subcommittee in
319	513		compliance with Title XI of the Financial Ins titutions
320	514		Reform, Recovery, and Enforcement Act (FIRREA) of
321	515		1989, and any subsequent laws regulating the practice
322	516		of real estate appraisal;
323		-
324	517		7. “Related professional services” means those services which
325	518		are combined for prof essional entity purposes as foll ows:
326		-
327	519		a. any combination of the following professionals:
328		-
329	520		(1) a physician, surgeon or doctor of medicine
330	521		pursuant to a license under Sections 481 through
331	522		524 of Title 59 of the Oklahoma Statutes, and any
332	523		subsequent laws regula ting the practice of
333	524		medicine,
334	525
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335	552		(2) an osteopathic physician or surgeon pursuant to a
336	553		license under Sections 620 through 645 of Title
337	554		59 of the Oklahoma Statutes, and any subsequent
338	555		laws relating to the practice of osteopathy,
339		-
340	556		(3) a dentist pursuant to a li cense under Sections
341	557		328.1 through 328.53 of Title 59 of the Oklahoma
342	558		Statutes, and any subsequent laws regulating the
343	559		practice of dentistry,
344		-
345	560		(4) a chiropractic physician pursuant to a license
346	561		under Sections 161.1 through 161.20 of Title 59
347	562		of the Oklahoma Statutes, and any subsequent la ws
348	563		regulating the practice of chiropractic,
349		-
350	564		(5) a psychologist pursuant to a license under
351	565		Sections 1351 through 1376 of Title 59 of the
352		-
353		-	ENR. S. B. NO. 620 Page 9
354	566		Oklahoma Statutes, and any subsequent laws
355	567		regulating the practice of psychology,
356		-
357	568		(6) an optometrist pursuant to a lice nse under
358	569		Sections 581 through 606 of Title 59 of the
359	570		Oklahoma Statutes, and any subsequent laws
360	571		regulating the pract ice of optometry,
361		-
362	572		(7) a podiatric physician pursuant to a license under
363	573		Sections 135.1 through 160.2 of Tit le 59 of the
364	574		Oklahoma Statutes, and any subsequent laws
365	575		regulating the practice of podiatric medicine,
366	576
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367	603		(8) a dietitian licensed pursuant to Sections 1721
368	604		through 1739 of Title 59 of the Oklahoma Statutes
369	605		and subsequent laws regulating the practice of
370	606		dietitians, or
371		-
372	607		(9) an occupational therapist pursuant to Sections
373	608		888.1 through 888.15 of Title 59 of the Ok lahoma
374	609		Statutes and any subsequent law regulat ing the
375	610		practice of occupational therapy, or
376		-
377	611		b. any combination of the following professions:
378		-
379	612		(1) an architect pursuant to a license under Sections
380	613		46.1 through 46.41 of Title 59 of the Oklahoma
381	614		Statutes, and any subsequent laws regulating the
382	615		practice of architecture,
383		-
384	616		(2) a professional engineer pursuant to a license
385	617		under Sections 475.1 through 475.22a of Tit le 59
386	618		of the Oklahoma Statutes, and any subsequent laws
387	619		relating to the practice of engineering, or
388		-
389	620		(3) a land surveyor pursuant to a license under
390	621		Sections 475.1 through 475.22a of Title 59 of the
391	622		Oklahoma Statutes, and any subsequent laws
392	623		relating to the practice of land surveying;
393		-
394		-
395		-	ENR. S. B. NO. 620 Page 10
396	624		8. “Regulating board” means the board which is charged with the
397	625		licensing and regulation of the practice of the profess ion which the
398	626		professional entity is organized to render;
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399	653
400	654		9. “Individual”, “incorporator” and “shareholder” each include
401	655		the trustee of an express trust created by a person duly licensed or
402	656		otherwise permitted to render a professional service who has the
403	657		right to revoke the trust and who is serving as the trustee of the
404	658		trust. Any certificate required by the Professional Entity Act to
405	659		be issued to an individual incorporator or shareholder may be issued
406	660		to the grantor on behalf of a trust. All references in the
407	661		Professional Entity Act to death and incapacity of a shareholder
408	662		shall include the death and incapacity of the grantor of a trust
409	663		which own stock in a professional corporation;
410		-
411	664		10. “Incapacity” of a shareholder means a determination by a
412	665		court of competent j urisdiction, or otherwise by two independent
413	666		licensed physicians, that the shareholder is fully incapacitated or
414	667		is partially incapacitated to the extent that the shareholder is not
415	668		capable of rendering the professional service for which the
416	669		professional corporation was organized; and
417		-
418	670		11. “Other personal representative” includes the successor
419	671		trustee of an express trust ow ning stock in a professional
420	672		corporation, which trust was created by a person du ly licensed or
421	673		otherwise permitted to render the profess ional service for which the
422	674		professional corporation was organized who has the right to revoke
423	675		the trust and who is the original trustee of the trust.
424	676
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425	703		B. The definitions of the applicable associated act shall apply
426	704		to the Professional Entity Act, unless t he context clearly indicates
427	705		that a different meaning is intended.
428		-
429	706		SECTION 2. AMENDATORY 18 O.S. 2021, Section 804, is
430	707		amended to read as follows:
431		-
432	708		Section 804. A professional entity may be formed or qualified
433	709		to render professional services by filing the appropriate instrument
434	710		required by the associated act with the Secretary of State. The
435	711		individual or individuals forming the a domestic professional entity
436	712		or qualifying a foreign professional entity shall be managers of the
437	713		professional entity and duly licensed or otherwise permitted in
438		-
439		-	ENR. S. B. NO. 620 Page 11
440	714		accordance with the provisions of this state ’s licensing laws for
441	715		the profession and in good standing within t he profession to be
442	716		practiced through the professional entity. Such instrume nt shall
443	717		meet the requirements of the applicable associated act, shall
444	718		contain the profession or related professions to be practiced
445	719		through the professional en tity, and shall also contain one of the
446	720		following:
447		-
448	721		1. The profession or related professions to be practiced
449	722		through the professional entity; and
450		-
451	723		2. A certificate by the regulating board of the profession or
452	724		related professions involved that each of the persons who are to
453	725		will become owners or managers of the domestic professional entity
454	726		and who are to will engage in the practice of the profession or
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455	754		related profession in this state is duly licensed or otherwise
456	755		permitted in accordance with the provisions of this state ’s
457	756		licensing laws for the profession or related profession to practice
458	757		such profession; or
459		-
460	758		2. A certificate by the regulating board of the profession or
461	759		related professions involved that the person s who will become the
462	760		managers of the foreign professional entit y and who will be
463	761		responsible for the practice of the profession or related profession
464	762		in this state are duly licensed or otherwise permitted in accordance
465	763		with the provisions of this state ’s licensing laws for the
466	764		profession or related profession to prac tice such profession.
467		-
468	765		SECTION 3. AMENDATORY 18 O.S. 2021, Sec tion 807, is
469	766		amended to read as follows:
470		-
471	767		Section 807. The name of every domestic professional entity
472	768		shall end with one or more of the words or abbreviations permitted
473	769		in the applicable associated acts; provided, that such words or
474	770		abbreviations shall be modified by the word “professional” or some
475	771		abbreviation of the combination, with or without punctuation,
476	772		including, without limitation: “P.C.”, “P.L.P.” or “P.L.L.C.”.
477	773		Provided further, each of the regulating boards may by rule adopt
478	774		further requirements as to the names of professional entities
479	775		organized to render professional services within the jurisdiction of
480	776		such regulating board.
481	777
482		-
483		-	ENR. S. B. NO. 620 Page 12
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484	804		SECTION 4. AMENDATORY 18 O.S. 2021, Section 808, is
485	805		amended to read as follows:
486		-
487	806		Section 808. The principal office of the professional business
488	807		entity shall be designated by street address in the formation or
489	808		qualification instrument and shall not be changed without amendment
490	809		of the formation or qualification instrument.
491		-
492	810		SECTION 5. AMENDATORY 18 O.S. 2021, Section 809, is
493	811		amended to read as follows:
494		-
495	812		Section 809. Except as provided in Section 815 of this title,
496	813		no person shall hold an interest in a domestic professional entity
497	814		including a domestic professional entity that owns a domestic
498	815		professional entity rendering professional service who is not duly
499	816		licensed or otherwise permitted in accordance with the provisions of
500	817		this state’s licensing laws for the profession or r elated profession
501	818		to render the same prof essional services or related professional
502	819		services as those for which the entity is organized. No person
503	820		shall be a shareholder of a professional corporation who is not duly
504	821		licensed or otherwise permitted to rende r the same professional
505	822		services or related professional services as the services for which
506	823		the corporation is organized. An owner of a qualified foreign
507	824		professional entity need not be duly licensed if he or she is not
508	825		rendering professional services in this state.
509		-
510	826		SECTION 6. AMENDATORY 18 O.S. 2021, Section 810, is
511	827		amended to read as follows:
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512	854
513	855		Section 810. No person may be a Every manager of a domestic
514	856		professional entity who is not a person responsible for the
515	857		professional services or related professional services rendered by
516	858		the professional entity in this state shall be duly licensed or
517	859		otherwise permitted in accordance with the provisions of this
518	860		state’s licensing laws for the profession or related pro fession to
519	861		render the same professional services or related professional
520	862		services as those for which the entity is formed. No person may be
521	863		a shareholder of a professional corporation who is not an individual
522	864		Every manager of a foreign profe ssional entity responsible for the
523	865		professional services or related professional services r endered by
524	866		the professional entity in this state shall be duly licensed or
525	867		otherwise permitted in accordance with the provisions of this
526		-
527		-	ENR. S. B. NO. 620 Page 13
528	868		state’s licensing laws for th e profession or related profession to
529	869		render the same professional services or related pro fessional
530	870		services as those for which the corporation entity is organized
531	871		formed.
532		-
533	872		SECTION 7. AMENDATORY 1 8 O.S. 2021, Section 811, is
534	873		amended to read as follows:
535		-
536	874		Section 811. A domestic professional entity may render
537	875		professional services in this state only through its owners,
538	876		managers, employees and agents who are duly licensed or otherwise
539	877		permitted in accordance with the provisions of this state’s
540	878		licensing laws to render pro fessional services; provided, however,
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541	906		this provision. A foreign professional entity may render
542	907		professional services in this state only through its owners,
543	908		managers, employees, and agents who are dul y licensed or otherwise
544	909		permitted in accordance with the provisions of this state’s
545	910		licensing laws to render pr ofessional services in this state. The
546	911		provisions of this section shall not be interpreted to include in
547	912		the term “employee”, as used herein, clerks, secretaries,
548	913		bookkeepers, technicians and other a ssistants who are not usually
549	914		and ordinarily considered by custom and practice to be rendering
550	915		professional services to the public for which a license is required.
551		-
552	916		SECTION 8. AMENDATORY 18 O.S. 2021, Section 815, is
553	917		amended to read as follows:
554		-
555	918		Section 815. A. 1. If the domestic professional entity is a
556	919		corporation, the certificate of incorporation, bylaws or other
557	920		agreement may provide for the purchase or rede mption of the shares
558	921		of any shareholder upon the death, incapacity, di squalification or
559	922		ending of employment of such sharehol der. In the absence of a
560	923		provision in the certificate of incorporation, or the bylaws, or
561	924		other agreement, the domestic professional corporation shall
562	925		purchase the shares of a deceased shareholder, a shareholder who is
563	926		incapacitated or who is no longer qu alified to own shares in such
564	927		corporation or a shareholder whose employment has ended, within
565	928		ninety (90) days after such shareholder ’s death, incapacity or,
566	929		disqualification or ending of employment, a s the case may be.
567	930
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568	957		2. The price for such shares shall be the book value as of t he
569	958		end of the month immediately preceding such shareholder’s death,
570		-
571		-	ENR. S. B. NO. 620 Page 14
572	959		incapacity, disqualification or ending of employ ment of the
573	960		shareholder. Book value shall be determined fro m the books and
574	961		records of the domestic professional corporation in accordance with
575	962		the regular method of accounting used by the corporation. If the
576	963		corporation shall fail to purchase the shares by the en d of the
577	964		ninety day period, then the executor or ad ministrator or other
578	965		personal representative of the deceased, incapacitated or
579	966		disqualified shareholder may bring an action in the district court
580	967		of the county in which the principal office or place of pra ctice of
581	968		the domestic professional corporation is l ocated for the enforcement
582	969		of this provision. If the plaintiff is successful in such ac tion,
583	970		he or she shall be entitled to recover the book va lue of the shares
584	971		involved, a reasonable attorney ’s fee and costs. The domestic
585	972		professional corporation s hall repurchase such shares without regard
586	973		to restrictions upon the repurchase of shares prov ided for in the
587	974		Oklahoma General Corporation Act.
588		-
589	975		3. If there is only one shareholder of a domestic professional
590	976		corporation, and the shareho lder dies or becomes incap acitated, the
591	977		executor or administrator or other person al representative of the
592	978		shareholder shall have the authority to sell the shares of capital
593	979		stock owned by the shareholder to a qualified purchaser, or to cause
594	980		a dissolution of the domestic professional corporation as provided
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595	1008		by law. The vesting of owne rship of shares of stock in a domestic
596	1009		professional corporation in the executor or administrator or other
597	1010		personal representative shall be solely for the purposes set forth
598	1011		above and shall not be deemed to contravene any other provisions of
599	1012		this act Section 801 et seq. of this title .
600		-
601	1013		B. If the domestic professional entity is a limited partnership
602	1014		or a limited liability company, an owner ’s disqualification shall be
603	1015		deemed a withdrawal, and the domestic professional entity shall
604	1016		respond to the disqualificati on as it would any other withdrawal.
605		-
606	1017		SECTION 9. AMENDATORY 18 O.S. 2021, Section 1004. 1, is
607	1018		amended to read as follows:
608		-
609	1019		Section 1004.1.
610		-
611	1020		APPLICATION OF ACT TO NONSTOCK CORPOR ATIONS
612		-
613		-
614		-	ENR. S. B. NO. 620 Page 15
615	1021		A. Except as otherwise provided in subsections B and C of this
616	1022		section, the provisions of this chapter shall apply to nonstock
617	1023		corporations in the manne r specified in paragraphs 1 through 4 of
618	1024		this subsection:
619		-
620	1025		1. All references to shareholders of the corporation shall be
621	1026		deemed to refer to members of th e corporation;
622		-
623	1027		2. All references to the board of directors of the corporation
624	1028		shall be deemed to refer to the governing body of the corporation;
625		-
626	1029		3. All references to directors or to members of the board of
627	1030		directors of the corporation shall be deemed to refer to members of
628	1031		the governing body of the corporation; and
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629	1058
630	1059		4. All references to stock, capital sto ck, or shares thereof of
631	1060		a corporation authorized to issue capital stock shall be deemed to
632	1061		refer to memberships of a nonprofit nonstock corporation and to
633	1062		membership interests of any ot her nonstock corporation.
634		-
635	1063		B. Subsection A of this section shall not a pply to:
636		-
637	1064		1. This subsection or to paragraph 4 of subsection A and
638	1065		paragraphs 1 and 2 of subsect ion B of Section 1006, subsection A of
639	1066		Section 1013, Sections 1027, 1035, 1060 and 1073, s ubsection B of
640	1067		Section 1075, and Sections 1076, 1077, 1083, 1084, 1085 , 1086, 1087,
641	1068		1092, 1097, 1119 and 1120 of Title 18 of the Oklahoma Statu tes this
642	1069		title, which apply to nonstock corporations by their terms; and
643		-
644	1070		2. Subsection B of Section 1013, Sections 1032, 1033, 1034,
645	1071		1036, 1037, subsection D of 1038, 1039, 1042, 1043, 1044, 1045,
646	1072		1046, 1047, Sections 22 and 23 of this act, 1056, 1057, 1058, 1059,
647	1073		1061, 1064, 1067, 1075.1, 1078, 1079, 1081, 1082, 1083.1, 1090.3,
648	1074		1095, 1096, 1130 through 1138, and 1142, 1159 and subsection A of
649	1075		1161 of Title 18 of the Oklahoma Statu tes this title.
650		-
651	1076		C. In the case of a non profit, nonstock corporation, subsectio n
652	1077		A of this section shall not apply to:
653		-
654	1078		1. The sections listed in subsection B of this section; and
655		-
656		-
657		-	ENR. S. B. NO. 620 Page 16
658	1079		2. Paragraph 3 of subsection B of Section 1006, paragraph 2 of
659	1080		subsection A of Section 1030, Sections 1032 through 1055, 1062,
660	1081		subsections A and B of 1063 , and 1091 of Title 18 of the Oklahoma
661	1082		Statutes this title.
662	1083
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663	1110		D. For purposes of the Oklahoma General Corporati on Act:
664		-
665	1111		1. A “charitable nonstock corporation” is any nonprofit
666	1112		nonstock corporation that is exempt from taxation und er Section
667	1113		50l(c)(3) 501(c)(3) of the United States Internal Revenue Code [26
668	1114		U.S.C. Section 50l(c)(3)] , 26 U.S.C. Section 501(c)(3), or any
669	1115		successor provisions;
670		-
671	1116		2. A “membership interest” is, unless otherwise provided in a
672	1117		nonstock corporation’s certificate of incorporation, a member ’s
673	1118		share of the profits and losses of a nonstock corporatio n, or a
674	1119		member’s right to receive distributions of the nonstock
675	1120		corporation’s assets, or both;
676		-
677	1121		3. A “nonprofit nonstock corporation ” is a nonstock corpor ation
678	1122		that does not have membership interests;
679		-
680	1123		4. A “nonstock corporation” is any corporation organiz ed under
681	1124		this act the Oklahoma General Corporation Act that is not authorized
682	1125		to issue capital stock; and
683		-
684	1126		5. The terms “not-for-profit” and “nonprofit” are synonymous.
685		-
686	1127		SECTION 10. AMENDATORY 18 O.S. 2021, Section 1006, is
687	1128		amended to read as follows:
688		-
689	1129		Section 1006.
690		-
691	1130		CERTIFICATE OF INCORPORATION; CONTENTS
692		-
693	1131		A. The certificate of incorporation shall set forth:
694		-
695	1132		1. The name of the corporation w hich shall contain one of the
696	1133		words “association”, “company”, “corporation”, “club”, “foundation”,
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697	1161		“fund”, “incorporated”, “institute”, “society”, “union”,
698	1162		“syndicate”, or “limited” or abbreviations thereof, with or without
699	1163		punctuation, or words or abbrevi ations thereof, with or without
700		-
701		-	ENR. S. B. NO. 620 Page 17
702	1164		punctuation, of like imp ort of foreign countries or jurisdictions;
703	1165		provided that such abbreviations are written in Roman characters or
704	1166		letters, and which shall be such as to distinguish it upon the
705	1167		records in the Office of t he Secretary of State from:
706		-
707	1168		a. names of other corporatio ns, whether domestic or
708	1169		foreign, then existing or which existed at any time
709	1170		during the preceding three (3) years,
710		-
711	1171		b. names of partnerships whether general or limited, or
712	1172		domestic or foreign, then in g ood standing or
713	1173		registered or which were in good standin g or
714	1174		registered at any time during the preceding three ( 3)
715	1175		years,
716		-
717	1176		c. names of limited liability companies, whether domestic
718	1177		or foreign, then in good standing or registered o r
719	1178		which were in good standi ng or registered at any time
720	1179		during the preceding three (3) years,
721		-
722	1180		d. trade names or fictitious names filed with the
723	1181		Secretary of State, or
724		-
725	1182		e. corporate, limited liability company or limited
726	1183		partnership names reserved with the Se cretary of
727	1184		State;
728	1185
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729	1212		2. The address, including the street, n umber, city and postal
730	1213		code, of the corporation’s registered office in this state , and the
731	1214		name of the corporatio n’s registered agent at such address;
732		-
733	1215		3. The nature of the business or purposes to b e conducted or
734	1216		promoted. It shall be sufficient to state, either alone or with
735	1217		other businesses or purposes, that the purpose of the corpo ration is
736	1218		to engage in any lawfu l act or activity for which corporations may
737	1219		be organized under the general corporati on law of Oklahoma this
738	1220		state, and by such statement all l awful acts and activities shall be
739	1221		within the purposes of the corporation, except for express
740	1222		limitations, if any;
741		-
742	1223		4. If the corporation is to be authorized to issue only one
743	1224		class of stock, the total number of shares of stock which the
744		-
745		-	ENR. S. B. NO. 620 Page 18
746	1225		corporation shall have authority to issue a nd the par value of each
747	1226		of such shares, or a statement that all such shares are to be
748	1227		without par value. If the corporation is to be authorized to issue
749	1228		more than one class of stock, the certificate of incorporation shall
750	1229		set forth the total number of sh ares of all classes of stock which
751	1230		the corporation shall have authority to issue and the number of
752	1231		shares of each class, and shall specify each class the shares of
753	1232		which are to be with out par value and each class the shares of whic h
754	1233		are to have par value a nd the par value of the shares of each such
755	1234		class. The provisions of this paragraph sha ll not apply to
756	1235		corporations which are not organized for profit and which are not to
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757	1263		have authority to issue capital stock. In the case of suc h
758	1264		corporations, the fact that they are not to have authority to issue
759	1265		capital stock shall be stated in the certif icate of incorporation.
760	1266		The provisions of this paragraph shall not apply to nonstock
761	1267		corporations. In the case of nonstock corporations, the fact that
762	1268		they are not authorized to issue capital stock shall be stated in
763	1269		the certificate of incorporation. Th e conditions of membership, or
764	1270		other criteria for identifying members, of nonstock corporations
765	1271		shall likewise be stated in the certificate of incorporation or the
766	1272		bylaws. Nonstock corporations shall have members, but the f ailure
767	1273		to have members shall not affect otherwise valid corporate acts or
768	1274		work a forfeiture or dissolution of the corporation. Nonstock
769	1275		corporations may provide for classes o r groups of members havin g
770	1276		relative rights, powers and duties, and may make provi sion for the
771	1277		future creation of additional classes or groups of members having
772	1278		such relative rights, powers and duties as may fr om time to time be
773	1279		established, including right s, powers and duties seni or to existing
774	1280		classes and groups of members. Except as otherwise provided in the
775	1281		Oklahoma General Corporation Act, nonstock corporations may also
776	1282		provide that any member or class or group of members shall have
777	1283		full, limited, or no voting rights or powers , including that any
778	1284		member or class or group of members shall have the right to vote on
779	1285		a specified transaction even if that member or class or group of
780	1286		members does not have the righ t to vote for the election of members
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781	1314		of the governing body of the corpo ration. Voting by members of a
782	1315		nonstock corporation may be on a per capita, number, fin ancial
783	1316		interest, class, group, or any other basis set forth. The
784	1317		provisions referred to in the three preceding sentences may be set
785	1318		forth in the certificate of incorpo ration or the bylaws. If neither
786	1319		the certificate of inc orporation nor the bylaws of a n onstock
787	1320		corporation state the conditions of membership, or other criteria
788		-
789		-	ENR. S. B. NO. 620 Page 19
790	1321		for identifying member s, the members of the corporation shall be
791	1322		deemed to be those entitled t o vote for the election of the members
792	1323		of the governing body pursuant to the certificate of incorporation
793	1324		or bylaws of such corporation or otherwise until thereafter
794	1325		otherwise provided by the certificate of incorporation or the
795	1326		bylaws;
796		-
797	1327		5. The name and mai ling address of the incorporator or
798	1328		incorporators;
799		-
800	1329		6. If the powers of the incorporator or incorporators are to
801	1330		terminate upon the filing of the certificate of incorporation, the
802	1331		names and mailing addresses of the persons who are to serve as
803	1332		directors until the first annual meeting of shareholders or until
804	1333		their successors are elected and qu alify;
805		-
806	1334		7. If the corporation is not for profit:
807		-
808	1335		a. that the corporation does not afford pecunia ry gain,
809	1336		incidentally or otherwise, to its memb ers as such,
810	1337
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811	1364		b. the name and mailing address of each member of the
812	1365		governing body,
813		-
814	1366		c. the number of members of th e governing body to be
815	1367		elected at the first meeting, and
816		-
817	1368		d. in the event the corporation is a ch urch, the street
818	1369		address of the location of the church.
819		-
820	1370		The restriction on affording pecuniary gain to members shall not
821	1371		prevent a not-for-profit corporation op erating as a cooperative from
822	1372		rebating excess revenues to patrons who may also be members; and
823		-
824	1373		8. If the corporation is a charitable nonstock and does not
825	1374		otherwise provide in its certificate of incorporation:
826		-
827	1375		a. that the corporation is organized exclusiv ely for
828	1376		charitable, religious, educational, and scientific
829	1377		purposes including, for such purposes , the making of
830	1378		distributions to organizations that qualify as exempt
831	1379		organizations under section Section 501(c)(3) of the
832		-
833		-	ENR. S. B. NO. 620 Page 20
834	1380		Internal Revenue Code, or the corresp onding section of
835	1381		any future federal tax code,
836		-
837	1382		b. that upon the dissolution of the corporation, its
838	1383		assets shall be distributed for one or more exempt
839	1384		purposes within the meaning of section Section
840	1385		501(c)(3) of the Internal Revenue Code, or the
841	1386		corresponding section of any future federal tax code,
842	1387		for a public purpose, and
843	1388
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844	1415		c. that the corporation complies with the r equirements in
845	1416		paragraph 7 of this subsection.
846		-
847	1417		B. In addition to the matters required to be set forth i n the
848	1418		certificate of incorporation pursuant to the provisions of
849	1419		subsection A of this secti on, the certificate of incorporation may
850	1420		also contain any or all of the following matters:
851		-
852	1421		1. Any provision for the management of the business and for the
853	1422		conduct of the affairs of the corporation, and any provision
854	1423		creating, defining, limiting and regula ting the powers of the
855	1424		corporation, the directors, and the sh areholders, or any class of
856	1425		the shareholders, or the governing body, the members, or any class
857	1426		or group of the members of a nonstock corporation, if such
858	1427		provisions are not contrary to the laws o f this state. Any
859	1428		provision which is required or permitted b y any provision of the
860	1429		Oklahoma General Corpora tion Act to be stated in the bylaws may
861	1430		instead be stated in the certificate of incorporation;
862		-
863	1431		2. The following provisions, in substantially the fo llowing
864	1432		form:
865		-
866	1433		a. for a corporation, other than a nonstock cor poration:
867	1434		“Whenever a compromise or arrangement is proposed
868	1435		between this corporation and its creditors o r any
869	1436		class of them and/or between this corporation and its
870	1437		shareholders or any class of th em, any court of
871	1438		equitable jurisdiction within the State of Oklahoma
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872	1466		this state, on the application in a sum mary way of
873	1467		this corporation or of any creditor or shareholder
874	1468		thereof or on the application of any receiver or
875	1469		receivers appointed for this corpora tion under the
876		-
877		-	ENR. S. B. NO. 620 Page 21
878	1470		provisions of Section 1106 of this title or on the
879	1471		application of trustees in dissolution or of any
880	1472		receiver or receivers appointed for this corporation
881	1473		under the provisions of Section 1100 of this title,
882	1474		may order a meeting of the creditors or class of
883	1475		creditors, and/or of the shareholders or class of
884	1476		shareholders of this corporation, as the case may be,
885	1477		to be summoned in such manner as the court directs.
886	1478		If a majority in number representing three-fourths
887	1479		(3/4) in value of the creditors or class of creditors,
888	1480		and/or of the shareholders or class of shareholders of
889	1481		this corporation, as the case may be, agree to any
890	1482		compromise or arrangement and to any reorganiza tion of
891	1483		this corporation as a consequence of such compromise
892	1484		or arrangement, the co mpromise or arrangement and the
893	1485		reorganization, if sanctioned by the cou rt to which
894	1486		the application has been made, shall be binding on all
895	1487		the creditors or class of creditor s, and/or on all the
896	1488		shareholders or class of shareholders, of this
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	1515	+
897	1516		corporation, as the case may be, and also on this
898	1517		corporation”, and
899		-
900	1518		b. for a nonstock corporation:
901		-
902	1519		“Whenever a compromise o r arrangement is proposed
903	1520		between this corporation and its credit ors or any
904	1521		class of them and/or between this corporation and its
905	1522		members or any class of them, any court of equitable
906	1523		jurisdiction within the State of Oklahoma this state
907	1524		may, on the applicat ion in a summary way of this
908	1525		corporation or of any creditor or me mber thereof or on
909	1526		the application of any receiver or receivers appointed
910	1527		for this corporation under the provisions of Section
911	1528		1106 of this title or on the appl ication of trustees
912	1529		in dissolution or of any receiver or receivers
913	1530		appointed for this corporatio n under the provisions of
914	1531		Section 1100 of this title, order a meeting of the
915	1532		creditors or class of creditors, and/or of the members
916	1533		or class of members of this corporation, as the case
917	1534		may be, to be summoned in such manner as the court
918	1535		directs. If a major ity in number representing three-
919	1536		fourths (3/4) in value of the creditors or class o f
920		-
921		-	ENR. S. B. NO. 620 Page 22
922	1537		creditors, and/or of the members or class of members
923	1538		of this corporation, a s the case may be, agree to any
924	1539		compromise or arrangement and to any reorganization of
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925	1567		this corporation as a consequence of such compromise
926	1568		or arrangement, the compromise or arran gement and the
927	1569		reorganization, if sanctioned by the court to which
928	1570		the application has been made, shall be b inding on all
929	1571		the creditors or class of creditors, and/or on all the
930	1572		members or class of members, of this corporation, as
931	1573		the case may be, and also on this corporation”;
932		-
933	1574		3. Such provisions as may be desired granting to the h olders of
934	1575		the stock of the corp oration, or the holders of any class or series
935	1576		of a class thereof, the preemptive right to subscribe to any or all
936	1577		additional issues of stock of the corporation of any or all classes
937	1578		or series thereof, or to any securities of the corporation
938	1579		convertible into such stock. No shareholder shall have any
939	1580		preemptive right to subscribe to an additional issue of stock or to
940	1581		any security convertible into such stock unless, and except to the
941	1582		extent that, such right is expressly granted to him in the
942	1583		certificate of incorporation. Preemptive rights, if granted, shall
943	1584		not extend to fractional shares;
944		-
945	1585		4. Provisions requiring, for any corporate action, the vote of
946	1586		a larger portion of the stock or of any class or series thereof, or
947	1587		of any other securities having voting p ower, or a larger number of
948	1588		the directors, than is required by th e provisions of the Oklahoma
949	1589		General Corporation Act;
950	1590
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	1616	+
951	1617		5. A provision limiting the duration of the corporation ’s
952	1618		existence to a specified date; otherwise, the c orporation shall have
953	1619		perpetual existence;
954		-
955	1620		6. A provision imposing personal liability for the d ebts of the
956	1621		corporation on its shareholders to a specified extent and upon
957	1622		specified conditions; otherwise, the shareholders of a corporation
958	1623		shall not be personally liable for the payment of the corporation’s
959	1624		debts, except as they may be liable by reason of their own conduct
960	1625		or acts; or
961		-
962	1626		7. A provision eliminating or limiting the personal liability
963	1627		of a director or officer to the corporation or its shareholders for
964		-
965		-	ENR. S. B. NO. 620 Page 23
966	1628		monetary damages for breach of fiduciary duty as a director or
967	1629		officer, provided that such p rovision shall not eliminate or limit
968	1630		the liability of a director:
969		-
970	1631		a. a director or officer for any breach of the director ’s
971	1632		or officer’s duty of loyalty to the co rporation or its
972	1633		shareholders,
973		-
974	1634		b. a director or officer for acts or omissions not in
975	1635		good faith or which involve intentional misconduct or
976	1636		a knowing violation of law,
977		-
978	1637		c. a director under Section 1053 of this title, or
979		-
980	1638		d. a director or officer for any transaction from which
981	1639		the director or officer derived an improper personal
982	1640		benefit, or
983	1641
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984	1668		e. an officer in any action by or in the right of the
985	1669		corporation.
986		-
987	1670		No such provision shall eli minate or limit the li ability of a
988	1671		director or officer for any act or omissio n occurring before the
989	1672		date when such provision becomes effective. An amendment, repeal,
990	1673		or elimination of such provision shall not affect its application
991	1674		with respect to an act or omission by a director or officer
992	1675		occurring before the amendment, repeal, or elimination of the
993	1676		provision unless the provision provides otherwise at the time of the
994	1677		act or omission.
995		-
996	1678		Any reference in this subsection to a director shall be deemed
997	1679		to refer to such other persons who, under a provision of the
998	1680		certificate of incorporation in accordance with subsection A of
999	1681		Section 1027 of this title, exercise s or performs any of the powers
1000	1682		or duties otherwise conferred or imposed upon the board of directors
1001	1683		under this title.
1002		-
1003	1684		C. It shall not be necessary to set forth in the certificate of
1004	1685		incorporation any of the po wers conferred on corporations by the
1005	1686		provisions of the Oklahoma General Corporation Act.
1006		-
1007		-
1008		-	ENR. S. B. NO. 620 Page 24
1009	1687		D. Except for provisions included under paragraphs 1, 2, 5, 6
1010	1688		and 7 of subsection A of this section and paragraphs 2, 5 and 7 of
1011	1689		subsection B of this section, and pr ovisions included under
1012	1690		paragraph 4 of subsection A o f this section specifying the classes,
1013	1691		number of shares and par value of shares a corporation o ther than a
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1014	1719		nonstock corporation is authorized to issue, any provision of the
1015	1720		certificate of incorporation m ay be made dependent upon facts
1016	1721		ascertainable outside the instrument, provided that the manner in
1017	1722		which the facts shall operate upon the provision i s clearly and
1018	1723		explicitly set forth therein. As used in this subsection, the term
1019	1724		“facts” includes, but is not limited to, the occurrence of any
1020	1725		event, including a determination or action by any person or body,
1021	1726		including the corporation.
1022		-
1023	1727		SECTION 11. AMENDATORY 18 O.S. 2021, Section 1012, is
1024	1728		amended to read as follows:
1025		-
1026	1729		Section 1012.
1027		-
1028	1730		ORGANIZATION MEETING OF INCORPORATORS OR DIRECTORS NAMED IN
1029	1731		CERTIFICATE OF INCORPORATION
1030		-
1031	1732		A. After the filing of the certificate of incorporation, an
1032	1733		organization meeting of the incorporat or or incorporators, or of the
1033	1734		board of directors if the initial director s were named in the
1034	1735		certificate of incorporation, shall be held either within or without
1035	1736		this state at the call of a majority of the incorporators or
1036	1737		directors, as the case may be, fo r the purposes of adopting bylaws,
1037	1738		electing directors if the meeting is o f the incorporators, to serve
1038	1739		or hold office until the first ann ual meeting of shareholders or
1039	1740		until their successors are elected and qualify, electi ng officers if
1040	1741		the meeting is of the directors, doing any other or further acts to
	1742	+
	1743	+	SB620 HFLR Page 34
	1744	+	BOLD FACE denotes Committee Amendments. 1
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1041	1769		perfect the organization of the corporation, and transacting such
1042	1770		other business as may come before the meeting.
1043		-
1044	1771		B. The persons calling the meeting shall give to each other
1045	1772		incorporator or director, as the case may be, at least two (2) days ’
1046	1773		notice thereof in writing or by elect ronic transmission by any usual
1047	1774		means of communication, which no tice shall state the time, place and
1048	1775		purposes of the meeting as fixed by the persons calling it. Notice
1049	1776		of the meeting need not be given to anyone who attends the meeting
1050	1777		or who signs a waive r of notice either before or after the meeting.
1051		-
1052		-	ENR. S. B. NO. 620 Page 25
1053		-
1054	1778		C. Any Unless otherwise restricted by the certificate of
1055	1779		incorporation, any action permitted to be taken at the organization
1056	1780		meeting of the incorporators or directors, a s the case may be, may
1057	1781		be taken without a meeting if each incorporator or director, where
1058	1782		there is more than one, or the sole incorporator or director where
1059	1783		there is only one, consents thereto in writing or by electronic
1060	1784		transmission. A consent may be documented, signed, and delivered in
1061	1785		any manner permitted by Section 1014.3 of this title. Any person
1062	1786		whether or not then an incorporator or director may provide, whether
1063	1787		through instruction to an agent or otherwise, that a consent to
1064	1788		action will be effective at a future time including a time
1065	1789		determined upon the happening of an event, no later than sixty (60 )
1066	1790		days after such instruction is given or such provision is made and
1067	1791		such consent shall be deemed to have been given fo r purposes of this
1068	1792		subsection at such effective time so long as such pers on is then an
	1793	+
	1794	+	SB620 HFLR Page 35
	1795	+	BOLD FACE denotes Committee Amendments. 1
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1069	1820		incorporator or director, as the case may be, and did not revoke the
1070	1821		consent prior to such time. Any such consent shall be revocable
1071	1822		prior to its becoming effective .
1072		-
1073	1823		D. If any incorporator is not available to act, then any person
1074	1824		for whom or on whose behalf the incorporator was acting directly or
1075	1825		indirectly as employee or agent may take any action that such
1076	1826		incorporator would have been authorized to take under this sect ion
1077	1827		or Section 1011 of this title; provided, that any instrument signed
1078	1828		by such other person, or any record of the proceedings of a meeti ng
1079	1829		in which such person participated, shall state that such
1080	1830		incorporator is not available and the reason therefor, that such
1081	1831		incorporator was acting directly or indirectly as employee or agent
1082	1832		for or on behalf of such person, and that such person ’s signature on
1083	1833		such instrument or participation in such meeting is otherwise
1084	1834		authorized and not wrongful.
1085		-
1086	1835		SECTION 12. AMENDATORY 18 O.S. 2021, Section 1014, is
1087	1836		amended to read as follows:
1088		-
1089	1837		Section 1014.
1090		-
1091	1838		EMERGENCY BYLAWS AND OTHER POWERS IN EMERGENCY
1092		-
1093	1839		A. The board of directors of any corporation may adopt
1094	1840		emergency bylaws, subject to repeal or amendment by action of the
1095		-
1096		-	ENR. S. B. NO. 620 Page 26
1097	1841		shareholders, which, notwithstanding any different provision in the
1098	1842		Oklahoma General Corporation Act, in the certificate of
1099	1843		incorporation, or bylaws, shall be operative during any emergency
	1844	+
	1845	+	SB620 HFLR Page 36
	1846	+	BOLD FACE denotes Committee Amendments. 1
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1100	1871		resulting from an attack on the United States or on a locality in
1101	1872		which the corporation conduct s its business or customarily ho lds
1102	1873		meetings of its board of directors or its shareholders, or during
1103	1874		any nuclear or atomic disaster, or during the existence of any
1104	1875		catastrophe, including but not limited to an e pidemic or pandemic
1105	1876		and a declaration of a na tional emergency by the United States
1106	1877		government, or other similar emergency condition, as a result of
1107	1878		which irrespective of whether a quorum of the board of directors or
1108	1879		a standing committee thereof cannot can readily be convened for
1109	1880		action. The emergency bylaws contemplated by this se ction may be
1110	1881		adopted by the board of director s or, if a quorum cannot be readily
1111	1882		convened for a meeting, by a majority of the directors present. The
1112	1883		emergency bylaws may make any provision that may be pr actical and
1113	1884		necessary for the circumstances of the e mergency, including
1114	1885		provisions that:
1115		-
1116	1886		1. A meeting of the board of directors or a committee thereof
1117	1887		may be called by an officer or director in such manner and under
1118	1888		such conditions as shall be prescribed in the emergency byl aws;
1119		-
1120	1889		2. The director or directo rs in attendance at the meeting, or
1121	1890		any greater number fixed by the emergency bylaws, shall constitute a
1122	1891		quorum; and
1123		-
1124	1892		3. The officers or other persons designated on a list approved
1125	1893		by the board of directo rs before the emerge ncy, all in such order of
1126	1894		priority and subject to such conditions and for suc h period of time,
	1895	+
	1896	+	SB620 HFLR Page 37
	1897	+	BOLD FACE denotes Committee Amendments. 1
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1127	1922		not longer than reasonably necessary after the termination of the
1128	1923		emergency, as may be provided in the emergency bylaws or in the
1129	1924		resolution approving the list, shall, to the extent required to
1130	1925		provide a quorum at any meeting of the board of directors, be deemed
1131	1926		directors for such meeting.
1132		-
1133	1927		B. The board of directors, either before or during any such
1134	1928		emergency, may provide, and from time to time modify, lines of
1135	1929		succession in the event that durin g such emergency any or all
1136	1930		officers or agents of the corporation shall for any reason be
1137	1931		rendered incapable of discharging their duties.
1138		-
1139		-
1140		-	ENR. S. B. NO. 620 Page 27
1141	1932		C. The board of directors, either before or during any such
1142	1933		emergency, may, effective in the emergency, change the he ad office
1143	1934		or designate several alternative he ad offices or regional offices,
1144	1935		or authorize the officers to do so.
1145		-
1146	1936		D. No officer, director or employee acting in accordance with
1147	1937		any emergency bylaws shall b e liable except for willful misconduct.
1148		-
1149	1938		E. To the extent not inconsistent with any emergency byl aws so
1150	1939		adopted, the bylaws of the corporation shall remain in effect during
1151	1940		any emergency and upon its termination the emergency bylaws shall
1152	1941		cease to be operative.
1153		-
1154	1942		F. Unless otherwise provided in emergency byl aws, notice of any
1155	1943		meeting of the board of di rectors during such an emergency may be
1156	1944		given only to such of the directors as it may be feasible to reach
	1945	+
	1946	+	SB620 HFLR Page 38
	1947	+	BOLD FACE denotes Committee Amendments. 1
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1157	1972		at the time and by such means as may be feasible at the time,
1158	1973		including publication or radio.
1159		-
1160	1974		G. To the extent required to constitute a quorum at an y meeting
1161	1975		of the board of directors during such an emergency, the officers of
1162	1976		the corporation who are present shall, unless otherwise provided in
1163	1977		emergency bylaws, be deemed, in o rder of rank and within the same
1164	1978		rank in order of seniority, directors for su ch meeting.
1165		-
1166	1979		H. Nothing contained in this section shall be deemed exclusive
1167	1980		of any other provisions for emergency powers consistent with other
1168	1981		sections of this act Section 1001 et seq. of this title which have
1169	1982		been or may be adopted by corporations created pursuant to the
1170	1983		provisions of this act Section 1001 et seq. of this title.
1171		-
1172	1984		I. During any emergency c ondition of a type described in
1173	1985		subsection A of this section, the board of directors or, if a quorum
1174	1986		cannot be readily convened for a meeting, a majority of the
1175	1987		directors present, may:
1176		-
1177	1988		1. Take any action that it determines to be practical and
1178	1989		necessary to address the circumstances of the emergency condition
1179	1990		with respect to a meeting of shareholders of the corporatio n,
1180	1991		notwithstanding anything to the contrary in this title or in the
1181	1992		certificate of incorporation or bylaws including, but not limited to:
1182		-
1183		-
1184		-	ENR. S. B. NO. 620 Page 28
1185	1993		a. to postpone any such meeting to a later time or date
1186	1994		with the record date for determining the shareholders
1187	1995		entitled to notice of, and to vote at, such meeting
	1996	+
	1997	+	SB620 HFLR Page 39
	1998	+	BOLD FACE denotes Committee Amendments. 1
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1188	2023		applying to the postponed meeting irrespective of the
1189	2024		requirements of Section 1058 of this title, and
1190		-
1191	2025		b. with respect to a corporation subject to the reporting
1192	2026		requirements of Section 13 or Section 15(d) of the
1193	2027		Securities Exchange Act of 1934, as amended, and the
1194	2028		rules and regulations promulgated thereunder, to notify
1195	2029		shareholders of any postponement or a chan ge of the
1196	2030		place of the meeting or a change to hold the meeting
1197	2031		solely by means of remote communication solely by a
1198	2032		document publicly filed by the corporation with the
1199	2033		Securities and Exchange Commi ssion under Sections 13,
1200	2034		14, or 15(d) of such act and such rules and
1201	2035		regulations; and
1202		-
1203	2036		2. With respect to any dividend that has been declared as to
1204	2037		which the record date has not occurred, change both the record date
1205	2038		and payment date to a later date or dates if the changed payment date
1206	2039		is not more than sixty (60) days after the changed record date;
1207	2040		provided that, in either case, the corporation shall give notice of
1208	2041		the change to shareholders as soon as practicable thereaft er and in
1209	2042		any event before the record date in effect. Such notice, in the case
1210	2043		of a corporation subject to the reporting requirements of Section 13
1211	2044		or Section 15(d) of t he Securities Exchange Act of 1934, as amended,
1212	2045		and the rules and regulations promulgated thereunder, may be given
1213	2046		solely by a document publicly filed with the Securities and Exchange
	2047	+
	2048	+	SB620 HFLR Page 40
	2049	+	BOLD FACE denotes Committee Amendments. 1
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1214	2074		Commission under Section 13, Section 14, or Section 15(d) of the
1215	2075		Securities Exchange Act of 1934, as amended, and the rules and
1216	2076		regulations. No person shall be liable, and no meeting of
1217	2077		shareholders shall be postponed or voided, for the failure to make a
1218	2078		shareholders list available under Section 1064 of this title if it
1219	2079		was not practicable to allow inspection during an emergency
1220	2080		condition.
1221		-
1222	2081		SECTION 13. AMENDATORY 18 O.S. 2021, Section 1014.3, is
1223	2082		amended to read as follows:
1224		-
1225	2083		Section 1014.3.
1226		-
1227		-
1228		-	ENR. S. B. NO. 620 Page 29
1229	2084		DOCUMENT FORM, SIGNATURE AND DELIVERY
1230		-
1231	2085		A. Except as provided in subsection B of this section , without
1232	2086		limiting the manner in which any act or tr ansaction may be
1233	2087		documented, or the manner in which a document may be signed or
1234	2088		delivered:
1235		-
1236	2089		1. Any act or transaction contemplated or governed by this
1237	2090		title or the certificate of incorporation or bylaws m ay be provided
1238	2091		for in a document, and an electronic transmission shall be deemed
1239	2092		the equivalent of a written document. “Document” means (i) any
1240	2093		tangible medium on which information is inscribed, and includes
1241	2094		handwritten, typed, printed or similar instrume nts, and copies of
1242	2095		such instruments and (ii) an elec tronic transmission;
1243		-
1244	2096		2. Whenever this act Section 1001 et seq. of this title or the
1245	2097		certificate of incorporation or bylaws requ ires or permits a
	2098	+
	2099	+	SB620 HFLR Page 41
	2100	+	BOLD FACE denotes Committee Amendments. 1
	2101	+	2
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1246	2125		signature, the signature may be a manual, facsimile, confo rmed or
1247	2126		electronic signature. “Electronic signature ” means an electronic
1248	2127		symbol or process that is attached to, or logically associated with,
1249	2128		a document and executed or adopted by a person with an intent to
1250	2129		authenticate or adopt the document . A person may execute a document
1251	2130		with that person’s signature; and
1252		-
1253	2131		3. Unless otherwise agreed between the sender and recipient and
1254	2132		in the case of a proxy or consent given by or on behalf of a
1255	2133		shareholder subject to the requirements set forth in paragraphs 2
1256	2134		and 3 of subsection C of Section 1057 and subsection C of Section
1257	2135		1073 of this title, respectively , an electronic transmission shall
1258	2136		be deemed delivered to a person for purposes of this title and the
1259	2137		certificate of incorporati on and bylaws when it en ters an
1260	2138		information processing system that the person has designated for the
1261	2139		purpose of receiving electron ic transmissions of the type delivered,
1262	2140		so long as the electronic transmission is in a form capable of being
1263	2141		processed by that system and such person is able to retrieve the
1264	2142		electronic transmission. Whether a person has so designated an
1265	2143		information processing system is determined by the certificate of
1266	2144		incorporation, the bylaws or from the contex t and surrounding
1267	2145		circumstances including the parties’ conduct. An electronic
1268	2146		transmission is delivered under this section even if no person is
1269	2147		aware of its receipt. Receipt of an electronic acknowledgement from
1270	2148		an information processing system establish es that an electronic
1271	2149
1272		-	ENR. S. B. NO. 620 Page 30
	2150	+	SB620 HFLR Page 42
	2151	+	BOLD FACE denotes Committee Amendments. 1
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1273	2176		transmission was received but, by it self, does not establish that
1274	2177		the content sent corresponds to the content received.
1275		-
1276	2178		This act Section 1001 et seq. of this title shall not prohibit
1277	2179		one or more persons from conducting a transaction in accordance with
1278	2180		the Uniform Electronic Transaction Transactions Act so long as the
1279	2181		part or parts of the transaction that are governed by this act
1280	2182		Section 1001 et seq. of this title are documented, signed and
1281	2183		delivered in accordance with this subsection or otherwise in
1282	2184		accordance with this act Section 1001 et seq. of this title. This
1283	2185		subsection shall apply solely for pu rposes of determining whether an
1284	2186		act or transaction has been documented, and the document has been
1285	2187		signed and delivered, in accordance with this act Section 1001 et
1286	2188		seq. of this title, the certificate of in corporation and the bylaws.
1287		-
1288	2189		B. Subsection A of this se ction shall not apply to:
1289		-
1290	2190		1. A document filed with or submitted to the Secretary of State
1291	2191		or a court or other judicial or governmental body of this state;
1292		-
1293	2192		2. A document comprising part of the stock l edger;
1294		-
1295	2193		3. A certificate representing a security;
1296		-
1297	2194		4. Any document expressly referenced as a notice or waiver of
1298	2195		notice by this act Section 1001 et seq. of this title , the
1299	2196		certificate of incorporation or bylaws;
1300		-
1301	2197		5. A consent in lieu of a meeting given by a d irector,
1302	2198		shareholder or incorporator;
1303	2199
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1304	2226		6. A ballot to vote on actions at a meeting of shareholders;
1305	2227		and
1306		-
1307	2228		7. 6. An act or transaction effected pursuant to Section 1100.1
1308	2229		of Title 18 of the Oklahoma Statutes this title.
1309		-
1310	2230		The provisions of this subsection shall not create any
1311	2231		presumption about the lawful means to document a matter addressed by
1312	2232		this subsection, or the lawful means to sign or deliver a document
1313	2233		addressed by this subsection. A No provision of the certificate of
1314	2234		incorporation or bylaws shall not limit the application of
1315		-
1316		-	ENR. S. B. NO. 620 Page 31
1317	2235		subsection A of this sect ion unless the except for a provision that
1318	2236		expressly restricts one or more of the means of docum enting an act
1319	2237		or transaction, or of signi ng or delivering a document, permitted by
1320	2238		subsection A of this section or prohibits the use of an electronic
1321	2239		transmission or electronic signature or any form thereof, or
1322	2240		expressly restricts or prohibits the delivery of an electronic
1323	2241		transmission to an information processing system .
1324		-
1325	2242		C. In the event that any provision of this act Section 1001 et
1326	2243		seq. of this title is deemed to modify, limit or supersede the
1327	2244		Electronic Signatures in Global and National Commerce Act, 15 U.S.C.
1328	2245		Sections 7001 et seq., the provisions of this act Section 1001 et
1329	2246		seq. of this title shall control to the fu llest extent permitted by
1330	2247		Section 7002(a)(2) of s uch act.
1331		-
1332	2248		SECTION 14. AMENDATORY 18 O.S. 2021, Section 1022, is
1333	2249		amended to read as follows:
1334	2250
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1335	2277		Section 1022.
1336		-
1337	2278		REGISTERED AGENT IN STATE; R ESIDENT AGENT
1338		-
1339	2279		A. Every domestic corporation shal l have and maintain in this
1340	2280		state a registered ag ent, which agent may be any of the following:
1341		-
1342	2281		1. The domestic corporation itself;
1343		-
1344	2282		2. An individual resident of this state;
1345		-
1346	2283		3. A domestic corporation, a domestic partnership whethe r
1347	2284		general or limited and including a limited liability partnership or
1348	2285		a limited liability limited partnership or a domestic limited
1349	2286		liability company; or
1350		-
1351	2287		4. A foreign corporation, a foreign partnership whether general
1352	2288		or limited and including a limited liability partnership, a foreign
1353	2289		limited partnership, or a foreign limited liability limited
1354	2290		partnership or a fore ign limited liability company, if authorized to
1355	2291		transact business in this st ate.
1356		-
1357	2292		B. Every foreign corporation transacti ng business in this state
1358	2293		shall have and maintain the Secretary of State as its registered
1359		-
1360		-	ENR. S. B. NO. 620 Page 32
1361	2294		agent in this state. In addition, such forei gn corporation may have
1362	2295		and maintain in this state an additional registered agent, which may
1363	2296		be an individual or entity set forth in subsection A of this
1364	2297		section; provided, that the foreign corporation may not be its o wn
1365	2298		registered agent. If such addition al registered agent is
1366	2299		designated, service of process shall be on such agent and not on the
1367	2300		Secretary of State.
1368	2301
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1369	2328		C. Each registered agent for a domestic corporation or f oreign
1370	2329		corporation shall:
1371		-
1372	2330		1. If an entity, maintain a business office identical with t he
1373	2331		registered office which is open during regular business hours, or if
1374	2332		an individual, be generally present at the regis tered office to
1375	2333		accept service of process and oth erwise perform the functions of a
1376	2334		registered agent;
1377		-
1378	2335		2. If a foreign entity, be authori zed to transact business in
1379	2336		this state; and
1380		-
1381	2337		3. Accept service of process an d other communications directed
1382	2338		to the corporations for which it serves as registered agent a nd
1383	2339		forward same to the corporation to which the s ervice or
1384	2340		communication is directed.
1385		-
1386	2341		D. Every corporation formed under the laws of this state or
1387	2342		qualified to do business in this state shall provide to its
1388	2343		registered agent, and update from time to time as necessary, the
1389	2344		name, business address and busine ss telephone number of a natural
1390	2345		person who is an officer, director, employee or designated agent of
1391	2346		the corporation, who is then authorized to receive commun ications
1392	2347		from the registered agent. Such person shall be deemed the
1393	2348		communications contact for th e corporation. Every registered agent
1394	2349		shall retain, in paper or electronic form, the information required
1395	2350		by this subsection concerning the current communica tions contact for
1396	2351		each corporation for which he, she or it serves as a registered
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	2378	+
1397	2379		agent. If the corporation fails to provide the regist ered agent
1398	2380		with a current communications contact, the registered agent may
1399	2381		resign as the registered agent for such corpo ration pursuant to
1400	2382		Section 1026 of this title.
1401		-
1402		-
1403		-	ENR. S. B. NO. 620 Page 33
1404	2383		E. Whenever the term “resident agent” or “resident agent in
1405	2384		charge of a corporation ’s principal office or place of business in
1406	2385		this state”, or other term of like im port which refers to a
1407	2386		corporation’s agent required by statute to be located in this state,
1408	2387		is or has been used in a corporation’s certificate of incorporation,
1409	2388		or in any other document, or in any statute, it shall be deemed to
1410	2389		mean and refer to, unless th e context indicates otherwise, the
1411	2390		corporation’s registered agent required by this section. It shall
1412	2391		not be necessary for any corporation to amend its certificate of
1413	2392		incorporation or any other document to comply with the provisions of
1414	2393		this section.
1415		-
1416	2394		SECTION 15. AMENDATORY 18 O.S. 2021, Section 1025, is
1417	2395		amended to read as f ollows:
1418		-
1419	2396		Section 1025.
1420		-
1421	2397		RESIGNATION OF REGISTERED A GENT COUPLED
1422		-
1423	2398		WITH APPOINTMENT OF SUCCE SSOR
1424		-
1425	2399		The registered agent of one or more corporations may resign and
1426	2400		appoint a successor regis tered agent by filing in the name of each
1427	2401		affected corporation a certificate with the Secretary of State
1428	2402		stating the name and address of the successor agent, in a ccordance
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	2429	+
1429	2430		with the provisions of paragraph 2 of subsection A of Section 1006
1430	2431		of this title. There shall be attached to the certificate a
1431	2432		statement of the aff ected corporation ratifying and approving such
1432	2433		change of registered agent. The statement shall be executed and
1433	2434		acknowledged in accordance with the provisions of Section 1007 of
1434	2435		this title. Upon the filing, the successor registered agent becomes
1435	2436		the registered agent of each corporation that has ratified and
1436	2437		approved each substitution and the successor registered agent’s
1437	2438		address, as stated in each certificate, becomes the address of each
1438	2439		such corporation’s registered office in this state. The Secretary
1439	2440		of State shall then issue his or her certificate that the succe ssor
1440	2441		registered agent has become the r egistered agent of the corporations
1441	2442		so ratifying and approving the change, and setting out the names of
1442	2443		such corporations.
1443		-
1444	2444		SECTION 16. AMENDATORY 18 O.S. 2021, Section 1027, is
1445	2445		amended to read as follows:
1446		-
1447		-	ENR. S. B. NO. 620 Page 34
1448		-
1449	2446		Section 1027.
1450		-
1451	2447		BOARD OF DIRECTORS; POWERS; NUMBER; QUALIFICATIONS; TERMS
1452		-
1453	2448		AND QUORUM; COMMITTEES; CLASSES OF DIRECTORS; NONSTOCK CORPORATIONS;
1454	2449		RELIANCE UPON BOOKS; ACTION WITHOUT MEETING; ETC.
1455		-
1456	2450		A. The business and affairs of every corporation org anized in
1457	2451		accordance with the provisio ns of the Oklahoma General Corporation
1458	2452		Act shall be managed by or under the direction of a board of
1459	2453		directors, except as may be otherwise provided for in the Oklahoma
	2454	+
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	2480	+
1460	2481		General Corporation Act or in the corporation ’s certificate of
1461	2482		incorporation. If any pro vision is made in the certificate of
1462	2483		incorporation, the powers and duties conferred or imposed upon the
1463	2484		board of directors by the provisions of the Oklahoma General
1464	2485		Corporation Act shall be exercised or performed to th e extent and by
1465	2486		the person or persons stated in the certificate of incorporation.
1466		-
1467	2487		B. The board of directors of a corporation shall consist o f one
1468	2488		or more members, each of whom shall be a natural person. Th e number
1469	2489		of directors shall be fixed by or in the manner provided for in the
1470	2490		bylaws, unless the certificate of incorporation fixes the number of
1471	2491		directors, in which case a change in the numb er of directors shall
1472	2492		be made only by amendment of the certificate . Directors need not be
1473	2493		shareholders unless so r equired by the certificate of incorpor ation
1474	2494		or the bylaws. The certificate of incorporation or bylaws may
1475	2495		prescribe other qualifications for directors. Each director shall
1476	2496		hold office until a successor is elected and qualified or until his
1477	2497		or her earlier resignation or removal. Any director may resign at
1478	2498		any time upon notice given in writing or by electronic transmission
1479	2499		to the corporation. A resignation is effective when the resignation
1480	2500		is delivered unless the resignation specifies a later effective da te
1481	2501		or an effective date determined upo n the happening of an event or
1482	2502		events. A resignation that is conditioned upon the director failing
1483	2503		to receive a specified vote for reelection as a director may provide
1484	2504		that it is irrevocable. A majority of the total number of directors
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	2531	+
1485	2532		shall constitute a quorum for the transaction of business unless the
1486	2533		certificate of incorporation or the bylaws require a greater number.
1487	2534		Unless the certificate of incorporation provides otherwise, the
1488	2535		bylaws may provide that a number less than a majority shall
1489	2536		constitute a quorum which in no case shall be less than one-third
1490		-
1491		-	ENR. S. B. NO. 620 Page 35
1492	2537		(1/3) of the total number of directors. The vot e of the majority of
1493	2538		the directors present at a meeting at which a quorum is present
1494	2539		shall be the act of the board of directors unless the certificate of
1495	2540		incorporation or the bylaws shall require a vote of a greater
1496	2541		number.
1497		-
1498	2542		C. 1. The board of directors m ay designate one or more
1499	2543		committees consisting of one or more of t he directors of the
1500	2544		corporation. The board may d esignate one or more directors as
1501	2545		alternate members of any committee, who may replace any absent or
1502	2546		disqualified member at any meeting of the committee. The bylaws may
1503	2547		provide that in the absence or disqual ification of a member of a
1504	2548		committee, the member or members present at a meeting and no t
1505	2549		disqualified from voting, whether or not the member or members
1506	2550		constitute a quorum, may unanimously a ppoint another member of the
1507	2551		board of directors to act at the meet ing in the place of any absent
1508	2552		or disqualified member. Any committee, to the extent pr ovided in
1509	2553		the resolution of the board of directors, or in the bylaws of the
1510	2554		corporation, shall have and may exercise all the powers and
1511	2555		authority of the board of directo rs in the management of the
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	2582	+
1512	2583		business and affairs of the corporation, and may authorize the seal
1513	2584		of the corporation to be affixed to all papers which may require it;
1514	2585		but no committee shall ha ve the power or authority to:
1515		-
1516	2586		a. approve, adopt, or recommend to t he shareholders any
1517	2587		action or matter, other than the election or removal
1518	2588		of directors, expressly required by the Oklahoma
1519	2589		General Corporation Act to be submitted to
1520	2590		shareholders for approval , or
1521		-
1522	2591		b. adopt, amend, or repeal any bylaw of the corporation.
1523		-
1524	2592		2. Unless otherwise provided in the certificate of
1525	2593		incorporation, the bylaws or the resolu tion of the board of
1526	2594		directors designating the committee, a committee may create one or
1527	2595		more subcommittees, each subcommittee to consist of one or more
1528	2596		members of the committee, and delegate to a subcommittee any or al l
1529	2597		of the powers and authority of the c ommittee. Except for references
1530	2598		to committees and members of committees in this subsection C of this
1531	2599		section, every reference in this title to a committee of the board
1532	2600		of directors or a member of a committee shall be deemed to include a
1533	2601		reference to a subcommittee or member of a subcommittee.
1534		-
1535		-	ENR. S. B. NO. 620 Page 36
1536		-
1537	2602		3. A majority of the directors then serving on a committee of
1538	2603		the board of directors or on a subcommittee of a committee shall
1539	2604		constitute a quorum for the transaction of business by the committee
1540	2605		or subcommittee, unle ss the certificate of incorporation, the
1541	2606		bylaws, a resolution of the board of directors or a resolution of a
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	2633	+
1542	2634		committee that created the subcommittee requires a greater or lesser
1543	2635		number; provided that in no case shall a quorum be less than one-
1544	2636		third (1/3) of the directors then serving on the committee or
1545	2637		subcommittee. The vote of the majority of the members of a
1546	2638		committee or subcommittee present at a meeting at which a q uorum is
1547	2639		present shall be the act of the committe e or subcommittee, unless
1548	2640		the certificate of incorporation, the bylaws, a resolution of the
1549	2641		board of directors or a resolution of a committee that created the
1550	2642		subcommittee requires a greater number.
1551		-
1552	2643		D. The directors of any corporation organized under the
1553	2644		Oklahoma General Corporation Act, by th e certificate of
1554	2645		incorporation or by an initial bylaw, or by a bylaw adopted by a
1555	2646		vote of the shareholders, may be divided into one, two, or three
1556	2647		classes; the term of office of those of the first class to expire at
1557	2648		the first annual meeting held after the classification becomes
1558	2649		effective; of the second class one (1) year thereafter; of the third
1559	2650		class two (2) years thereafter; and at each annual election held
1560	2651		after the classification becomes effective, directors shall be
1561	2652		chosen for a full term, as the case may be, to succeed those whose
1562	2653		terms expire. The certificate of incorporation or bylaw provision
1563	2654		dividing the directors into classes may authorize the board of
1564	2655		directors to assign members of the board then in office to such
1565	2656		classes when the classification becomes effective. The certificate
1566	2657		of incorporation may confer upon holders of any class or series of
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	2684	+
1567	2685		stock the right to elect one or more directors who shall serve f or
1568	2686		the term, and have voting powers as shall be s tated in the
1569	2687		certificate of incorporati on. The terms of office and voting powers
1570	2688		of the directors elected in the manner so provided in the
1571	2689		certificate of incorporation may be greater than or less than those
1572	2690		of any other director or class of directors. In addition, the
1573	2691		certificate of incorpora tion may confer upon one or more directors,
1574	2692		whether or not elected separately by the holders of any class o r
1575	2693		series of stock, voting powers greater than or less than th ose of
1576	2694		other directors. Any such provision confe rring greater or lesser
1577	2695		voting power shall apply to voting in any committee, unless
1578		-
1579		-	ENR. S. B. NO. 620 Page 37
1580	2696		otherwise provided in the certificate of incorporation or byla ws.
1581	2697		If the certificate of incorporation provides that direct ors elected
1582	2698		by the holders of a class or series o f stock shall have more or less
1583	2699		than one vote per director on any matter, every reference in the
1584	2700		Oklahoma General Corporation Act to a majority or other proportion
1585	2701		of directors shall refer to a majority or o ther proportion of the
1586	2702		votes of the directors.
1587		-
1588	2703		E. A member of the board of directors, o r a member of any
1589	2704		committee designated by the board of directors, in the performance
1590	2705		of the member’s duties, shall be fully protected in relying in good
1591	2706		faith upon the records of the corporation and upon information,
1592	2707		opinions, reports, or statements presen ted to the corporation by any
1593	2708		of the corporation’s officers or employees, or committees of the
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1594	2736		board of directors, or by any other person as to matters the member
1595	2737		reasonably believes are within the officer ’s, employee’s,
1596	2738		committee’s or other person’s competence and who have been selected
1597	2739		with reasonable care by or on behalf of the corporation.
1598		-
1599	2740		F. Unless otherwise restricted by the certificate of
1600	2741		incorporation or bylaws:
1601		-
1602	2742		1. Any action required or permitted to be taken at any meeting
1603	2743		of the board of directo rs, or of any committee thereof may be taken
1604	2744		without a meeting if all members of the board or committee, as the
1605	2745		case may be, consent thereto in writing or by electronic
1606	2746		transmission, and the writing or writings or ele ctronic transmission
1607	2747		or transmissions are filed with the minutes of proceedings of the
1608	2748		board or committee; and the filing shall be in paper form i f the
1609	2749		minutes are maintained in paper form and shall be in el ectronic form
1610	2750		if the minutes are maintained in el ectronic form; and any a consent
1611	2751		may be documented, signed, and delivered in any manner permitted by
1612	2752		Section 1014.3 of this title. Any person whether or not t hen a
1613	2753		director may provide, whether through instruction to an agent or
1614	2754		otherwise, that a consent to action will be effective at a future
1615	2755		time (including a time determined upon the happening of an event),
1616	2756		no later than sixty (60) days after such instruction is given or
1617	2757		such provision is made and suc h consent shall be deemed to have been
1618	2758		given for purposes of this subsection at such effectiv e time so long
1619	2759		as such person is then a director and did not revoke the consent
	2760	+
	2761	+	SB620 HFLR Page 54
	2762	+	BOLD FACE denotes Committee Amendments. 1
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	2764	+	3
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	2784	+	23
	2785	+	24
	2786	+
1620	2787		prior to such time; and any such consent shall be revocable prior to
1621	2788		its becoming effective. After an action is taken, the consent or
1622		-
1623		-	ENR. S. B. NO. 620 Page 38
1624	2789		consents relating thereto shall be filed with the minutes of the
1625	2790		proceedings of the board of directors, or the committee thereo f, in
1626	2791		the same paper or electronic form as the minutes are maintained ;
1627		-
1628	2792		2. The board of directors of any corporation o rganized in
1629	2793		accordance with the provisions of the Ok lahoma General Corporation
1630	2794		Act may hold its meetings, and have an office or offices, outside of
1631	2795		this state;
1632		-
1633	2796		3. The board of directors shall have t he authority to fix t he
1634	2797		compensation of directors; and
1635		-
1636	2798		4. Members of the board of directors of any corporati on, or any
1637	2799		committee designated by the board, may participate in a meeting of
1638	2800		the board or committee by means of confere nce telephone or other
1639	2801		communications equipment by means of which all persons partic ipating
1640	2802		in the meeting can hear or otherwise communi cate with each other.
1641	2803		Participation in a meeting pursuant to the provisions of this
1642	2804		subsection shall constitute presenc e in person at the meeting.
1643		-
1644	2805		G. 1. The certific ate of incorporation or bylaws of an y
1645	2806		nonstock corporation may provide that less than on e-third (1/3) of
1646	2807		the members of the governing body may constitute a quorum thereof
1647	2808		and may otherwise provide that the bu siness and affairs of the
1648	2809		corporation shall be m anaged in a manner different from th at
1649	2810		provided for in this section, which differences m ay include
	2811	+
	2812	+	SB620 HFLR Page 55
	2813	+	BOLD FACE denotes Committee Amendments. 1
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	2835	+	23
	2836	+	24
	2837	+
1650	2838		additional classes of directors, longer terms of service, the use of
1651	2839		less than unanimous consents for board a ction, and permitting the
1652	2840		Chair of the Board of Directors to designate committees an d appoint
1653	2841		members.
1654		-
1655	2842		2. Except as may be otherwise pr ovided by the certificate of
1656	2843		incorporation, the provisions of this section shall apply to such a
1657	2844		corporation, and when s o applied, all references t o the board of
1658	2845		directors, to members thereof, and to shar eholders shall be deemed
1659	2846		to refer to the governing b ody of the corporation, the members
1660	2847		thereof and the members of the corporation, respectively; and all
1661	2848		references to stock, capital stock, or shares shall be deemed to
1662	2849		refer to memberships of a nonprofit n onstock corporation and to
1663	2850		membership interests of a ny other nonstock corporation.
1664		-
1665		-
1666		-	ENR. S. B. NO. 620 Page 39
1667	2851		H. 1. Any director or the entire board of directors may be
1668	2852		removed, with or without cau se, by the holders of a maj ority of the
1669	2853		shares then entitled to vote at an election of directors, except as
1670	2854		follows:
1671		-
1672	2855		a. unless the certificate of incorporation otherwise
1673	2856		provides, in the case of a corporation whose board is
1674	2857		classified as provided for in su bsection D of this
1675	2858		section, shareholders may eff ect such removal only for
1676	2859		cause, or
1677		-
1678	2860		b. in the case of a corporation having cumulative vo ting,
1679	2861		if less than the entire board is to be removed, no
	2862	+
	2863	+	SB620 HFLR Page 56
	2864	+	BOLD FACE denotes Committee Amendments. 1
	2865	+	2
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	2885	+	22
	2886	+	23
	2887	+	24
	2888	+
1680	2889		director may be removed without cause if the votes
1681	2890		cast against the director’s removal would be
1682	2891		sufficient to elect the director if then cumulative ly
1683	2892		voted at an election of the entire board of direc tors,
1684	2893		or, if there are classes of directors, at an election
1685	2894		of the class of directors of which the director is a
1686	2895		part.
1687		-
1688	2896		2. Whenever the holders of any class or series a re entitled to
1689	2897		elect one or more dir ectors by the provisions of the certificate of
1690	2898		incorporation, the provisions of this subsection shall apply, in
1691	2899		respect to the removal without cause of a director or direct ors so
1692	2900		elected, to the vote of the holders of th e outstanding shares of
1693	2901		that class or series and not to the vote of the outstanding shar es
1694	2902		as a whole.
1695		-
1696	2903		SECTION 17. AMENDATORY 18 O.S. 2021, Section 1031, is
1697	2904		amended to read as follows :
1698		-
1699	2905		Section 1031.
1700		-
1701	2906		INDEMNIFICATION OF OFFICERS, DIR ECTORS, EMPLOYEES AND AGENTS;
1702	2907		INSURANCE
1703		-
1704	2908		A. A corporation shall have power to indemnify any person who
1705	2909		was or is a party or is threatened to be made a party to any
1706	2910		threatened, pending, or completed action, suit, or proceeding,
1707	2911		whether civil, criminal, admi nistrative, or investigative, other
1708	2912		than an action by or in the right of the corporation , by reason of
1709	2913
1710		-	ENR. S. B. NO. 620 Page 40
	2914	+	SB620 HFLR Page 57
	2915	+	BOLD FACE denotes Committee Amendments. 1
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	2938	+	24
	2939	+
1711	2940		the fact that the person is or was a director, officer, employee, or
1712	2941		agent of the corporation, or is or was serving at the request of the
1713	2942		corporation as a director, officer, employee, or agent of anothe r
1714	2943		corporation, partnership, joint ventu re, trust, or other enterprise,
1715	2944		against expenses, including attorney fees, judgments, fines, and
1716	2945		amounts paid in settlement actually and reasonably incurred by the
1717	2946		person in connection with the action, suit, or procee ding if the
1718	2947		person acted in good faith and in a manner the person reasonably
1719	2948		believed to be in or not opposed to the best interests of the
1720	2949		corporation, and, with respect to any criminal action or proceeding,
1721	2950		had no reasonable cause to believe the conduct w as unlawful. The
1722	2951		termination of any ac tion, suit, or proceeding by judgment, order,
1723	2952		settlement, conviction, or upon a plea of nolo contendere or its
1724	2953		equivalent, shall not, of itself, create a presumption th at the
1725	2954		person did not act in good faith and in a manner which the person
1726	2955		reasonably believed to be in or not opposed to the best interests of
1727	2956		the corporation, and, with respect to any criminal actio n or
1728	2957		proceeding, had reasonable cause to believe that the conduct was
1729	2958		unlawful.
1730		-
1731	2959		B. A corporation shall hav e the power to indemnify any person
1732	2960		who was or is a party or is threatened to be made a party to any
1733	2961		threatened, pending, or completed action or suit by or in the right
1734	2962		of the corporation to procure a judgme nt in its favor by reason of
1735	2963		the fact that the pe rson is or was a director, officer, emp loyee, or
	2964	+
	2965	+	SB620 HFLR Page 58
	2966	+	BOLD FACE denotes Committee Amendments. 1
	2967	+	2
	2968	+	3
	2969	+	4
	2970	+	5
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	2977	+	12
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	2983	+	18
	2984	+	19
	2985	+	20
	2986	+	21
	2987	+	22
	2988	+	23
	2989	+	24
	2990	+
1736	2991		agent of the corporation, or is or was serving at the request of the
1737	2992		corporation as a director, offi cer, employee, or agent of another
1738	2993		corporation, partnershi p, joint venture, trust, or other enterprise
1739	2994		against expenses, including attorney fees, actually and reasonably
1740	2995		incurred by the person in connection with the defense or settlement
1741	2996		of an action or suit if the person acted in good faith and in a
1742	2997		manner the person reasonably believed to be in or not opposed to the
1743	2998		best interests of the corporati on and except that no indemnification
1744	2999		shall be made in respect of any claim, issue, or matter as to which
1745	3000		the person shall have been adjudged to be liable to the corpor ation
1746	3001		unless and only to the extent that the cour t in which the action or
1747	3002		suit was brought shall determine upon application that, despite the
1748	3003		adjudication of liability but in view of all the circums tances of
1749	3004		the case, the person is fairly and reasonably en titled to indemnity
1750	3005		for expenses which the court shall deem proper.
1751		-
1752		-
1753		-	ENR. S. B. NO. 620 Page 41
1754	3006		C. 1. To the extent that a present or former director or
1755	3007		officer of a corporation has been successful on the merits or
1756	3008		otherwise in defense of any action, suit, or proceeding referred to
1757	3009		in subsection A or B of this section, or in defense of any claim,
1758	3010		issue, or matter ther ein, the person shall be indemnified against
1759	3011		expenses, including attorney fees, actually and reasonably incurr ed
1760	3012		by the person in connection therewith.
1761		-
1762	3013		2. The corporation may indemnify any other person who is not a
1763	3014		present or former director or officer of the corporation against
	3015	+
	3016	+	SB620 HFLR Page 59
	3017	+	BOLD FACE denotes Committee Amendments. 1
	3018	+	2
	3019	+	3
	3020	+	4
	3021	+	5
	3022	+	6
	3023	+	7
	3024	+	8
	3025	+	9
	3026	+	10
	3027	+	11
	3028	+	12
	3029	+	13
	3030	+	14
	3031	+	15
	3032	+	16
	3033	+	17
	3034	+	18
	3035	+	19
	3036	+	20
	3037	+	21
	3038	+	22
	3039	+	23
	3040	+	24
	3041	+
1764	3042		expenses including attorney fees actually and reasonabl y incurred by
1765	3043		the person to the extent he or she has been successful on the merits
1766	3044		or otherwise in defense of any action, suit , or proceeding referred
1767	3045		to in subsections A and B of this section, or in defense of any
1768	3046		claim, issue, or matter therein.
1769		-
1770	3047		D. Any indemnification under the pr ovisions of subsection A or
1771	3048		B of this section, unless ordere d by a court, shall be made by the
1772	3049		corporation only as authorized in the specific case u pon a
1773	3050		determination that indemnification of the present or former director
1774	3051		or officer is proper in the circu mstances because the person has met
1775	3052		the applicable standard of conduct set forth in subsection A or B of
1776	3053		this section. This determination shall be made, with respect to a
1777	3054		person who is a director or officer of the corporation at the time
1778	3055		of the determination:
1779		-
1780	3056		1. By a majority vote of the directors who are not par ties to
1781	3057		the action, suit, or proceeding, even tho ugh less than a quorum;
1782		-
1783	3058		2. By a committee of directors designated by a majority vote of
1784	3059		directors, even though less than a quorum;
1785		-
1786	3060		3. If there are no such directors, or if such directors so
1787	3061		direct, by independent legal counsel in a written opinion; or
1788		-
1789	3062		4. By the shareholders.
1790		-
1791	3063		E. Expenses including attorney fees incurred by an officer or
1792	3064		director in defending a civil, criminal, administrative or
1793	3065		investigative action, suit, or proceeding may be paid by the
	3066	+
	3067	+	SB620 HFLR Page 60
	3068	+	BOLD FACE denotes Committee Amendments. 1
	3069	+	2
	3070	+	3
	3071	+	4
	3072	+	5
	3073	+	6
	3074	+	7
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	3076	+	9
	3077	+	10
	3078	+	11
	3079	+	12
	3080	+	13
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	3082	+	15
	3083	+	16
	3084	+	17
	3085	+	18
	3086	+	19
	3087	+	20
	3088	+	21
	3089	+	22
	3090	+	23
	3091	+	24
	3092	+
1794	3093		corporation in advance of the final disposition of the action, suit,
1795	3094		or proceeding upon r eceipt of an undertaking by or on behalf of the
1796		-
1797		-	ENR. S. B. NO. 620 Page 42
1798	3095		director or officer to repay the amount if it shall ultimate ly be
1799	3096		determined that the person is not entitled to be indem nified by the
1800	3097		corporation as authorized by the pr ovisions of this section.
1801	3098		Expenses including attorney fees incurred by former directors or
1802	3099		officers or other employees and agents or persons servi ng at the
1803	3100		request of the corporation as directors, officers, employees or
1804	3101		agents of another corporation, part nership, joint venture, trust or
1805	3102		other enterprise may be paid upon the terms and conditions, if any,
1806	3103		as the corporation deems appropriate.
1807		-
1808	3104		F. The indemnification and advancement of expenses provided by
1809	3105		or granted pursuant to the other subsections of this section shall
1810	3106		not be deemed exclusive o f any other rights to which those seeking
1811	3107		indemnification or advancement of expenses may be entitled under a ny
1812	3108		bylaw, agreement, vote of shareholders or disinterested d irectors,
1813	3109		or otherwise, both as to action in the person’s official capacity
1814	3110		and as to action in another capacity while holding an office. A
1815	3111		right to indemnification or to advancement of expenses arising under
1816	3112		a provision of the certificate of incorporatio n or a bylaw shall not
1817	3113		be eliminated or impaired by an amendment to or repeal or
1818	3114		elimination of the certificate of incorporation or the bylaw after
1819	3115		the occurrence of the act or omission that is th e subject of the
1820	3116		civil, criminal, admi nistrative or investig ative action, suit or
	3117	+
	3118	+	SB620 HFLR Page 61
	3119	+	BOLD FACE denotes Committee Amendments. 1
	3120	+	2
	3121	+	3
	3122	+	4
	3123	+	5
	3124	+	6
	3125	+	7
	3126	+	8
	3127	+	9
	3128	+	10
	3129	+	11
	3130	+	12
	3131	+	13
	3132	+	14
	3133	+	15
	3134	+	16
	3135	+	17
	3136	+	18
	3137	+	19
	3138	+	20
	3139	+	21
	3140	+	22
	3141	+	23
	3142	+	24
	3143	+
1821	3144		proceeding for which indemn ification or advancement of expenses is
1822	3145		sought, unless the provision in effect at the time of such act or
1823	3146		omission explicitly authorizes such elimi nation or impairment after
1824	3147		such action or omission has occur red.
1825		-
1826	3148		G. 1. A corporation shall have power to pu rchase and maintain
1827	3149		insurance on behalf of any person who is or was a director, officer,
1828	3150		employee, or agent of the corporation, or is or was servin g at the
1829	3151		request of the corporation as a d irector, officer, employee, or
1830	3152		agent of another corporation, partne rship, joint venture, trust, or
1831	3153		other enterprise against any liability asserted against the person
1832	3154		and incurred by the person in any such capacity, or arising out of
1833	3155		the person’s status as such, whether or not the corporation would
1834	3156		have the power to indemn ify the person against liability under the
1835	3157		provisions of this section. For purposes of this subsection,
1836	3158		“insurance” shall include any insurance provided directly or
1837	3159		indirectly, including under any fronting or reinsurance arrangement,
1838	3160		by or through a captive insurance company organized and licensed in
1839	3161		compliance with the laws of any jurisdiction, including any captive
1840		-
1841		-	ENR. S. B. NO. 620 Page 43
1842	3162		insurance company licensed under the Oklahoma Captive Insurance
1843	3163		Company Act within Title 36 of the Oklahoma Insurance Code, provided
1844	3164		that the terms of any such captive insurance sh all:
1845		-
1846	3165		a. exclude from coverage and provide that the insurer
1847	3166		shall not make any payment for loss in connection with
	3167	+
	3168	+	SB620 HFLR Page 62
	3169	+	BOLD FACE denotes Committee Amendments. 1
	3170	+	2
	3171	+	3
	3172	+	4
	3173	+	5
	3174	+	6
	3175	+	7
	3176	+	8
	3177	+	9
	3178	+	10
	3179	+	11
	3180	+	12
	3181	+	13
	3182	+	14
	3183	+	15
	3184	+	16
	3185	+	17
	3186	+	18
	3187	+	19
	3188	+	20
	3189	+	21
	3190	+	22
	3191	+	23
	3192	+	24
	3193	+
1848	3194		any claim made against any person arising out of,
1849	3195		based upon, or attributable to any:
1850		-
1851	3196		(1) personal profit or other financial advantage to
1852	3197		which such person was not legally entitled, or
1853		-
1854	3198		(2) deliberate criminal or deliberate fraudulent act
1855	3199		of such person,
1856		-
1857	3200		if the conditions of division (1) or (2) of this
1858	3201		subparagraph are established by a final, non -
1859	3202		appealable adjudication in the underlying proceed ing
1860	3203		in respect of such claim, which shall not include an
1861	3204		action or proceeding initiated by the insurer or th e
1862	3205		insured to determine coverage un der the policy, unless
1863	3206		and only to the extent such person is entitled to b e
1864	3207		indemnified under this section,
1865		-
1866	3208		b. require that any determination to make a payment under
1867	3209		such insurance in respect of a claim against a current
1868	3210		director or officer of the corporation shall be made
1869	3211		by an independent claims administrator or in
1870	3212		accordance with the provisions of paragraphs 1 through
1871	3213		4 of subsection D of this section, and
1872		-
1873	3214		c. require that, before any payment under such insurance
1874	3215		in connection with any dismissal or compromise o f any
1875	3216		action, suit, or proceeding brought by or in the right
1876	3217		of a corporation as to which notice is required to be
	3218	+
	3219	+	SB620 HFLR Page 63
	3220	+	BOLD FACE denotes Committee Amendments. 1
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	3232	+	13
	3233	+	14
	3234	+	15
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	3236	+	17
	3237	+	18
	3238	+	19
	3239	+	20
	3240	+	21
	3241	+	22
	3242	+	23
	3243	+	24
	3244	+
1877	3245		given to shareholders, such corporation shall include
1878	3246		in such notice that a payment is proposed to be made
1879	3247		under such insurance in connection with such dismissal
1880	3248		or compromise.
1881		-
1882		-
1883		-	ENR. S. B. NO. 620 Page 44
1884	3249		2. For purposes of paragraph 1 of this subsection, the conduct
1885	3250		of an insured person shall not be imputed to any other insured
1886	3251		person.
1887		-
1888	3252		3. The exclusions in paragraph 1 of this subsection shall
1889	3253		permit a captive insurance policy to cover dir ectors and officers
1890	3254		for certain liabilities that are non -exculpable under paragraph 7 of
1891	3255		subsection B of Section 1006 of this title.
1892		-
1893	3256		4. Any corporation that establishes or maintains a captive
1894	3257		insurance company that provides insurance under this sub section
1895	3258		shall not, solely by virtue thereof, be subject to the provisions of
1896	3259		Title 36 of the Oklahoma Insurance Code.
1897		-
1898	3260		5. Nothing in this subsection shall be construed to preve nt a
1899	3261		foreign corporation from organizing a captive insurer under the
1900	3262		Oklahoma Captive Insurance Company Act for the purpose of insuring
1901	3263		the same risks described in this section.
1902		-
1903	3264		6. Any corporation that establishes a captive insurance company
1904	3265		may include in the i nsurance policy limitations or exclusions that
1905	3266		are in addition to those prescrib ed by a statute or regulation.
1906		-
1907	3267		H. For purposes of this section, references to “the
1908	3268		corporation” shall include, in addition to the resulting
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1909	3296		corporation, any constituent corpor ation, including any constituent
1910	3297		of a constituent, absorbed in a consolidation o r merger which, if
1911	3298		its separate existence had continued, would have had power and
1912	3299		authority to indemnify its directors, officers, and employees, or
1913	3300		agents, so that any person w ho is or was a director, officer,
1914	3301		employee, or agent of a constituent corporatio n, or is or was
1915	3302		serving at the request of a constituent corporation as a director,
1916	3303		officer, employee, or agent of another corporation, partnership,
1917	3304		joint venture, trust, or oth er enterprise, shall stand in the same
1918	3305		position under the provisions of this sec tion with respect to the
1919	3306		resulting or surviving corporation as the person would ha ve with
1920	3307		respect to the constituent corporation if its separate exis tence had
1921	3308		continued.
1922		-
1923	3309		I. For purposes of this section, references to “other
1924	3310		enterprises” shall include, but are not limited to, employee benefit
1925	3311		plans; references to “fines” shall include, but are not limited to,
1926		-
1927		-	ENR. S. B. NO. 620 Page 45
1928	3312		any excise taxes assessed on a person with respect to an employee
1929	3313		benefit plan; and references to “serving at the request of the
1930	3314		corporation” shall include, but are not limited to, any service as a
1931	3315		director, officer, employee, or ag ent of the corporation which
1932	3316		imposes duties on, or involves service s, by the director, officer ,
1933	3317		employee, or agent with respect to an employee benefit plan, its
1934	3318		participants, or beneficiaries; and a person who acted in good faith
1935	3319		and in a manner the person reasonably believed to be in the interest
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1936	3347		of the participants and beneficiaries of an employe e benefit plan
1937	3348		shall be deemed to have acted in a manner “not opposed to the bes t
1938	3349		interests of the corporation” as referred to in this section.
1939		-
1940	3350		J. The indemnification and advancement of expenses provided by
1941	3351		or granted pursuant t o this section, unless othe rwise provided when
1942	3352		authorized or ratified, shall continue as to a person who ha s ceased
1943	3353		to be a director, officer, employee, or agent and shall inure to the
1944	3354		benefit of the heirs, executors, and administrators of the person.
1945		-
1946	3355		K. The district court is veste d with exclusive jurisdiction to
1947	3356		hear and determine all actions for advancement of expenses or
1948	3357		indemnification brought under this section or under any bylaw,
1949	3358		agreement, vote of shareholders or disinterested directors, or
1950	3359		otherwise. The court may summarily determine a corporation ’s
1951	3360		obligation to advance expenses including attorney fees.
1952		-
1953	3361		SECTION 18. AMENDATORY 18 O.S. 2021, Section 1033, is
1954	3362		amended to read as follows:
1955		-
1956	3363		Section 1033.
1957		-
1958	3364		ISSUANCE OF STOCK, LAWFUL CONSIDERATI ON - FULLY PAID STOCK
1959		-
1960	3365		A. The consideration, as determined pursuant to the provisions
1961	3366		of subsections A and B of Section 1034 of this title, for
1962	3367		subscriptions to, or the purchase of, the capital stock to be issued
1963	3368		by a corporation shall be paid in such the form and in such manner
1964	3369		as that the board of directors shall determine. The board of
1965	3370		directors may authorize capital stock to be issued for consideration
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	3372	+	SB620 HFLR Page 66
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	3397	+
1966	3398		consisting of cash, an y tangible or intangible property or any
1967	3399		benefit to the corpo ration, or any combination thereof, except for
1968	3400		services to be performed. The resolution authorizing the issuance
1969	3401		of capital stock may provide that any stock to be issued pursuant to
1970		-
1971		-	ENR. S. B. NO. 620 Page 46
1972	3402		such resolution Stock may be issued in one or more transactions in
1973	3403		such the numbers and, at such the times, and for the consideration
1974	3404		as are set forth in or determined by or in the manne r set forth in
1975	3405		the resolution, which may include a determination or action by any
1976	3406		person or body including the corporation, provided the resolution
1977	3407		fixes a maximum number of shares that may be issued pursuant to such
1978	3408		resolution, a time period during which such shares may be issued and
1979	3409		a minimum amount of consideration for which such sha res may be
1980	3410		issued. The board of directors may determine the amount of
1981	3411		consideration for which shares m ay be issued by setting a minimum
1982	3412		amount of consideration or by approvi ng a formula by which the
1983	3413		amount of consideration is determined. The formula may include or
1984	3414		be made dependent upon facts ascertainable outside the formula,
1985	3415		provided the manner in which such facts shall operate upon the
1986	3416		formula is clearly and expressly set forth in the formula or in the
1987	3417		resolution approving the formula. In the absence of actual fraud in
1988	3418		the transaction, the judgment of the directors as to the val ue of
1989	3419		such consideration shall be conclusive. The capital stock so issued
1990	3420		shall be deemed to b e fully paid and nonassessable stock upon
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	3422	+	SB620 HFLR Page 67
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	3446	+	24
	3447	+
1991	3448		receipt by the corporation of the author ized consideration a
1992	3449		resolution of the board of directors .
1993		-
1994	3450		B. The provisions of subsection A of In addition to the board
1995	3451		of directors, a resolution of the board of directors may delegate to
1996	3452		a person or body the authority to enter int o one or more
1997	3453		transactions to issue stock. With respect to such transactions,
1998	3454		shares of stock may be issued in the numbers, at the tim es, and for
1999	3455		the consideration as such person or body may dete rmine, provided the
2000	3456		resolution fixes:
2001		-
2002	3457		1. A maximum number of shares that may be issued under such
2003	3458		resolution;
2004		-
2005	3459		2. A period during which such shares may be issued ; and
2006		-
2007	3460		3. A minimum amount of consider ation for which such shares may
2008	3461		be issued.
2009		-
2010	3462		No resolution shall permit a person or body to issue stock to
2011	3463		such person or body.
2012		-
2013		-
2014		-	ENR. S. B. NO. 620 Page 47
2015	3464		C. Any provision of a resolution described by subsection A or B
2016	3465		of this section may be made depe ndent on facts ascertainable out side
2017	3466		the resolution, provided the manner in which such fa cts shall
2018	3467		operate upon the resolution is clearly and expres sly set forth in
2019	3468		the resolution. As used in this subsection, “facts” includes but is
2020	3469		not limited to the occurrence of any event, including a
2021	3470		determination or action by any person or body including the
2022	3471		corporation; provided, if the resolution delegates to a person or
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	3498	+
2023	3499		body the authority to enter into one or more transactions to issue
2024	3500		stock under subsection B of this section, the provisions described
2025	3501		in paragraphs 1 through 3 of subsection B of this section shall not
2026	3502		be made dependent on a determination or ac tion by such person or
2027	3503		body.
2028		-
2029	3504		D. In the absence of actual fraud in the transaction, the
2030	3505		judgment of the directors as to the value or minimum amount of
2031	3506		consideration received by the corporation for the issuance of stock
2032	3507		shall be conclusive. The capital stock issued in accordance with
2033	3508		the provisions of this section shall be deemed to b e fully paid and
2034	3509		nonassessable stock upon rece ipt by the corporation of such
2035	3510		consideration. Nothing contained in this section shall not be
2036	3511		construed to prevent the board of directors from issuing partly paid
2037	3512		shares in accordance with the provisions of Section 1037 of this
2038	3513		title.
2039		-
2040	3514		SECTION 19. AMENDATORY 18 O.S. 2021, Section 1034, is
2041	3515		amended to read as follows:
2042		-
2043	3516		Section 1034.
2044		-
2045	3517		CONSIDERATION FOR STOCK
2046		-
2047	3518		A. Shares of stock with par value may be issued for such
2048	3519		consideration, having a value not less than the par value thereof of
2049	3520		the shares so issued, as is determined from time to time by the
2050	3521		board of directors in accordance with Section 1033 of this title, or
2051	3522		by the shareholders if the certificate of incorporation so provides.
2052	3523
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	3549	+
2053	3550		B. Shares of stock without par value may be issued for such
2054	3551		consideration as is determined from time to time by the board of
2055	3552		directors in accordance with Section 1033 of this title, or by the
2056	3553		shareholders if the certificate of incorporation so provides.
2057		-
2058		-	ENR. S. B. NO. 620 Page 48
2059		-
2060	3554		C. Treasury shares may be disposed of by the corporation for
2061	3555		such consideration as may b e determined from time to time by the
2062	3556		board of directors in the same manner that shares of stock are
2063	3557		issued under Section 1033 of this title, or may be disposed of for
2064	3558		such consideration as determined by the shareholders if the
2065	3559		certificate of incorporation so pro vides.
2066		-
2067	3560		D. If the certifica te of incorporation reserves to the
2068	3561		shareholders the right to determine the consideration for the issue
2069	3562		of any shares, the shareholders, unless the cert ificate requires a
2070	3563		greater vote, shall do so by a vote of a majority of the o utstanding
2071	3564		stock entitled to vote thereon.
2072		-
2073	3565		SECTION 20. AMENDATORY 18 O.S. 2021, Section 1038, is
2074	3566		amended to read as follows:
2075		-
2076	3567		Section 1038.
2077		-
2078	3568		RIGHTS AND OPTIONS RESPECTING STOCK
2079		-
2080	3569		A. Subject to any provisions in the certificate of
2081	3570		incorporation, every corporati on may create and issue, whether or
2082	3571		not in connection with the issue and sale of any shares of stock or
2083	3572		other securities of the corporation, rights or options entitling the
2084	3573		holders thereof to acquire from the corporation any shares of its
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	3600	+
2085	3601		capital stock of any class or classes, such rights or options to be
2086	3602		evidenced by or in such instrument or instruments as shall be
2087	3603		approved by the board of directors of the corporation.
2088		-
2089	3604		B. The terms upon which, including the time or times, which may
2090	3605		be limited or unlimited in d uration, at or within which, and the
2091	3606		consideration, including any formula by which such consideration may
2092	3607		be determined, for which any such shares may be acquired from the
2093	3608		corporation upon the exercise of any such right or option, shall be
2094	3609		such as shall be stated in the certificate of incorporation, or in a
2095	3610		resolution adopted by the board of directors providing for the
2096	3611		creation and issue of such rights or options, and, in every case,
2097	3612		shall be set forth or incorporated by reference in the instrument or
2098	3613		instruments evidencing such rights or options. A formula by which
2099	3614		such consideration may be determined may include or be made
2100	3615		dependent upon facts ascertainable outside the formula, provided the
2101		-
2102		-	ENR. S. B. NO. 620 Page 49
2103	3616		manner in which such facts shall operate upon the formula is clea rly
2104	3617		and expressly set forth in the formula or in the resolution
2105	3618		approving the formula. In the absence of actual fraud in the
2106	3619		transaction, the judgment of the directors as to the consideration
2107	3620		for the issuance of such rights or options and the sufficiency
2108	3621		thereof shall be conclusive or by another person or body authorized
2109	3622		under this section.
2110	3623
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	3649	+
2111	3650		C. The board of directors may, by a resolution adopted by the
2112	3651		board, authorize one or more officers of the corporation to do one
2113	3652		or both of the following:
2114		-
2115	3653		1. Designate officers and employees of the corporation or of
2116	3654		any of its subsidiaries to be recipients of such rights or options
2117	3655		created by the corporation; and
2118		-
2119	3656		2. Determine the number of such rights or options to be
2120	3657		received by such officers and employees;
2121		-
2122	3658		provided, however, that the resolution so authorizing such
2123	3659		officer or officers shall specify the total number of rights or
2124	3660		options such officer or officers may so award. The board of
2125	3661		directors may not authorize an officer to designate himself or
2126	3662		herself as a recipient of any such rights or options In addition to
2127	3663		the board of directors, the board of directors may adopt a
2128	3664		resolution to delegate to a person or body the authority to enter
2129	3665		into one or more transactions to issue rights or options . With
2130	3666		respect to such transactions, the rights or options may be issued in
2131	3667		the numbers, at the times, and for the consideration as such person
2132	3668		or body may determine , provided the resolution fixes :
2133		-
2134	3669		1. The maximum number of rights or options, and the maximum
2135	3670		number of shares issu able upon exercise thereof, that may be issued
2136	3671		under such resolution;
2137		-
2138	3672		2. The period during which such rights or options, and during
2139	3673		which the shares issuable upon exercise there of, may be issued; and
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	3676	+	BOLD FACE denotes Committee Amendments. 1
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	3692	+	17
	3693	+	18
	3694	+	19
	3695	+	20
	3696	+	21
	3697	+	22
	3698	+	23
	3699	+	24
2140	3700
2141	3701		3. A minimum amount of consideration , if any, for which such
2142	3702		rights or options may be issued and a minimum amount of
2143	3703		consideration for the shares issuable upon exercise thereof.
2144		-
2145		-
2146		-	ENR. S. B. NO. 620 Page 50
2147	3704		No such resolution shall permit a person or body to issue rights
2148	3705		or options to such person or body .
2149		-
2150	3706		D. In case the shares of s tock of the corporation to be issued
2151	3707		upon the exercise of such rights or options shall be shares having a
2152	3708		par value, the Any provision in a resolution described by subsection
2153	3709		B or C of this section may be made dependent on facts ascertainable
2154	3710		outside the resolution, provided the manner in which such facts
2155	3711		shall operate upon the resolution is clearly and expressly set forth
2156	3712		in such resolution. As used in this subsection, “facts” includes
2157	3713		but is not limited to the occurrence of any event, including a
2158	3714		determination or action by any person or body including the
2159	3715		corporation; provided, if the resolution delegates to a person or
2160	3716		body the authority to enter into one or more transactions to issue
2161	3717		rights or options under subsection C of this section, the provisions
2162	3718		described by paragraphs 1 through 3 of subsection C of this section
2163	3719		may not be made dependent on a determination or action by such
2164	3720		person or body.
2165		-
2166	3721		E. The minimum consideration so to be received therefor shall
2167	3722		have a value not less than the par value there of. In case the
2168	3723		shares of stock so to be issued shall be shares of stock without par
2169	3724		value, the consideration therefor shall be determined in the manner
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	3727	+	BOLD FACE denotes Committee Amendments. 1
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	3733	+	7
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	3738	+	12
	3739	+	13
	3740	+	14
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	3746	+	20
	3747	+	21
	3748	+	22
	3749	+	23
	3750	+	24
	3751	+
2170	3752		provided for the shares of stock of the corporation to be issued
2171	3753		upon exercise of such rights or optio ns shall be no less than the
2172	3754		amount set forth in Section 1034 of this title.
2173		-
2174	3755		SECTION 21. AMENDATORY 18 O.S. 2021, Section 1041, is
2175	3756		amended to read as follows:
2176		-
2177	3757		Section 1041.
2178		-
2179	3758		CORPORATION’S POWERS RESPECTING OWNERSHIP, VOTING, ETC. OF
2180		-
2181	3759		ITS OWN STOCK; RIGHTS OF STOCK CALLED FOR REDEMPTION
2182		-
2183	3760		A. Every corporation may purchase, redeem, receive, take, or
2184	3761		otherwise acquire, own, hold, sell, l end, exchange, transfer, or
2185	3762		otherwise dispose of, pledge, use and otherwise deal in and with its
2186	3763		own shares; provided, however, that no corporation shall:
2187		-
2188		-
2189		-	ENR. S. B. NO. 620 Page 51
2190	3764		1. Purchase or redeem its own shares of capital stock for cash
2191	3765		or other property when the capital of the corporation is impaired or
2192	3766		when the purchase or redemption would cause any impairment of the
2193	3767		capital of the corporation, except that a corporation other than a
2194	3768		nonstock corporation may purchase or redeem out of capital any of
2195	3769		its own shares which are entitled upon any distribution of its
2196	3770		assets, whether by dividend or in liquidation, to a preference ov er
2197	3771		another class or series of its stock, or, if no shares entitled to a
2198	3772		preference are outstanding, any of its own shares if such shares
2199	3773		will be retired upon their acquisition and the capital of the
2200	3774		corporation reduced in accordance with the provisions of Sections
2201	3775		1078 and 1079 of this title. Nothing in this subsection shall
	3776	+
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	3778	+	BOLD FACE denotes Committee Amendments. 1
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	3802	+
2202	3803		invalidate or otherwise affect a note, debenture, or other
2203	3804		obligation of a corpor ation given by it as consideration for its
2204	3805		acquisition by purchase, redemption, or the exchange of its shares
2205	3806		of stock if at the time such note, debenture, or obligation was
2206	3807		delivered by the corporation its capital was not then impaired or
2207	3808		did not thereby become impaired;
2208		-
2209	3809		2. Purchase, for more than the price at which they may then be
2210	3810		redeemed, any of its s hares which are redeemable at the option of
2211	3811		the corporation; or
2212		-
2213	3812		3. a. In the case of a corporation other than a nonstock
2214	3813		corporation, redeem any of its s hares unless their
2215	3814		redemption is authorized by subsection B of Section
2216	3815		1032 of this title and then only in accordance with
2217	3816		the provisions of that section and the certificate of
2218	3817		incorporation, or
2219		-
2220	3818		b. In the case of a nonstock corporation, redeem any of
2221	3819		its membership interests, unless their redemption is
2222	3820		authorized by the certificate of incorporation and
2223	3821		then only in accordance with the certificate of
2224	3822		incorporation.
2225		-
2226	3823		B. Nothing in this section shall be construed to limit or
2227	3824		affect a corporation’s right to resell any of its shares theretofore
2228	3825		purchased or redeemed out of surplus and which have not been
	3826	+
	3827	+	SB620 HFLR Page 75
	3828	+	BOLD FACE denotes Committee Amendments. 1
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	3849	+	22
	3850	+	23
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	3852	+
2229	3853		retired, for consideration fixed by the board of directors or by the
2230	3854		shareholders if the certificate of incorporation so provides.
2231		-
2232		-
2233		-	ENR. S. B. NO. 620 Page 52
2234	3855		C. Shares of its own a corporation’s capital stock belonging to
2235	3856		the shall neither be entitled to vote nor be counted for quorum
2236	3857		purposes if the shares belong to:
2237		-
2238	3858		1. The corporation; or to another
2239		-
2240	3859		2. Another corporation, if a majority of the shares entitled to
2241	3860		vote in the election of directors of the other corporation is held,
2242	3861		directly or indirectly, by the corporation, shall neither be
2243	3862		entitled to vote nor be counted for quorum purposes; or
2244		-
2245	3863		3. Any other entity, if a majority of the voting power of such
2246	3864		other entity is held directly or indirectly by the corporation, or
2247	3865		if such other entity is otherwise cont rolled directly or indirectl y
2248	3866		by the corporation.
2249		-
2250	3867		Nothing in this section shall be construed as limiting the right
2251	3868		of any corporation to vote stock including, but not limited to, its
2252	3869		own stock, held by it in a fiduciary capacity.
2253		-
2254	3870		D. Shares which have been called for redemptio n shall not be
2255	3871		deemed to be outstanding shares for the purpose of voting or
2256	3872		determining the total number of shares entitled to vote on any
2257	3873		matter on and after the date on whi ch written notice of redemption
2258	3874		has been sent to holders thereof and a sum suffici ent to redeem
2259	3875		those shares has been irrevocably deposited or set aside to pay the
	3876	+
	3877	+	SB620 HFLR Page 76
	3878	+	BOLD FACE denotes Committee Amendments. 1
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	3900	+	23
	3901	+	24
	3902	+
2260	3903		redemption price to the holders of the shares upon surrender of the
2261	3904		certificates.
2262		-
2263	3905		SECTION 22. NEW LAW A new section of law to be codified
2264	3906		in the Oklahoma Stat utes as Section 1047.1 of Title 18, unless there
2265	3907		is created a duplication in numbering, reads as follows:
2266		-
2267	3908		LOST, STOLEN, OR DESTROYED STOCK CERTIFICATES; ISSUANCE OF NEW
2268	3909		CERTIFICATE OR UNCERTIFICATED S HARES
2269		-
2270	3910		A corporation may issue a new certificate of stock or
2271	3911		uncertificated shares in place of any certificate previously issued
2272	3912		by it that is alleged to have been lost, stolen, or destroyed. The
2273	3913		corporation may require the owner of the lost, stolen , or destroyed
2274	3914		certificate, or such owner ’s legal representative , to give the
2275	3915		corporation a bond sufficient to indemnify it against any claim that
2276		-
2277		-	ENR. S. B. NO. 620 Page 53
2278	3916		may be made against it on account of the alleged loss, theft, or
2279	3917		destruction of any such certificate or the issuance of su ch new
2280	3918		certificate or uncertificated shares.
2281		-
2282	3919		SECTION 23. NEW LAW A new section of law to be codified
2283	3920		in the Oklahoma Statutes as Section 1047.2 of Title 18, unless there
2284	3921		is created a duplication in numb ering, reads as follo ws:
2285		-
2286	3922		JUDICIAL PROCEEDINGS TO COMPEL ISSUANCE OF NEW CERTIFICATE OR
2287	3923		UNCERTIFICATED SHARES
2288		-
2289	3924		A. If a corporation refuses to issue new uncertificated shares
2290	3925		or a new certificate of stock in place of a certificate previously
2291	3926		issued by it, or by any corporation of which it is the lawful
	3927	+
	3928	+	SB620 HFLR Page 77
	3929	+	BOLD FACE denotes Committee Amendments. 1
	3930	+	2
	3931	+	3
	3932	+	4
	3933	+	5
	3934	+	6
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	3952	+	24
	3953	+
2292	3954		successor, that is alleged to have been lost, stolen, or destroyed,
2293	3955		the owner of the lost, stolen, or destroyed certificate or such
2294	3956		owner’s legal representative may apply to the district court for an
2295	3957		order requiring the corporation to show cause why it should not
2296	3958		issue new uncertificated sh ares or a new certificate of stock in
2297	3959		place of the certificate that is lost, stolen, or destroyed. Such
2298	3960		application shall be by a complaint which shall state the name of
2299	3961		the corporation, the number and date of the certificate if known or
2300	3962		ascertainable by the plaintiff, the number of shares of stock
2301	3963		represented thereby and to whom issued, and a statement of the
2302	3964		circumstances attending to the loss, theft, or destruction. The
2303	3965		court shall order the corporation to show cause at a designated time
2304	3966		and place, as to why it should not issue new uncertificated shares
2305	3967		or a new certificate of stock in place of the one described in the
2306	3968		complaint. A copy of the complaint and order shall be served upon
2307	3969		the corporation at least five (5) days before the time designated in
2308	3970		the order.
2309		-
2310	3971		B. Upon hearing, if the district court is satisfied that the
2311	3972		plaintiff is the lawful owner of the number of shares of capital
2312	3973		stock or any part thereof described in the complain t, that the
2313	3974		certificate for such shares has been lost, stolen , or destroyed, and
2314	3975		that no sufficient cause has been shown why new uncertificated
2315	3976		shares or a new certificate should not be issued in place thereof,
2316	3977		the court shall order the corporation to is sue and deliver to the
	3978	+
	3979	+	SB620 HFLR Page 78
	3980	+	BOLD FACE denotes Committee Amendments. 1
	3981	+	2
	3982	+	3
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	3998	+	19
	3999	+	20
	4000	+	21
	4001	+	22
	4002	+	23
	4003	+	24
	4004	+
2317	4005		plaintiff new uncertificated shares or a new c ertificate for such
2318	4006		shares. The court shall direct in such order that, before the
2319	4007		issuance and delivery to the plaintiff of such new uncertificated
2320		-
2321		-	ENR. S. B. NO. 620 Page 54
2322	4008		shares or a new certificate, th e plaintiff give the corporation a
2323	4009		bond in such form and with such security that the court deems
2324	4010		sufficient to indemnify the corporation against any claim that may
2325	4011		be made against it on account of the alleged loss, theft, or
2326	4012		destruction of any such certi ficate or the issuance of such new
2327	4013		uncertificated shares or new certificate. No corporation which has
2328	4014		issued uncertificated shares or a certificate under a court order
2329	4015		entered under this section shall be liable in an amount in excess of
2330	4016		the amount specified in the bond.
2331		-
2332	4017		SECTION 24. AMENDATORY 18 O.S. 2021, Section 10 57, is
2333	4018		amended to read as follows:
2334		-
2335	4019		Section 1057.
2336		-
2337	4020		VOTING RIGHTS OF SHAREHOLDERS; PROXIES; LIMITATIONS
2338		-
2339	4021		A. Unless otherwise provided for in the certificate of
2340	4022		incorporation and subject to the provisions of Section 1058 of this
2341	4023		title, each shareholder shall be entitled to one vote for each share
2342	4024		of capital stock held by the shareholder. If the certificate of
2343	4025		incorporation provides for more or less than one vote for any share
2344	4026		on any matter, every reference in this act Section 1001 et seq. of
2345	4027		this title to a majority or other proportion of stock, voting stock
	4028	+
	4029	+	SB620 HFLR Page 79
	4030	+	BOLD FACE denotes Committee Amendments. 1
	4031	+	2
	4032	+	3
	4033	+	4
	4034	+	5
	4035	+	6
	4036	+	7
	4037	+	8
	4038	+	9
	4039	+	10
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	4041	+	12
	4042	+	13
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	4047	+	18
	4048	+	19
	4049	+	20
	4050	+	21
	4051	+	22
	4052	+	23
	4053	+	24
	4054	+
2346	4055		or shares shall refer to such majority or other proportion of the
2347	4056		votes of such stock, voting sto ck or shares.
2348		-
2349	4057		B. Each shareholder entitled to vote at a meeting of
2350	4058		shareholders or to express consent or dis sent to corporate action in
2351	4059		writing without a meeting may authorize another person or pe rsons to
2352	4060		act for the shareholder by proxy, but no proxy sha ll be voted or
2353	4061		acted upon after three (3) years from its date, unless the pro xy
2354	4062		provides for a longer period.
2355		-
2356	4063		C. Without limiting the manner in which a shareholder may
2357	4064		authorize another person or persons to act as a proxy pursuant to
2358	4065		subsection B of this section, the following shall constitute a valid
2359	4066		means by which a shareholder may grant such authority:
2360		-
2361	4067		1. A shareholder or the shareholder’s authorized officer,
2362	4068		director, employee, or agent may execute a writing authorizing
2363	4069		another person or persons to ac t for him or her as proxy. Execution
2364		-
2365		-	ENR. S. B. NO. 620 Page 55
2366	4070		may be accomplished by the shareholder or the shareholder’s
2367	4071		authorized officer, director, employee, or agent signing the writing
2368	4072		or causing his or her signatu re to be affixed to the writing by any
2369	4073		reasonable means incl uding, but not limited to, by facsimile
2370	4074		signature.
2371		-
2372	4075		2. A shareholder may authorize another person or persons to act
2373	4076		for him or her as proxy by transmitting or authorizing the
2374	4077		transmission of a tel egram, cablegram, or other means of electronic
2375	4078		transmission to the person who will be the holder of the proxy or to
	4079	+
	4080	+	SB620 HFLR Page 80
	4081	+	BOLD FACE denotes Committee Amendments. 1
	4082	+	2
	4083	+	3
	4084	+	4
	4085	+	5
	4086	+	6
	4087	+	7
	4088	+	8
	4089	+	9
	4090	+	10
	4091	+	11
	4092	+	12
	4093	+	13
	4094	+	14
	4095	+	15
	4096	+	16
	4097	+	17
	4098	+	18
	4099	+	19
	4100	+	20
	4101	+	21
	4102	+	22
	4103	+	23
	4104	+	24
	4105	+
2376	4106		a proxy solicitation firm, proxy support service orga nization, or
2377	4107		like agent duly authorized by the person who will be the holder of
2378	4108		the proxy to receive the transmission; provided, that any telegram,
2379	4109		cablegram, or other means of electronic transmission must either set
2380	4110		forth, or be submitted with information from which it can be
2381	4111		determined, that the telegram, cablegram, or other electronic
2382	4112		transmission was authorized by the shareholder. If it is deter mined
2383	4113		that telegrams, cablegrams, or other electronic transmissions are
2384	4114		valid, the inspectors or, if there ar e no inspectors, any other
2385	4115		person making that determination shall specify the informati on upon
2386	4116		which they relied.
2387		-
2388	4117		3. The authorization of a person to act as a proxy may be
2389	4118		documented, signed, and delivered in accordance wit h Section 1014.3
2390	4119		of this title, provided that the authorization shall set forth, or
2391	4120		be delivered with information ena bling the corporation to determine,
2392	4121		the identity of the shareholder granting the authoriz ation.
2393		-
2394	4122		D. Any copy, facsimile telecommunication, or other reliable
2395	4123		reproduction of the writing or transmission created pursuant to
2396	4124		subsection C of this section may be su bstituted or used in lieu of
2397	4125		the original writing or transm ission for any and all purposes for
2398	4126		which the original writing or transmissio n could be used; provided,
2399	4127		that the copy, facsimile telecommunication, or other reproduction
2400	4128		shall be a complete reprodu ction of the entire original writing or
2401	4129		transmission.
2402	4130
	4131	+	SB620 HFLR Page 81
	4132	+	BOLD FACE denotes Committee Amendments. 1
	4133	+	2
	4134	+	3
	4135	+	4
	4136	+	5
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	4138	+	7
	4139	+	8
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	4141	+	10
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	4143	+	12
	4144	+	13
	4145	+	14
	4146	+	15
	4147	+	16
	4148	+	17
	4149	+	18
	4150	+	19
	4151	+	20
	4152	+	21
	4153	+	22
	4154	+	23
	4155	+	24
	4156	+
2403	4157		E. A duly executed proxy shall be irrevocable if it states that
2404	4158		it is irrevocable and if, and only as long as, it is coupled with an
2405	4159		interest sufficient in law to support an irrevocable power. A proxy
2406	4160		may be made irrevocable regardless of whether the interest with
2407		-
2408		-	ENR. S. B. NO. 620 Page 56
2409	4161		which it is coupled is an interest in the stock itself or an
2410	4162		interest in the corporation generally.
2411		-
2412	4163		SECTION 25. AMENDATORY 18 O.S. 2021, Section 1058, is
2413	4164		amended to read as follows:
2414		-
2415	4165		Section 1058.
2416		-
2417	4166		FIXING DATE FOR DETERMINATION OF SHAREHOLDERS OF RECORD
2418		-
2419	4167		A. In order that the corporation may determine the shareholders
2420	4168		entitled to notice of or to vote at any meeting of shareholders or
2421	4169		any adjournment thereof, the board of directors may fix a record
2422	4170		date, which record date shall not precede the date upon which the
2423	4171		resolution fixing the record date is adopted by the board of
2424	4172		directors, and which record date shall not be more than sixty (60)
2425	4173		nor less than ten (10) days before the date of such meeting. If the
2426	4174		board of directors so fixes a date, such date shall al so be the
2427	4175		record date for determining the shareholders entitled to vote at
2428	4176		such meeting unless the board of directors determines, at the time
2429	4177		it fixes such record date, that a later date on or before the date
2430	4178		of the meeting shall be the date for making suc h determination. If
2431	4179		no record date is fixed by the board of directors, the r ecord date
2432	4180		for determining shareholders entitled to notice of or to vote at a
	4181	+
	4182	+	SB620 HFLR Page 82
	4183	+	BOLD FACE denotes Committee Amendments. 1
	4184	+	2
	4185	+	3
	4186	+	4
	4187	+	5
	4188	+	6
	4189	+	7
	4190	+	8
	4191	+	9
	4192	+	10
	4193	+	11
	4194	+	12
	4195	+	13
	4196	+	14
	4197	+	15
	4198	+	16
	4199	+	17
	4200	+	18
	4201	+	19
	4202	+	20
	4203	+	21
	4204	+	22
	4205	+	23
	4206	+	24
	4207	+
2433	4208		meeting of shareholders shall be at the close of business on the day
2434	4209		next preceding the day on which notice is given, or, if notice is
2435	4210		waived, at the close of business on the day next preceding the day
2436	4211		on which the meeting is held. A determination of shareholders of
2437	4212		record entitled to notice of or to vote at a meeting of shareholders
2438	4213		shall apply to any a djournment of the meeting; provided, however,
2439	4214		that the board of directors may fix a new record date for the
2440	4215		adjourned meeting and in such case shall also fix as the rec ord date
2441	4216		for shareholders entitled to notice of such adjourned meeting the
2442	4217		same or an earlier date as that fixed for determination of
2443	4218		shareholders entitled to vote i n accordance with the foregoing
2444	4219		provisions of this section at the adjourned meeting.
2445		-
2446	4220		B. 1. In order that the corporation may determine the
2447	4221		shareholders entitled to consent to co rporate action in writing
2448	4222		without a meeting in accordance with Section 1073 o f this title, the
2449	4223		board of directors may fix a record date, which record date shall
2450	4224		not precede the date upon which the resolution fixing the record
2451		-
2452		-	ENR. S. B. NO. 620 Page 57
2453	4225		date is adopted by the board o f directors, and which date shall not
2454	4226		be more than ten (10) d ays after the date upon which the resolution
2455	4227		fixing the record date is adopted by the board of directors. If no
2456	4228		record date has been fixed by the board of directors, the record
2457	4229		date for determining shareholders entitled to consent to corporate
2458	4230		action in writing without a meeting, when no prior action by the
2459	4231		board of directors is required by the Oklahoma Genera l Corporation
	4232	+
	4233	+	SB620 HFLR Page 83
	4234	+	BOLD FACE denotes Committee Amendments. 1
	4235	+	2
	4236	+	3
	4237	+	4
	4238	+	5
	4239	+	6
	4240	+	7
	4241	+	8
	4242	+	9
	4243	+	10
	4244	+	11
	4245	+	12
	4246	+	13
	4247	+	14
	4248	+	15
	4249	+	16
	4250	+	17
	4251	+	18
	4252	+	19
	4253	+	20
	4254	+	21
	4255	+	22
	4256	+	23
	4257	+	24
	4258	+
2460	4259		Act, shall be the first date on which a signed written consent
2461	4260		setting forth the action taken or proposed to be taken is delivered
2462	4261		to the corporation by delivery to its registered office in this
2463	4262		state, its principal place of business, or an o fficer or agent of
2464	4263		the corporation having custody of the book in which proceedings of
2465	4264		meetings of shareholders are recorded. Delivery made to a
2466	4265		corporation’s registered office shall be by hand or by certified or
2467	4266		registered mail, return receipt requested in accordance with
2468	4267		subsection D of Section 1073 of this title . If no record date has
2469	4268		been fixed by the board of directors and prior action by the board
2470	4269		of directors is required by the Oklahoma General Corporation Act,
2471	4270		the record date for determining shareh olders entitled to consent to
2472	4271		corporate action in writing without a m eeting shall be at the close
2473	4272		of business on the day on which the board of directors adopts the
2474	4273		resolution taking such prior action.
2475		-
2476	4274		2. The provisions of this subsection shall be effectiv e with
2477	4275		respect to corporate actions taken by written consent, and to such
2478	4276		written consent or consents, as to which the first written consent
2479	4277		is executed or solicited after November 1, 1988.
2480		-
2481	4278		C. In order that the corporation may determine the shareholders
2482	4279		entitled to receive payment of any dividend or other distribution or
2483	4280		allotment of any rights or the shareholders entitled to exercise any
2484	4281		rights in respect of any cha nge, conversion or exchange of stock, or
2485	4282		for the purpose of any other lawful action, the bo ard of directors
	4283	+
	4284	+	SB620 HFLR Page 84
	4285	+	BOLD FACE denotes Committee Amendments. 1
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	4309	+
2486	4310		may fix a record date, which record date shall not p recede the date
2487	4311		upon which the resolution fixing the record date is adopted, and
2488	4312		which record date shall be not more than sixty (60) days prior to
2489	4313		such action. If no record date is fixed , the record date for
2490	4314		determining shareholders for any such purpose s hall be at the close
2491	4315		of business on the day on which the board of directors adopts the
2492	4316		resolution relating thereto.
2493		-
2494		-
2495		-	ENR. S. B. NO. 620 Page 58
2496	4317		SECTION 26. AMENDATORY 18 O.S. 2021, Section 1 064, is
2497	4318		amended to read as follows:
2498		-
2499	4319		Section 1064.
2500		-
2501	4320		LIST OF SHAREHOLDERS ENTITLED TO VOTE; PENALTY FOR REFUSAL TO
2502	4321		PRODUCE STOCK LEDGER
2503		-
2504	4322		A. The corporation shall prepare , at least ten (10) days no
2505	4323		later than the tenth day before every each meeting of shareholders,
2506	4324		a complete list of the shareholders entitled to vote at the meeting;
2507	4325		provided, however, if the record date for determining the
2508	4326		shareholders entitled to vote is less than ten (10) days before the
2509	4327		meeting date, the list shall reflect the shareholders entitled to
2510	4328		vote as of the tenth day before the meeting date, arranged in
2511	4329		alphabetical order, and showing the address of each shareholder and
2512	4330		the number of shares regi stered in the name of each shareholder.
2513	4331		Nothing contained in this section shall require the corporation to
2514	4332		include electronic mail addresses or other electronic contact
2515	4333		information on the list. The list shall be open to the examination
	4334	+
	4335	+	SB620 HFLR Page 85
	4336	+	BOLD FACE denotes Committee Amendments. 1
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	4360	+
2516	4361		of any shareholder, for any purpose germane to the meeting for a
2517	4362		period of at least ten (10) days prior to ending on the day before
2518	4363		the meeting date:
2519		-
2520	4364		1. On a reasonably accessible electronic netwo rk; provided,
2521	4365		that the information required to gain access to the list is pro vided
2522	4366		with the notice of the meeting; or
2523		-
2524	4367		2. During ordinary business hours, at the princi pal place of
2525	4368		business of the corporation. In the event that the corporation
2526	4369		determines to make the list available on an electronic network, the
2527	4370		corporation may take reasonable steps to ensure that the information
2528	4371		is available only to shareholders of the c orporation. If the
2529	4372		meeting is to be held at a place, then the list shall also be
2530	4373		produced and kept at the time and place of the meeting during the
2531	4374		whole time thereof and may be inspected by any shareholder who is
2532	4375		present. If the meeting is to be held sol ely by means of remote
2533	4376		communication, then the list shall also be open to the examination
2534	4377		of any shareholder during the whole time of the meeting on a
2535	4378		reasonably accessible electronic network, and the information
2536	4379		required to access the list shall be provid ed with the notice of the
2537	4380		meeting.
2538		-
2539		-	ENR. S. B. NO. 620 Page 59
2540		-
2541	4381		B. Upon the willful neglect or refusal of the directo rs to
2542	4382		produce such a list at any meeting for the election of directors
2543	4383		held at a place, or to open such a list to examination on a
2544	4384		reasonably accessible electronic net work during any meeting for the
	4385	+
	4386	+	SB620 HFLR Page 86
	4387	+	BOLD FACE denotes Committee Amendments. 1
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	4411	+
2545	4412		election of directors held solely by means of remote comm unication,
2546	4413		they shall be ineligible for election to any office at the meeting
2547	4414		If the corporation or an officer or agent of the corporation refuses
2548	4415		to permit examinatio n of the list by a shareholder, such shareholder
2549	4416		may apply to the district court for an o rder to compel the
2550	4417		corporation to permit such examination. The burden of pro of shall
2551	4418		be on the corporation to establish that the examination the
2552	4419		shareholder seeks is for a purpose not germane to the meeting. The
2553	4420		court may summarily order the corporation to permit examination of
2554	4421		the list upon such conditions as the court may deem appropriate and
2555	4422		may make such additional orders as may be appropriate including but
2556	4423		not limited to postponing the meeting or voiding the results of the
2557	4424		meeting.
2558		-
2559	4425		C. For the purposes of the Oklahoma General Corporation Act,
2560	4426		“stock ledger” means one or more records administered by or on
2561	4427		behalf of the corporation in which the names of all the
2562	4428		corporation’s shareholders of record, the address and number of
2563	4429		shares registered in the name of each such shareholder and all
2564	4430		issuances and transfers of stock of the cor poration are recorded in
2565	4431		accordance with Section 1069 of this title. The stock ledger sha ll
2566	4432		be the only evidence as to who are the shareholders entitled by this
2567	4433		section to examine the list required by this section or to vote in
2568	4434		person or by proxy at any m eeting of shareholders.
2569	4435
	4436	+	SB620 HFLR Page 87
	4437	+	BOLD FACE denotes Committee Amendments. 1
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	4461	+
2570	4462		SECTION 27. AMENDATORY 18 O.S. 2021, Section 1067, is
2571	4463		amended to read as follows:
2572		-
2573	4464		Section 1067.
2574		-
2575	4465		NOTICE OF MEETINGS AND ADJOURNED MEETINGS
2576		-
2577	4466		A. Whenever shareholders are required or permitted to take any
2578	4467		action at a meeting, a written notice of the meeting shall be given
2579	4468		which in accordance with Se ction 1075.2 of this title. The notice
2580	4469		shall state the place, if any, date and hour of the meeting, the
2581	4470		means of remote communications, if any, by which shareholders a nd
2582		-
2583		-	ENR. S. B. NO. 620 Page 60
2584	4471		proxyholders may be deemed to be present in person and vote at the
2585	4472		meetings, the record date for determining the shareholders entitled
2586	4473		to vote at the meeting, if such date is different from the record
2587	4474		date for determining shareholders entitled to notice of the meeting
2588	4475		and, in the case of a special meeting, the purpose or purposes for
2589	4476		which the meeting is called.
2590		-
2591	4477		B. Unless otherwise provided for in the Oklahoma General
2592	4478		Corporation Act, the written notice of an y meeting shall be given
2593	4479		not less than ten (1 0) nor more than sixty (60) days before the date
2594	4480		of the meeting to each shareholder enti tled to vote at such meeting
2595	4481		as of the record date for determining the shareholders entitled to
2596	4482		notice of the meeting. If mailed, notice is given when deposited in
2597	4483		the United States mail, postage prepaid, directed to the shareholder
2598	4484		at his or her address as it appears on the records of the
2599	4485		corporation. An affidavit of the secretary or an assistant
	4486	+
	4487	+	SB620 HFLR Page 88
	4488	+	BOLD FACE denotes Committee Amendments. 1
	4489	+	2
	4490	+	3
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	4511	+	24
	4512	+
2600	4513		secretary or of the transfer agent or other agent of the corporation
2601	4514		that the notice has been given, in the absence of fraud, shall be
2602	4515		prima facie evidence of the facts stated therein.
2603		-
2604	4516		C. When Unless the bylaws otherwise require, when a meeting is
2605	4517		adjourned to another time or place, unless the bylaws otherwise
2606	4518		require including an adjournment taken to address a technical
2607	4519		failure to convene or continue a meeting using remote communication,
2608	4520		notice need not be given of the adjourned meeting if the time,
2609	4521		place, if any, thereof, and the means of remote communications, if
2610	4522		any, by which shareholders and proxyholders may be deemed t o be
2611	4523		present in person and vote at the adjourned meeting are announced:
2612		-
2613	4524		1. Announced at the meeting at which the adjournment is taken ;
2614		-
2615	4525		2. Displayed during the time sc heduled for the meeting on the
2616	4526		same electronic network used to enable shareholders and proxy
2617	4527		holders to participate in the meeting by means of remote
2618	4528		communication; or
2619		-
2620	4529		3. Set forth in the notice of meeting given in accordance with
2621	4530		subsection A of this section .
2622		-
2623	4531		At the adjourned meeting the corporation may transact any
2624	4532		business which might have been tra nsacted at the original meeting.
2625	4533		If the adjournment is for more than thirty (30) days, a notice of
2626		-
2627		-	ENR. S. B. NO. 620 Page 61
2628	4534		the adjourned meeting shall be given to each shareholder of record
2629	4535		entitled to vote at the meeting. If after the adjournment a new
2630	4536		record date for sharehol ders entitled to vote i s fixed for the
	4537	+
	4538	+	SB620 HFLR Page 89
	4539	+	BOLD FACE denotes Committee Amendments. 1
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	4562	+	24
	4563	+
2631	4564		adjourned meeting, the board of directors shall fix a new record
2632	4565		date for notice of such adjourned meeting in accordance with
2633	4566		subsection A of Section 1058 of this title, and shall give notice of
2634	4567		the adjourned meeting to each shareholder of record entitled to vote
2635	4568		at such adjourned meeting as of the record da te fixed for notice of
2636	4569		such adjourned meeting.
2637		-
2638	4570		SECTION 28. AMENDATORY 18 O.S. 2021, Section 1073, is
2639	4571		amended to read as follows:
2640		-
2641	4572		Section 1073.
2642		-
2643	4573		CONSENT OF SHAREHOLDERS IN LIEU OF MEETING
2644		-
2645	4574		A. Unless otherwise provided for in the certificate of
2646	4575		incorporation, any action requi red by the provisions of the Oklahoma
2647	4576		General Corporation Act t o be taken at any annual or special meeting
2648	4577		of shareholders of a corporation or an y action which may be taken at
2649	4578		any annual or special meeting of shareholders, may be taken without
2650	4579		a meeting, without prior notice, and without a vote, if a consent or
2651	4580		consents in writing, setting forth the action so taken, shall be
2652	4581		signed by the holders o f outstanding stock having not less than the
2653	4582		minimum number of votes that would be necessary to authorize or ta ke
2654	4583		the action at a meeting at which all shares entitled to vote thereon
2655	4584		were present and voted and shall be delivered to t he corporation by
2656	4585		delivery to its registered office in this state, its principal place
2657	4586		of business, or an officer or agent of the corp oration having
2658	4587		custody of the book in which proceedings of meet ings of shareholders
	4588	+
	4589	+	SB620 HFLR Page 90
	4590	+	BOLD FACE denotes Committee Amendments. 1
	4591	+	2
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	4611	+	22
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	4613	+	24
	4614	+
2659	4615		are recorded. Delivery made to a corp oration’s registered office
2660	4616		shall be by hand or by certified or registered mail, return receipt
2661	4617		requested in the manner required by th is section.
2662		-
2663	4618		B. Unless otherwise provided for in the certificat e of
2664	4619		incorporation, any action required by the provisions of the Oklahoma
2665	4620		General Corporation Act to be taken at a meeting of the members of a
2666	4621		nonstock corporation, or any action which may be t aken at any
2667	4622		meeting of the members of a nonstock corporation, m ay be taken
2668	4623		without a meeting, without prior notice and without a vote, if a
2669	4624		consent or consents in writing, setting forth the action taken,
2670		-
2671		-	ENR. S. B. NO. 620 Page 62
2672	4625		shall be signed by members having not less than the minimum number
2673	4626		of votes that would be necessary to authorize or take such action at
2674	4627		a meeting at which all members having a right to vote thereon were
2675	4628		present and voted and shall be delivered to the corporation by
2676	4629		delivery to its registered office in this state, its principal place
2677	4630		of business, or an officer or agent of the corporation having
2678	4631		custody of the book in which proceedings of meetings of shareholders
2679	4632		are recorded. Delivery made to a corporation ’s registered office
2680	4633		shall be by hand or by certified or registered mail, return receipt
2681	4634		requested in the manner required by this section.
2682		-
2683	4635		C. 1. An electronic transmission c onsenting to an action to be
2684	4636		taken and transmitted by a shareholder, member or proxyholder, or by
2685	4637		a person or persons authorized to ac t for a shareholder, member or
2686	4638		proxyholder, shall be deemed to be written and signed for the
	4639	+
	4640	+	SB620 HFLR Page 91
	4641	+	BOLD FACE denotes Committee Amendments. 1
	4642	+	2
	4643	+	3
	4644	+	4
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	4646	+	6
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	4663	+	23
	4664	+	24
	4665	+
2687	4666		purposes of this section; pro vided that any electron ic transmission
2688	4667		sets forth or is delivered with information from which the
2689	4668		corporation can determine:
2690		-
2691	4669		a. that the electronic transmission was transmitted by
2692	4670		the shareholder, member or proxyholder or by a person
2693	4671		or persons authorized to act for the sharehol der,
2694	4672		member or proxyholder, and
2695		-
2696	4673		b. the date on which the shareholder, member or
2697	4674		proxyholder or authorized perso n or persons
2698	4675		transmitted the electronic transmission.
2699		-
2700	4676		2. A consent given by electronic transmission is delivered to
2701	4677		the corporation upon the ear liest of:
2702		-
2703	4678		a. when the consent enters an information processing
2704	4679		system, if any, designated by the corporation fo r
2705	4680		receiving consents, so long as the electronic
2706	4681		transmission is in a form capable of being processed
2707	4682		by that system and th e corporation is able t o retrieve
2708	4683		that electronic transmission,
2709		-
2710	4684		b. when a paper reproduction of the consent is delivered
2711	4685		to the corporation’s principal place of business or an
2712	4686		officer or agent of t he corporation having custody of
2713		-
2714		-	ENR. S. B. NO. 620 Page 63
2715	4687		the book in which proceedi ngs of meetings of
2716	4688		stockholders or members are recorded,
	4689	+
	4690	+	SB620 HFLR Page 92
	4691	+	BOLD FACE denotes Committee Amendments. 1
	4692	+	2
	4693	+	3
	4694	+	4
	4695	+	5
	4696	+	6
	4697	+	7
	4698	+	8
	4699	+	9
	4700	+	10
	4701	+	11
	4702	+	12
	4703	+	13
	4704	+	14
	4705	+	15
	4706	+	16
	4707	+	17
	4708	+	18
	4709	+	19
	4710	+	20
	4711	+	21
	4712	+	22
	4713	+	23
	4714	+	24
2717	4715
2718	4716		c. when a paper reproduction of the consent is delivered
2719	4717		to the corporation’s registered office in this state
2720	4718		by hand or by certified or reg istered mail, return
2721	4719		receipt requested, or
2722		-
2723	4720		d. when delivered in such other manner, if any, provided
2724	4721		by resolution of the board of directors or governing
2725	4722		body of the corporation.
2726		-
2727	4723		Whether the corporation has so designated an information processing
2728	4724		system to receive consents is determined by the certificate of
2729	4725		incorporation, the bylaws or from the context and surrounding
2730	4726		circumstances including the conduct of the corporation. A consent
2731	4727		given by electronic transmission is delivered under this section
2732	4728		even if no person is aware of its receipt. Receipt of an electronic
2733	4729		acknowledgement from a n information processing system establishes
2734	4730		that a consent given by electronic transmission was received but, b y
2735	4731		itself, does not establish that the content sent corresponds to the
2736	4732		content received.
2737		-
2738	4733		3. Any copy, facsimile or other r eliable reproduction of a
2739	4734		consent in writing may be substituted or used in lieu of the
2740	4735		original writing for any and all purposes for w hich the original
2741	4736		writing could be used; provided that the copy , facsimile or other
2742	4737		reliable reproduction shall be a compl ete reproduction of the entire
2743	4738		original writing.
	4739	+
	4740	+	SB620 HFLR Page 93
	4741	+	BOLD FACE denotes Committee Amendments. 1
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	4756	+	16
	4757	+	17
	4758	+	18
	4759	+	19
	4760	+	20
	4761	+	21
	4762	+	22
	4763	+	23
	4764	+	24
2744	4765
2745	4766		D. A consent must be set forth in wri ting or in an electronic
2746	4767		transmission. No written consent shall be effective to take the
2747	4768		corporate action ref erred to therein unless written consents consent
2748	4769		signed by a sufficient number of holder s or members to take action
2749	4770		are is delivered to the corporation in the manner requ ired by this
2750	4771		section within sixty (60) days of the first date on which a written
2751	4772		consent is so delivered to the corporation. Any person executing a
2752	4773		consent may provide, whether through instruction to an agent or
2753	4774		otherwise, that such a consent will be effe ctive at a future time
2754	4775		including a time determined upon the happening of an event, no later
2755	4776		than sixty (60) days after such instruction is given or such
2756	4777		provision is made if evidence of such instruction or provision is
2757		-
2758		-	ENR. S. B. NO. 620 Page 64
2759	4778		provided to the corporation. If the person is not a shareholder or
2760	4779		member of record when the consent is executed, the con sent shall not
2761	4780		be valid unless the person is a shareholder or member of record as
2762	4781		of the record date for determining shareholders or members entitled
2763	4782		to consent to the action. Unless otherwise provided, any such
2764	4783		consent shall be revocable prior to its beco ming effective. All
2765	4784		references to a “consent” in this section mean a consent permitted
2766	4785		by this section.
2767		-
2768	4786		D. A consent permitted by this section shall be delivered:
2769		-
2770	4787		1. To the principal place of busine ss of the corporation ;
	4788	+
	4789	+	SB620 HFLR Page 94
	4790	+	BOLD FACE denotes Committee Amendments. 1
	4791	+	2
	4792	+	3
	4793	+	4
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	4795	+	6
	4796	+	7
	4797	+	8
	4798	+	9
	4799	+	10
	4800	+	11
	4801	+	12
	4802	+	13
	4803	+	14
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2771	4814
2772	4815		2. To an officer or agent of th e corporation who has custody of
2773	4816		the book in which proceedings of meetings of shareholders or members
2774	4817		are recorded;
2775		-
2776	4818		3. To the registered office of the corporation in this state in
2777	4819		person or by certifi ed or registered mail, return receipt requested ;
2778	4820		or
2779		-
2780	4821		4. In accordance with Section 1014.3 of this title to an
2781	4822		information processing system, if any, designated by the corporation
2782	4823		for receiving such consents. Consent delivered un der this paragraph
2783	4824		shall set forth or be delivered with information that enables t he
2784	4825		corporation to determine the date of delivery of such consent and
2785	4826		the identity of the person giving such consent. If such consent is
2786	4827		given by a person authorized to act for a shareholder or memb er as
2787	4828		proxy, such consent shall comply with the applicable provisions of
2788	4829		paragraphs 2 and 3 of subsection C of Section 1075.2 of this title.
2789		-
2790	4830		Any copy, facsimile, or other reliable reproduction of a consent
2791	4831		in writing may be su bstituted or used in lieu of the original
2792	4832		writing for any purpose s for which the origin al writing could be
2793	4833		used, provided that the copy, facsimile, or other reliable
2794	4834		reproduction shall be a complete reproduction of the entire original
2795	4835		writing. A consent may be documented and signed in accordance with
2796	4836		Section 1014.3 of this title, and when so documented and signed
2797	4837		shall be deemed to be in writing for purposes of this title. If
2798	4838		such consent is delivered under paragraph 1, 2, or 3 of this
	4839	+
	4840	+	SB620 HFLR Page 95
	4841	+	BOLD FACE denotes Committee Amendments. 1
	4842	+	2
	4843	+	3
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	4860	+	20
	4861	+	21
	4862	+	22
	4863	+	23
	4864	+	24
	4865	+
2799	4866		subsection, such consent must be reproduced and delivered in paper
2800	4867		form.
2801		-
2802		-	ENR. S. B. NO. 620 Page 65
2803		-
2804	4868		E. Prompt notice of the takin g of the corporate action without
2805	4869		a meeting by less than unanimous written consent shall be given to
2806	4870		those shareholders or members, as the case may be, who have not
2807	4871		consented in writing and who, if the action had been taken at a
2808	4872		meeting, would have been en titled to notice of the meeting if the
2809	4873		record date for notice of the meeting had been the da te that written
2810	4874		consents signed by a sufficient number of shareholders or members to
2811	4875		take the action were delivered to the corporation as provided in
2812	4876		this section. In the event that the action for which consent is
2813	4877		given is an action that would have requir ed the filing of a
2814	4878		certificate under any other section of this title if the action had
2815	4879		been voted on by shareholders or by members at a meeting thereof the
2816	4880		certificate filed under the other section shall state, in lieu of
2817	4881		any statement required by the sect ion concerning any vote of
2818	4882		shareholders or members, that written consent has been given in
2819	4883		accordance with the provisions of this section.
2820		-
2821	4884		SECTION 29. AMENDATORY 18 O.S. 2021, Section 1075.2, is
2822	4885		amended to read as follows:
2823		-
2824	4886		Section 1075.2.
2825		-
2826	4887		ELECTRONIC NOTICE; EFFECTIVENESS; REVOCATION OF CONSENT
2827		-
2828	4888		A. Without limiting the manner of which notice otherwise may be
2829	4889		given effectively to shareholders, any notice to shareholders given
	4890	+
	4891	+	SB620 HFLR Page 96
	4892	+	BOLD FACE denotes Committee Amendments. 1
	4893	+	2
	4894	+	3
	4895	+	4
	4896	+	5
	4897	+	6
	4898	+	7
	4899	+	8
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	4901	+	10
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	4916	+
2830	4917		by the corporation under any provision of the Oklahoma Gene ral
2831	4918		Corporation Act, the certificate of incorporation, or the bylaws
2832	4919		shall be effective if given by a form of electronic transmission
2833	4920		consented to by the shareholder to whom the notice is given. The
2834	4921		consent shall be revocable by the shareholder by written notice to
2835	4922		the corporation. The consent shall be deemed revoked if:
2836		-
2837	4923		1. The corporation is unable to deliver by electronic
2838	4924		transmission two consecutive notices given b y the corporation in
2839	4925		accordance with the consent; and
2840		-
2841	4926		2. The inability becomes known to the secretary or an assistant
2842	4927		secretary of the corporation or to the transfer ag ent, or other
2843	4928		person responsible for the giving of notice; provided, however, the
2844	4929		inadvertent failure to treat the inability as a revocation shall not
2845		-
2846		-	ENR. S. B. NO. 620 Page 66
2847	4930		invalidate any meeting o r other action may be given in writing
2848	4931		directed to the shareholder ’s mailing address or by electronic
2849	4932		transmission directed to the shareholder ’s electronic mail address,
2850	4933		as applicable, as it appears on the records of the corporation, and
2851	4934		shall be given:
2852		-
2853	4935		1. If mailed, when the notice is deposited with the United
2854	4936		States Postal Service, postage prepaid;
2855		-
2856	4937		2. If delivered by courier service, the earlier of when the
2857	4938		notice is received or left at the shareholder’s address; or
2858		-
2859	4939		3. If given by electronic mail, when directed to such
2860	4940		shareholder’s electronic mail address unless the shareholder has
	4941	+
	4942	+	SB620 HFLR Page 97
	4943	+	BOLD FACE denotes Committee Amendments. 1
	4944	+	2
	4945	+	3
	4946	+	4
	4947	+	5
	4948	+	6
	4949	+	7
	4950	+	8
	4951	+	9
	4952	+	10
	4953	+	11
	4954	+	12
	4955	+	13
	4956	+	14
	4957	+	15
	4958	+	16
	4959	+	17
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	4962	+	20
	4963	+	21
	4964	+	22
	4965	+	23
	4966	+	24
	4967	+
2861	4968		notified the corporation in writing or by electronic transmission of
2862	4969		an objection to receiving notice by electronic mail, or if such
2863	4970		notice is prohibited by subsection E of this section. A notice by
2864	4971		electronic mail must include a prominent legend that the
2865	4972		communication is an important notice regarding the corporation.
2866		-
2867	4973		B. Without limiting the manner by which notice otherwise may be
2868	4974		given effectively to shareholders, but subj ect to subsection E of
2869	4975		this section, any notice to shareholders given by the corp oration
2870	4976		under any provision of this title, the certi ficate of incorporation,
2871	4977		or the bylaws shall be effective if given by a form of electronic
2872	4978		transmission consented to by the shareholder to whom the notice is
2873	4979		given. Any such consent shall be revocable by the shareholder by
2874	4980		written notice or electronic transmission to the corporation. A
2875	4981		corporation may give a notice by electronic mail in accordance with
2876	4982		subsection A of this s ection without obtaining the consent required
2877	4983		by this subsection.
2878		-
2879	4984		C. Notice given pursuant to subsection A of this section shall
2880	4985		be deemed given if by:
2881		-
2882	4986		1. Facsimile telecommunication, when directed to a number at
2883	4987		which the shareholder has consented to receive notice;
2884		-
2885	4988		2. Electronic mail, when directed to an electronic mail address
2886	4989		at which the shareholder h as consented to receive no tice;
2887	4990
2888		-
2889		-	ENR. S. B. NO. 620 Page 67
	4991	+	SB620 HFLR Page 98
	4992	+	BOLD FACE denotes Committee Amendments. 1
	4993	+	2
	4994	+	3
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	4999	+	8
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	5011	+	20
	5012	+	21
	5013	+	22
	5014	+	23
	5015	+	24
	5016	+
2890	5017		3. A posting on an electronic network together with separate
2891	5018		notice to the shareholder of the specific posting, upon the later
2892	5019		of:
2893		-
2894	5020		a. the posting, and
2895		-
2896	5021		b. the giving of the separate notice; and
2897		-
2898	5022		4. 3. Any other form of electr onic transmission, when dire cted
2899	5023		to the shareholder in accordance with the shareholder’s consent.
2900		-
2901	5024		An affidavit of the secretary or an assistant secretary or of
2902	5025		the transfer agent or other agent of the corporation that the notice
2903	5026		has been given by a form of electronic transmission sha ll, in the
2904	5027		absence of fraud, be pr ima facie evidence of the facts stated
2905	5028		therein.
2906		-
2907	5029		C. D. Notwithstanding the provisions of this section, a notice
2908	5030		may not be given by an electronic transmission from and after the
2909	5031		time that:
2910		-
2911	5032		1. The corporation is unable to deliver by electron ic
2912	5033		transmission two consecutive notices given by the corporation; and
2913		-
2914	5034		2. The inability becomes known to the secretary or assistant
2915	5035		secretary of the corporation or to the transfer agent, or other
2916	5036		person responsible for the giving of notice; provide d, however, the
2917	5037		inadvertent failure to discover such inability shall not invalidate
2918	5038		any meeting or other action .
2919		-
2920	5039		E. An affidavit of the secretary or an assistant secretary or
2921	5040		of the transfer agent or other agent of t he corporation that th e
	5041	+
	5042	+	SB620 HFLR Page 99
	5043	+	BOLD FACE denotes Committee Amendments. 1
	5044	+	2
	5045	+	3
	5046	+	4
	5047	+	5
	5048	+	6
	5049	+	7
	5050	+	8
	5051	+	9
	5052	+	10
	5053	+	11
	5054	+	12
	5055	+	13
	5056	+	14
	5057	+	15
	5058	+	16
	5059	+	17
	5060	+	18
	5061	+	19
	5062	+	20
	5063	+	21
	5064	+	22
	5065	+	23
	5066	+	24
	5067	+
2922	5068		notice has been given by a form of ele ctronic transmission shall, in
2923	5069		the absence of fraud, be prima facie evidence of the fa cts stated
2924	5070		therein.
2925		-
2926	5071		F. For purposes of the Oklahoma General Corporation Act ,
2927	5072		“electronic transmission”:
2928		-
2929	5073		1. “Electronic mail” means an electronic transmission directed
2930	5074		to a unique electronic mail address. Electronic mail shall be
2931	5075		deemed to include any files attached thereto and any information
2932		-
2933		-	ENR. S. B. NO. 620 Page 68
2934	5076		hyperlinked to a website if such electronic mail includes the
2935	5077		contact information of an officer or agent of the corporation who i s
2936	5078		available to assist with accessing such files and information;
2937		-
2938	5079		2. “Electronic mail address” means a destination, commonly
2939	5080		expressed as a string of characters, consisting of a unique user
2940	5081		name or mailbox, commonly referred to as the local part of the
2941	5082		address, and a reference to an internet domain, commonly referred to
2942	5083		as the domain part of the address, whether or not displayed, to
2943	5084		which electronic mail can be sent or delivered; and
2944		-
2945	5085		3. “Electronic transmission” means any form of communication,
2946	5086		not directly involving the physical transmission of paper including
2947	5087		the use of, or participation in, one or more electronic networks or
2948	5088		databases including one or more distributed electronic networks or
2949	5089		databases, that creates a record that may be retained, retrieved and
2950	5090		reviewed by a recipient thereof, and that may be directly reproduced
2951	5091		in paper form by such a recipient through an automated process.
2952	5092
	5093	+	SB620 HFLR Page 100
	5094	+	BOLD FACE denotes Committee Amendments. 1
	5095	+	2
	5096	+	3
	5097	+	4
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	5118	+
2953	5119		D. This G. No provision of this section, except for paragraph
2954	5120		1 of subsection A or p aragraphs 1 and 2 of subsection D of this
2955	5121		section, shall not apply to Sections 1045, or 1111, 1119, or 1123 of
2956	5122		this title.
2957		-
2958	5123		SECTION 30. AMENDATORY 18 O.S. 2021, Section 1081, is
2959	5124		amended to read as follows:
2960		-
2961	5125		Section 1081.
2962		-
2963	5126		MERGER OR CONSOLIDATION OF DOMESTIC CORPORATIONS
2964		-
2965	5127		A. Any two or more domestic corporations may merge into a
2966	5128		single surviving corporation, which may be any one of the
2967	5129		constituent corporations or may consolidate into a new resulting
2968	5130		corporation formed by t he consolidation, pursuant to an agreement of
2969	5131		merger or consolidation, as the case may be, complying and approved
2970	5132		in accordance with the provisions of this section.
2971		-
2972	5133		B. The board of directors of e ach corporation which desires to
2973	5134		merge or consolidate shall adopt a resolution approving an agreement
2974	5135		of merger or consolidation and declaring its advisability. The
2975	5136		agreement shall state:
2976		-
2977		-	ENR. S. B. NO. 620 Page 69
2978		-
2979	5137		1. The terms and conditions of the merger or consolidation;
2980		-
2981	5138		2. The mode of carrying the same into effect;
2982		-
2983	5139		3. In the case of a merger, the amendments or changes in the
2984	5140		certificate of incorporation of the surviving corporation as are
2985	5141		desired to be effected by the merger, which amendments or changes
2986	5142		may amend and restate the certificate of incorporation of the
	5143	+
	5144	+	SB620 HFLR Page 101
	5145	+	BOLD FACE denotes Committee Amendments. 1
	5146	+	2
	5147	+	3
	5148	+	4
	5149	+	5
	5150	+	6
	5151	+	7
	5152	+	8
	5153	+	9
	5154	+	10
	5155	+	11
	5156	+	12
	5157	+	13
	5158	+	14
	5159	+	15
	5160	+	16
	5161	+	17
	5162	+	18
	5163	+	19
	5164	+	20
	5165	+	21
	5166	+	22
	5167	+	23
	5168	+	24
	5169	+
2987	5170		surviving corporatio n in its entirety, or, if no amendments or
2988	5171		changes are desired, a statement that the certificate of
2989	5172		incorporation of the surviving corporation shall be its certificate
2990	5173		of incorporation of the surv iving or resulting corporation;
2991		-
2992	5174		4. In the case of a consoli dation, that the certificate of
2993	5175		incorporation of the resulting corporation shall be as is set forth
2994	5176		in an attachment to the agreement;
2995		-
2996	5177		5. The manner, if any, of converting the shares of each of t he
2997	5178		constituent corporations into shares or other securities of the
2998	5179		corporation surviving or resulting from the merger or consolidation,
2999	5180		or of canceling some or all of the shares, and, if any shares of any
3000	5181		of the constituent corporations are not to remain o utstanding, to be
3001	5182		converted solely into shares or other secu rities of the surviving or
3002	5183		resulting corporation or to be canceled, the cash, property, rights,
3003	5184		or securities of any other corporation or entity which the holders
3004	5185		of the shares are to receive in e xchange for or upon conversion of
3005	5186		the shares and the surrend er of any certificates evidencing them,
3006	5187		which cash, property, rights or securities of any other corporation
3007	5188		or entity may be in addition to or in lieu of shares or other
3008	5189		securities of the survivin g or resulting corporation; and
3009		-
3010	5190		6. Other details or provisi ons as are deemed desirable,
3011	5191		including without limiting the generality of the foregoing, a
3012	5192		provision for the payment of cash in lieu of the issuance or
3013	5193		recognition of fractional shares, rights or other securities of the
	5194	+
	5195	+	SB620 HFLR Page 102
	5196	+	BOLD FACE denotes Committee Amendments. 1
	5197	+	2
	5198	+	3
	5199	+	4
	5200	+	5
	5201	+	6
	5202	+	7
	5203	+	8
	5204	+	9
	5205	+	10
	5206	+	11
	5207	+	12
	5208	+	13
	5209	+	14
	5210	+	15
	5211	+	16
	5212	+	17
	5213	+	18
	5214	+	19
	5215	+	20
	5216	+	21
	5217	+	22
	5218	+	23
	5219	+	24
	5220	+
3014	5221		surviving or resulting corporation o r of any other corporation or
3015	5222		entity the shares, rights or other securities of which are to be
3016	5223		received in the merger or consolidation, or for any other
3017	5224		arrangement with respect thereto, consisten t with the provisions of
3018	5225		Section 1036 of this title. The ag reement so adopted shall be
3019	5226		executed and acknowledged in accordance with the provisions of
3020		-
3021		-	ENR. S. B. NO. 620 Page 70
3022	5227		Section 1007 of this title. Any of the terms of the agreement of
3023	5228		merger or consolidation may be made dep endent upon facts
3024	5229		ascertainable outside of the agreement; pr ovided, that the manner in
3025	5230		which these facts shall operate upon the terms of the agreement is
3026	5231		clearly and expressly set forth in the agreement of merger or
3027	5232		consolidation. The term “facts” as used in this paragraph includes,
3028	5233		but is not limited to, the occu rrence of any event including a
3029	5234		determination or action by any person or body including the
3030	5235		corporation.
3031		-
3032	5236		C. The agreement required by the provisions of subsection B of
3033	5237		this section shall be submi tted to the shareholders of each
3034	5238		constituent corporation at an annual or special meeting thereof for
3035	5239		the purpose of acting on the agreement. Due notice of the time,
3036	5240		place, and purpose of the meeting shall be mailed to each holder of
3037	5241		stock whether voting o r nonvoting, of the corporation at the address
3038	5242		which appears on the records of the corporation, at least twenty
3039	5243		(20) days before the date of the meeting. The notice shall contain
3040	5244		a copy of the agreement or a brief summary thereof; provided,
	5245	+
	5246	+	SB620 HFLR Page 103
	5247	+	BOLD FACE denotes Committee Amendments. 1
	5248	+	2
	5249	+	3
	5250	+	4
	5251	+	5
	5252	+	6
	5253	+	7
	5254	+	8
	5255	+	9
	5256	+	10
	5257	+	11
	5258	+	12
	5259	+	13
	5260	+	14
	5261	+	15
	5262	+	16
	5263	+	17
	5264	+	18
	5265	+	19
	5266	+	20
	5267	+	21
	5268	+	22
	5269	+	23
	5270	+	24
	5271	+
3041	5272		however, the notice shall be effective only with respect to mergers
3042	5273		or consolidations for which the notice of the shareholders meeting
3043	5274		to vote thereon has been mailed after November 1, 1988. At the
3044	5275		meeting the agreement shall be considered and a vote taken for its
3045	5276		adoption or rejection. If a majority of the outstanding stock o f
3046	5277		the corporation entitled to vote thereon shall be voted for the
3047	5278		adoption of the agreement, that fact shall be certified on the
3048	5279		agreement by the secretary or the assistant secretary of the
3049	5280		corporation; provided, that such certification on the agreement
3050	5281		shall not be required if a certificate of merger or consolidation is
3051	5282		filed in lieu of filing the agreement. If the agreement shall be so
3052	5283		adopted and certified by each constituent corporation, it sh all then
3053	5284		be filed and shall become effective in accordance w ith the
3054	5285		provisions of Section 1007 of this title. In lieu of filing an
3055	5286		agreement of merger or consolidation required by this section, the
3056	5287		surviving or resulting corporation may file a certificate of merger
3057	5288		or consolidation executed in accordance with the provisions of
3058	5289		Section 1007 of this title and which states:
3059		-
3060	5290		1. The name and state of incorporation of each of the
3061	5291		constituent corporations;
3062		-
3063		-
3064		-	ENR. S. B. NO. 620 Page 71
3065	5292		2. That an agreement of merger or consolidation has bee n
3066	5293		approved, adopted, executed and acknowledged by each of th e
3067	5294		constituent corporations in accordance with the provisions of this
3068	5295		section;
3069	5296
	5297	+	SB620 HFLR Page 104
	5298	+	BOLD FACE denotes Committee Amendments. 1
	5299	+	2
	5300	+	3
	5301	+	4
	5302	+	5
	5303	+	6
	5304	+	7
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	5309	+	12
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	5314	+	17
	5315	+	18
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	5317	+	20
	5318	+	21
	5319	+	22
	5320	+	23
	5321	+	24
	5322	+
3070	5323		3. The name of the surviving or resulting corporation;
3071		-
3072	5324		4. In the case of a merger, the amendments or changes in the
3073	5325		certificate of incorporation of the surviving corporation, w hich may
3074	5326		be amended and restated, that are desired to be effected by the
3075	5327		merger, which amendments or changes may amend and restate the
3076	5328		certificate of incorporation of the surviving corporation in its
3077	5329		entirety, or, if no amendments or changes are desired, a statement
3078	5330		that the certificate of incorporation of the surviving corporation
3079	5331		shall be its certificate of incorporation;
3080		-
3081	5332		5. In the case of a consolidation, that the certificate of
3082	5333		incorporation of the resulting corporation shall be as is set forth
3083	5334		in an attachment to the certificate;
3084		-
3085	5335		6. That the executed agreement of consolidation or merger is on
3086	5336		file at the principal place of business of the surviving or
3087	5337		resulting corporation, stating the addres s thereof; and
3088		-
3089	5338		7. That a copy of the agreement of consolida tion or merger will
3090	5339		be furnished by the surviving or resulting corporation, on request
3091	5340		and without cost, to any shareholder of any constituent corporation.
3092	5341		For purposes of Sections 1084 and 1086 of this title, the term
3093	5342		“shareholder” shall be deemed to inc lude “member”.
3094		-
3095	5343		D. Any agreement of merger or consolidation may contain a
3096	5344		provision that at any time prior to the time that the agreement, or
3097	5345		a certificate filed with the Secretary of State in lie u thereof,
3098	5346		becomes effective in accordance with Section 1007 of this title, the
	5347	+
	5348	+	SB620 HFLR Page 105
	5349	+	BOLD FACE denotes Committee Amendments. 1
	5350	+	2
	5351	+	3
	5352	+	4
	5353	+	5
	5354	+	6
	5355	+	7
	5356	+	8
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	5359	+	11
	5360	+	12
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	5364	+	16
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	5368	+	20
	5369	+	21
	5370	+	22
	5371	+	23
	5372	+	24
	5373	+
3099	5374		agreement may be terminated by the board of directors of any
3100	5375		constituent corporation notwithstanding approval of the agreement by
3101	5376		the shareholders of all or any of the constitu ent corporations;
3102	5377		provided, if the agreement of merger or co nsolidation is terminated
3103	5378		after the filing of the agreement, or a certificate filed with the
3104	5379		Secretary of State in lieu thereof, but before the agreement or
3105	5380		certificate has become effective, a cer tificate of termination of
3106	5381		merger or consolidation shall be filed in accordance with Section
3107		-
3108		-	ENR. S. B. NO. 620 Page 72
3109	5382		1007 of this title. Any agreement of merger or consolidation may
3110	5383		contain a provision that the boards of directors of the constituent
3111	5384		corporations may amend the ag reement at any time prior to the time
3112	5385		that the agreement, or a certificate filed with the Secretary of
3113	5386		State in lieu thereof, becomes effective in accordance with Section
3114	5387		1007 of this title; provided, that an amendment made subsequent to
3115	5388		the adoption of the agreement by the shareholders of any constituent
3116	5389		corporation shall not:
3117		-
3118	5390		1. Alter or change the amount or kind of shares, securities,
3119	5391		cash, property or rights to be received in exchange for or on
3120	5392		conversion of all or any of the shares of any class or ser ies
3121	5393		thereof of the constituent corporation;
3122		-
3123	5394		2. Alter or change any term of the certificate of incorporation
3124	5395		of the surviving corporation to be effected by the merger or
3125	5396		consolidation; or
	5397	+
	5398	+	SB620 HFLR Page 106
	5399	+	BOLD FACE denotes Committee Amendments. 1
	5400	+	2
	5401	+	3
	5402	+	4
	5403	+	5
	5404	+	6
	5405	+	7
	5406	+	8
	5407	+	9
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	5409	+	11
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	5418	+	20
	5419	+	21
	5420	+	22
	5421	+	23
	5422	+	24
3126	5423
3127	5424		3. Alter or change any of the terms and conditions of the
3128	5425		agreement if an alteration or change would adversely affect the
3129	5426		holders of any class or series thereof of the constituent
3130	5427		corporation.
3131		-
3132	5428		If the agreement of merger or consolidation is amended after the
3133	5429		filing of the agreement, or a certificate in lieu thereof, with t he
3134	5430		Secretary of State, but before the agreement or certifica te has
3135	5431		become effective, a certificate of amendment of merger or
3136	5432		consolidation shall be filed in accordance with Section 1007 of this
3137	5433		title.
3138		-
3139	5434		E. In the case of a merger, the certificate of incorpo ration of
3140	5435		the surviving corporation shall automatically be a mended to the
3141	5436		extent, if any, that changes in the certificate of incorporation are
3142	5437		set forth in the certificate of merger.
3143		-
3144	5438		F. Notwithstanding the requirements of subsection C of this
3145	5439		section, unless required by its certificate of incorporation, no
3146	5440		vote of shareholders of a constituent corporation surviving a merger
3147	5441		shall be necessary to authorize a merger if:
3148		-
3149	5442		1. The agreement of merger does not amend in any respect the
3150	5443		certificate of incorporatio n of the constituent corporation;
3151		-
3152		-	ENR. S. B. NO. 620 Page 73
3153		-
3154	5444		2. Each share of stock of the constituent corporation
3155	5445		outstanding immediately prior to the effective date of the merger is
3156	5446		to be an identical outstanding or treasury share of the surviving
3157	5447		corporation after the effective date of the merger; and
	5448	+
	5449	+	SB620 HFLR Page 107
	5450	+	BOLD FACE denotes Committee Amendments. 1
	5451	+	2
	5452	+	3
	5453	+	4
	5454	+	5
	5455	+	6
	5456	+	7
	5457	+	8
	5458	+	9
	5459	+	10
	5460	+	11
	5461	+	12
	5462	+	13
	5463	+	14
	5464	+	15
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	5466	+	17
	5467	+	18
	5468	+	19
	5469	+	20
	5470	+	21
	5471	+	22
	5472	+	23
	5473	+	24
3158	5474
3159	5475		3. Either no shares of common stock of the surviving
3160	5476		corporation and no shares, securities or obligations convertible
3161	5477		into such stock are to be issued or delivered under the plan of
3162	5478		merger, or the authorized unissued shares or the treasury shares of
3163	5479		common stock of the surviving corporation to be issued or delivered
3164	5480		under the plan of merger plus those initially issuable upon
3165	5481		conversion of any other shares, securities or obligations to be
3166	5482		issued or delivered under the plan do not exc eed twenty percent
3167	5483		(20%) of the shares of common stock of th e constituent corporation
3168	5484		outstanding immediately prior to the effective date of the merger.
3169	5485		No vote of shareholders of a constituent corporation shall be
3170	5486		necessary to authorize a merger or conso lidation if no shares of the
3171	5487		stock of the corporation shall have been issued prior to the
3172	5488		adoption by the board of directors of the resolution approving the
3173	5489		agreement of merger or consolidation. If an agreement of merger is
3174	5490		adopted by the constituent corp oration surviving the merger, by
3175	5491		action of its board of dire ctors and without any vote of its
3176	5492		shareholders pursuant to the provisions of this subsection, the
3177	5493		secretary or assistant secretary of that corporation shall certify
3178	5494		on the agreement that the agree ment has been adopted pursuant to the
3179	5495		provisions of this sub section and:
3180		-
3181	5496		a. if it has been adopted pursuant to paragraph 1 of this
3182	5497		subsection, that the conditions specified have been
3183	5498		satisfied, or
	5499	+
	5500	+	SB620 HFLR Page 108
	5501	+	BOLD FACE denotes Committee Amendments. 1
	5502	+	2
	5503	+	3
	5504	+	4
	5505	+	5
	5506	+	6
	5507	+	7
	5508	+	8
	5509	+	9
	5510	+	10
	5511	+	11
	5512	+	12
	5513	+	13
	5514	+	14
	5515	+	15
	5516	+	16
	5517	+	17
	5518	+	18
	5519	+	19
	5520	+	20
	5521	+	21
	5522	+	22
	5523	+	23
	5524	+	24
3184	5525
3185	5526		b. if it has been adopted pursuant to paragraph 2 of this
3186	5527		subsection, that no shares of stock of the corporation
3187	5528		were issued prior to the adoption by the board of
3188	5529		directors of the resolution approving the agreement of
3189	5530		merger or consolidation; provided, that such
3190	5531		certification on the agreement shall not be required
3191	5532		if a certificate of merger or consolidation is filed
3192	5533		in lieu of filing the agreement.
3193		-
3194		-
3195		-	ENR. S. B. NO. 620 Page 74
3196	5534		The agreement so adopted and certified shall then be filed and
3197	5535		shall become effective in accordance with the provisions of Section
3198	5536		1007 of this title. Filing shall cons titute a representation by the
3199	5537		person who executes the certi ficate that the facts stated in the
3200	5538		certificate remain true immediately prior to filing.
3201		-
3202	5539		G. 1. Notwithstanding the requirements of subsection C of this
3203	5540		section, unless expressly required by its certificate of
3204	5541		incorporation, no vote of shareholders of a c onstituent corporation
3205	5542		shall be necessary to authorize a merger with or into a single
3206	5543		direct or indirect wholly owned subsidiary of the constituent
3207	5544		corporation if:
3208		-
3209	5545		a. the constituent corporation a nd the direct or indirect
3210	5546		wholly owned subsidiary of the con stituent corporation
3211	5547		are the only constituent entities to the merger,
3212		-
3213	5548		b. each share or fraction of a share of the capital stock
3214	5549		of the constituent corporation outstanding immediately
	5550	+
	5551	+	SB620 HFLR Page 109
	5552	+	BOLD FACE denotes Committee Amendments. 1
	5553	+	2
	5554	+	3
	5555	+	4
	5556	+	5
	5557	+	6
	5558	+	7
	5559	+	8
	5560	+	9
	5561	+	10
	5562	+	11
	5563	+	12
	5564	+	13
	5565	+	14
	5566	+	15
	5567	+	16
	5568	+	17
	5569	+	18
	5570	+	19
	5571	+	20
	5572	+	21
	5573	+	22
	5574	+	23
	5575	+	24
	5576	+
3215	5577		before the effective time of the merger is converted
3216	5578		in the merger into a share or equal fraction of share
3217	5579		of capital stock of a holding company having the same
3218	5580		designations, rights, powers and preferences, and the
3219	5581		qualifications, limitations and restrictions thereof,
3220	5582		as the share of stock of the constituent corporation
3221	5583		being converted in the merger,
3222		-
3223	5584		c. the holding company and the constituent corporation
3224	5585		are domestic corporations and the direct or indirect
3225	5586		wholly owned subsidiary that is the other constituent
3226	5587		entity to the merger is a domestic corporation or
3227	5588		limited liability co mpany,
3228		-
3229	5589		d. the certificate of incorporation and bylaws of the
3230	5590		holding company immediately following the effective
3231	5591		time of the merger contain provisions identical to the
3232	5592		certificate of incorporation and bylaws of the
3233	5593		constituent corporation immediately befor e the
3234	5594		effective time of the merger, other than provisions,
3235	5595		if any, regarding the incorporator or incorporators,
3236	5596		the corporate name, the registered office and agent,
3237	5597		the initial board of directors and the initial
3238		-
3239		-	ENR. S. B. NO. 620 Page 75
3240	5598		subscribers of shares and provisions contain ed in any
3241	5599		amendment to the certificate of incorporation as were
3242	5600		necessary to effect a change, exchange,
	5601	+
	5602	+	SB620 HFLR Page 110
	5603	+	BOLD FACE denotes Committee Amendments. 1
	5604	+	2
	5605	+	3
	5606	+	4
	5607	+	5
	5608	+	6
	5609	+	7
	5610	+	8
	5611	+	9
	5612	+	10
	5613	+	11
	5614	+	12
	5615	+	13
	5616	+	14
	5617	+	15
	5618	+	16
	5619	+	17
	5620	+	18
	5621	+	19
	5622	+	20
	5623	+	21
	5624	+	22
	5625	+	23
	5626	+	24
	5627	+
3243	5628		reclassification, subdivision, combination or
3244	5629		cancellation of stock, if a change, exchange,
3245	5630		reclassification or cancellation has become effective,
3246		-
3247	5631		e. as a result of the merger, the constituent corporation
3248	5632		or its successor corporation becomes or remains a
3249	5633		direct or indirect wholly owned subsidiary of the
3250	5634		holding company,
3251		-
3252	5635		f. the directors of the co nstituent corporation become or
3253	5636		remain the directors of the holding company upon the
3254	5637		effective time of the merger,
3255		-
3256	5638		g. the organizational documents of the surviving entity
3257	5639		immediately following the effective time of the merger
3258	5640		contain provisions identical to the certificate of
3259	5641		incorporation of the constituent corpor ation
3260	5642		immediately before the effective time of the merger,
3261	5643		other than provisions, if any, regarding the
3262	5644		incorporator or incorporators, the corporate or entity
3263	5645		name, the registered office and agent , the initial
3264	5646		board of directors and the initial subscribers for
3265	5647		shares, references to members rather than
3266	5648		shareholders, references to interests, units or the
3267	5649		like rather than stock or shares, references to
3268	5650		managers, managing members or other members of th e
3269	5651		governing body rather than directors and such
	5652	+
	5653	+	SB620 HFLR Page 111
	5654	+	BOLD FACE denotes Committee Amendments. 1
	5655	+	2
	5656	+	3
	5657	+	4
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	5659	+	6
	5660	+	7
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	5665	+	12
	5666	+	13
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	5669	+	16
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	5671	+	18
	5672	+	19
	5673	+	20
	5674	+	21
	5675	+	22
	5676	+	23
	5677	+	24
	5678	+
3270	5679		provisions contained in any amendment to the
3271	5680		certificate of incorporation as were necessary to
3272	5681		effect a change, exchange, reclassification,
3273	5682		subdivision, combination or cancellation of stock, if
3274	5683		such change, exchange, reclassification, subdivision,
3275	5684		combination or cance llation has become effective;
3276	5685		provided, however, requiring that:
3277		-
3278	5686		(1) if the organizational documents of the surviving
3279	5687		entity do not contain the following provisions,
3280	5688		they shall be amended in the merger to c ontain
3281	5689		provisions requiring that:
3282		-
3283		-	ENR. S. B. NO. 620 Page 76
3284		-
3285	5690		(a) any act or transaction by or involving the
3286	5691		surviving entity, other than the election or
3287	5692		removal of directors or managers, managing
3288	5693		members or other members of the governing body of
3289	5694		the surviving entity, that requires if taken by
3290	5695		the constituent corporation immediately before
3291	5696		the effective time of the merger would require
3292	5697		for its adoption under the Oklahoma General
3293	5698		Corporation Act or its organizational documents
3294	5699		under the certificate of incorporation or bylaws
3295	5700		of the constituent corporation immediately before
3296	5701		the effective time of the merger the approval of
3297	5702		the shareholders or members of the surviving
	5703	+
	5704	+	SB620 HFLR Page 112
	5705	+	BOLD FACE denotes Committee Amendments. 1
	5706	+	2
	5707	+	3
	5708	+	4
	5709	+	5
	5710	+	6
	5711	+	7
	5712	+	8
	5713	+	9
	5714	+	10
	5715	+	11
	5716	+	12
	5717	+	13
	5718	+	14
	5719	+	15
	5720	+	16
	5721	+	17
	5722	+	18
	5723	+	19
	5724	+	20
	5725	+	21
	5726	+	22
	5727	+	23
	5728	+	24
	5729	+
3298	5730		entity of the constituent corporation, shall, by
3299	5731		specific reference to this subsection, require,
3300	5732		in addition to approval of the shareholders or
3301	5733		members of the surviving entity , the approval of
3302	5734		the shareholders of the holding company (or any
3303	5735		successor by merger), by the same vote as is
3304	5736		required by the Oklahoma General Corporation Act
3305	5737		and/or by the organizational documents of the
3306	5738		surviving entity under the certificate of
3307	5739		incorporation or bylaws of the constituent
3308	5740		corporation immediately before the effective time
3309	5741		of the merger; provided, however, that for
3310	5742		purposes of this subdivision division, any
3311	5743		surviving entity that is not a corporation shall
3312	5744		include in such amendment a requirement that the
3313	5745		approval of the shareh olders of the holding
3314	5746		company be obtained for any act or transact ion by
3315	5747		or involving the surviving entity, other than the
3316	5748		election or removal of directors or managers,
3317	5749		managing members or other members of the
3318	5750		governing body of the surviving entity, which
3319	5751		would require the approval of the shareholders of
3320	5752		the surviving entity if the surviving entity were
3321	5753		a corporation subject to the Oklahoma General
	5754	+
	5755	+	SB620 HFLR Page 113
	5756	+	BOLD FACE denotes Committee Amendments. 1
	5757	+	2
	5758	+	3
	5759	+	4
	5760	+	5
	5761	+	6
	5762	+	7
	5763	+	8
	5764	+	9
	5765	+	10
	5766	+	11
	5767	+	12
	5768	+	13
	5769	+	14
	5770	+	15
	5771	+	16
	5772	+	17
	5773	+	18
	5774	+	19
	5775	+	20
	5776	+	21
	5777	+	22
	5778	+	23
	5779	+	24
	5780	+
3322	5781		Corporation Act, (b) any amendment of the
3323	5782		organizational documents of a surviving entity
3324	5783		that is not a corporat ion, which amendment would,
3325	5784		if adopted by a corporation subject t o the
3326		-
3327		-	ENR. S. B. NO. 620 Page 77
3328	5785		Oklahoma General Corporation Act, be required to
3329	5786		be included in the certificate of incorporation
3330	5787		of such corporation, shall , by specific reference
3331	5788		to this subsection, require, in additi on, the
3332	5789		approval of the shareholders of the holding
3333	5790		company, or any successor by merger, by the same
3334	5791		vote as is required by the Oklahoma General
3335	5792		Corporation Act and/or by the organizational
3336	5793		documents of the surviving entity certificate of
3337	5794		incorporation or bylaws of the constituent
3338	5795		corporation immediately before the effe ctive time
3339	5796		of the merger, and
3340		-
3341	5797		(c) (2) the business and affairs of a surviving
3342	5798		entity that is not a corporation shall be managed
3343	5799		by or under the direction of a board of
3344	5800		directors, board of ma nagers or other governing
3345	5801		body consisting of individuals who are subject to
3346	5802		the same fiduciary duties applicable to, and who
3347	5803		are liable for breach of such duties to the same
	5804	+
	5805	+	SB620 HFLR Page 114
	5806	+	BOLD FACE denotes Committee Amendments. 1
	5807	+	2
	5808	+	3
	5809	+	4
	5810	+	5
	5811	+	6
	5812	+	7
	5813	+	8
	5814	+	9
	5815	+	10
	5816	+	11
	5817	+	12
	5818	+	13
	5819	+	14
	5820	+	15
	5821	+	16
	5822	+	17
	5823	+	18
	5824	+	19
	5825	+	20
	5826	+	21
	5827	+	22
	5828	+	23
	5829	+	24
	5830	+
3348	5831		extent as, directors of a corporation subject to
3349	5832		the Oklahoma General Corporation Act, and
3350		-
3351	5833		(2) the organizational documents of the surviving
3352	5834		entity may be amended in the merger:
3353		-
3354	5835		(a) to reduce the number of classes and shares
3355	5836		of capital stock or other equity interests
3356	5837		or units that the surviving entity is
3357	5838		authorized to issue, and
3358		-
3359	5839		(b) to eliminate any provision authorized by
3360	5840		subsection D of Section 102 7 of this title;
3361	5841		and
3362		-
3363	5842		h. the shareholders of the constituent corporation do not
3364	5843		recognize gain or loss for federal income tax purposes
3365	5844		as determined by the board of directors of the
3366	5845		constituent corporation.
3367		-
3368	5846		Neither division (1) of subparagraph g of paragrap h 1 of this
3369	5847		subsection nor any provision of a surviving entity’s organizational
3370		-
3371		-	ENR. S. B. NO. 620 Page 78
3372	5848		documents required by division (1) of subparagraph g of paragraph 1
3373	5849		of this subsection shall be deemed or const rued to require approval
3374	5850		of the shareholders of the holding compa ny to elect or remove
3375	5851		directors or managers, managing members or other members of the
3376	5852		governing body of the surviving entity.
3377		-
3378	5853		2. As used in this subsection, the term “holding company” means
3379	5854		a corporation which, from its incorporation until consummation of a
	5855	+
	5856	+	SB620 HFLR Page 115
	5857	+	BOLD FACE denotes Committee Amendments. 1
	5858	+	2
	5859	+	3
	5860	+	4
	5861	+	5
	5862	+	6
	5863	+	7
	5864	+	8
	5865	+	9
	5866	+	10
	5867	+	11
	5868	+	12
	5869	+	13
	5870	+	14
	5871	+	15
	5872	+	16
	5873	+	17
	5874	+	18
	5875	+	19
	5876	+	20
	5877	+	21
	5878	+	22
	5879	+	23
	5880	+	24
	5881	+
3380	5882		merger governed by this subsection, was at all times a direct or
3381	5883		indirect wholly owned subsidiary of the constituent corporation and
3382	5884		whose capital stock is issued in a merger.
3383		-
3384	5885		3. As used in this subsection, the term “organizational
3385	5886		documents” means, when used in reference to a corporation, the
3386	5887		certificate of incorporation of the corporation and, when used in
3387	5888		reference to a limited liability company, the articles of
3388	5889		organization and the ope rating agreement of the limited liability
3389	5890		company.
3390		-
3391	5891		4. From and after the effective time of a merger adopted by a
3392	5892		constituent corporation by action of its board of directors and
3393	5893		without any vote of shareholders pursuant to this subsection:
3394		-
3395	5894		a. to the extent the restriction of Section 1090.3 of
3396	5895		this title applied to the c onstituent corporation and
3397	5896		its shareholders at the effective time of the merger,
3398	5897		restrictions shall apply to the holding company and
3399	5898		its shareholders immediately after the effective time
3400	5899		of the merger as though it were the constituent
3401	5900		corporation, and all shareholders of stock of the
3402	5901		holding company acquired in the merger shall for
3403	5902		purposes of Section 1090.3 of this title be deemed to
3404	5903		have been acquired at the time that the shares of
3405	5904		stock of the constituent corporation converted in the
3406	5905		merger were acquired ; provided, that any shareholder
	5906	+
	5907	+	SB620 HFLR Page 116
	5908	+	BOLD FACE denotes Committee Amendments. 1
	5909	+	2
	5910	+	3
	5911	+	4
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	5913	+	6
	5914	+	7
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	5928	+	21
	5929	+	22
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	5931	+	24
	5932	+
3407	5933		who immediately before the effective time of the
3408	5934		merger was not an interested shareholder within the
3409	5935		meaning of Section 1090.3 of this title shall not
3410	5936		solely by reason of the merger become an interested
3411	5937		shareholder of the h olding company,
3412		-
3413		-
3414		-	ENR. S. B. NO. 620 Page 79
3415	5938		b. if the corporate name of the holding company
3416	5939		immediately following the effective time of the merger
3417	5940		is the same as the corporate name of the constituent
3418	5941		corporation immediately before the effective time of
3419	5942		the merger, the shares of capit al stock of the holding
3420	5943		company into which the shares of capital stock of the
3421	5944		constituent corporation are converted in the merger
3422	5945		shall be represented by the stock certificates that
3423	5946		previously represented the shares of capital stock of
3424	5947		the constituent corp oration, and
3425		-
3426	5948		c. to the extent a shareholder of the constituent
3427	5949		corporation immediately before the merger had standing
3428	5950		to institute or maintain derivative litigation on
3429	5951		behalf of the constitue nt corporation, nothing in this
3430	5952		section shall be deemed to limit or extinguish such
3431	5953		standing.
3432		-
3433	5954		5. If any agreement of merger is adopted by a constituent
3434	5955		corporation by action of its board of directors and without any vote
3435	5956		of shareholders pursuant to this s ubsection, the secretary or
	5957	+
	5958	+	SB620 HFLR Page 117
	5959	+	BOLD FACE denotes Committee Amendments. 1
	5960	+	2
	5961	+	3
	5962	+	4
	5963	+	5
	5964	+	6
	5965	+	7
	5966	+	8
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	5982	+	24
	5983	+
3436	5984		assistant secretary of the constituen t corporation shall certify on
3437	5985		the agreement that the agreement has been adopted pursuant to this
3438	5986		subsection and that the conditions specified in paragraph 1 of this
3439	5987		subsection have been sati sfied; provided, that such certification on
3440	5988		the agreement shall n ot be required if a certificate of merger or
3441	5989		consolidation is filed in lieu of filing the agreement. The
3442	5990		agreement so adopted and certified shall then be filed and become
3443	5991		effective in accordance with Section 1007 of this title. Filing
3444	5992		shall constitute a representation by the person who executes the
3445	5993		agreement that the facts stated in the certificate remain true
3446	5994		immediately before the filing.
3447		-
3448	5995		H. Notwithstanding the requirements of subsection C of this
3449	5996		section, unless expressly required by its certificate o f
3450	5997		incorporation, no vote of shareholders of a constituent corporation
3451	5998		that has a class or series of stock that is listed on a national
3452	5999		securities exchange or held of record by more than two t housand
3453	6000		holders immediately prior to the execution of the agreeme nt of
3454	6001		merger by such constituent corporation shall be necessary to
3455	6002		authorize a merger if:
3456		-
3457		-
3458		-	ENR. S. B. NO. 620 Page 80
3459	6003		1. The agreement of merger expressly (a) permits or requires
3460	6004		such merger to be effected under this s ubsection and (b) provides
3461	6005		that such merger shall be effected as soon as practicable following
3462	6006		the consummation of the offer referred to in paragraph 2 of this
3463	6007		subsection if such merger is effected under this subsection;
	6008	+
	6009	+	SB620 HFLR Page 118
	6010	+	BOLD FACE denotes Committee Amendments. 1
	6011	+	2
	6012	+	3
	6013	+	4
	6014	+	5
	6015	+	6
	6016	+	7
	6017	+	8
	6018	+	9
	6019	+	10
	6020	+	11
	6021	+	12
	6022	+	13
	6023	+	14
	6024	+	15
	6025	+	16
	6026	+	17
	6027	+	18
	6028	+	19
	6029	+	20
	6030	+	21
	6031	+	22
	6032	+	23
	6033	+	24
3464	6034
3465	6035		2. A corporation consummates an of fer for all of the
3466	6036		outstanding stock of such constituent corporat ion on the terms
3467	6037		provided in such agreement of merger that, absent this subsection,
3468	6038		would be entitled to vote on the adoption or rejection of the
3469	6039		agreement of merger; provided, however, that such offer may be
3470	6040		conditioned on the tender of a minimum number o r percentage of
3471	6041		shares of the stock of such constituent corporation, or of any class
3472	6042		or series thereof, and such offer may exclude any excluded stock;
3473	6043		and provided further, that the corporati on may consummate separate
3474	6044		offers for separate classes or series of the stock of such
3475	6045		constituent corporation;
3476		-
3477	6046		3. Immediately following the consummation of the offer referred
3478	6047		to in paragraph 2 of this subsection, the stock irrevocably accepted
3479	6048		for purchase or exchange pursuant to such offer and received by the
3480	6049		depository prior to expiration of such offer, together with the
3481	6050		stock otherwise owned by the consummating corporation or its
3482	6051		affiliates and any rollover stock, equals at least such percentage
3483	6052		of the shares of stock of such constituent corporation, and of each
3484	6053		class or series thereof, that, absent this subsection, would be
3485	6054		required to adopt the agreement of merger by this chapter and by the
3486	6055		certificate of incorporation of such constituent corporation;
3487		-
3488	6056		4. The corporation consummating the offer referred to in
3489	6057		paragraph 2 of this subsection merges with or into such constituent
3490	6058		corporation pursuant to such agreement;
	6059	+
	6060	+	SB620 HFLR Page 119
	6061	+	BOLD FACE denotes Committee Amendments. 1
	6062	+	2
	6063	+	3
	6064	+	4
	6065	+	5
	6066	+	6
	6067	+	7
	6068	+	8
	6069	+	9
	6070	+	10
	6071	+	11
	6072	+	12
	6073	+	13
	6074	+	14
	6075	+	15
	6076	+	16
	6077	+	17
	6078	+	18
	6079	+	19
	6080	+	20
	6081	+	21
	6082	+	22
	6083	+	23
	6084	+	24
3491	6085
3492	6086		5. Each outstanding share, other than shares of excluded stock,
3493	6087		of each class or series o f stock of the constituent corporation that
3494	6088		is the subject of and not irrevocably accepted for purchase or
3495	6089		exchange in the offer referred to in paragraph 2 of this subsection
3496	6090		is to be converted in such merger into, or into the right to
3497	6091		receive, the same am ount and kind of cash, property, rights or
3498	6092		securities paid for sh ares of such class or series of stock of such
3499	6093		constituent corporation irrevocably accepted for purchase or
3500	6094		exchange in such offer; and
3501		-
3502		-	ENR. S. B. NO. 620 Page 81
3503		-
3504	6095		6. As used in this subsection only, the term:
3505		-
3506	6096		a. “affiliate” means, in respect of the corporation
3507	6097		making the offer refer red to in paragraph 2 of this
3508	6098		subsection, any person that (1) owns, directly or
3509	6099		indirectly, all of the outstanding stock of such
3510	6100		corporation or (2) is a direct or indirect wholly
3511	6101		owned subsidiary of such corporation or of any person
3512	6102		referred to in proviso (1) of this subparagraph,
3513		-
3514	6103		b. “consummates”, and with correlative meaning,
3515	6104		“consummation” and “consummating”, means irrevocably
3516	6105		accepts for purchase or exchange stock tendered
3517	6106		pursuant to an offer,
3518		-
3519	6107		c. “depository” means an agent including a depository,
3520	6108		appointed to facilitate consummation of the offer
3521	6109		referred to in paragraph 2 of this subsection,
	6110	+
	6111	+	SB620 HFLR Page 120
	6112	+	BOLD FACE denotes Committee Amendments. 1
	6113	+	2
	6114	+	3
	6115	+	4
	6116	+	5
	6117	+	6
	6118	+	7
	6119	+	8
	6120	+	9
	6121	+	10
	6122	+	11
	6123	+	12
	6124	+	13
	6125	+	14
	6126	+	15
	6127	+	16
	6128	+	17
	6129	+	18
	6130	+	19
	6131	+	20
	6132	+	21
	6133	+	22
	6134	+	23
	6135	+	24
3522	6136
3523	6137		d. “excluded stock” means (1) stock of such constituent
3524	6138		corporation that is owned at the commencem ent of the
3525	6139		offer referred to in paragraph 2 of this subsection by
3526	6140		such constituent corporation, the corporation making
3527	6141		the offer referred to in paragraph 2 of this
3528	6142		subsection, any person that owns, directly or
3529	6143		indirectly, all of the outstanding stock of th e
3530	6144		corporation making such offer, or any direct or
3531	6145		indirect wholly owned subsidiary of any of the
3532	6146		foregoing and (2) rollover stock,
3533		-
3534	6147		e. “person” means any individual, corporation,
3535	6148		partnership, limited liability company, unincorporated
3536	6149		association or other en tity,
3537		-
3538	6150		f. “received” solely for purposes of paragraph 3 of this
3539	6151		subsection means (1) with respect to certificated
3540	6152		shares, physical receipt of a stock certificate
3541	6153		accompanied by an executed letter of transmittal, (2)
3542	6154		with respect to uncertificated shares hel d of record
3543	6155		by a clearing corporation as nominee, transfer into
3544	6156		the depository’s account by means of an agent’s
3545		-
3546		-	ENR. S. B. NO. 620 Page 82
3547	6157		message, and (3) with respect to uncertificated shares
3548	6158		held of record by a person other than a clearing
3549	6159		corporation as nominee, physical receipt of an
3550	6160		executed letter of transmittal by the depository;
	6161	+
	6162	+	SB620 HFLR Page 121
	6163	+	BOLD FACE denotes Committee Amendments. 1
	6164	+	2
	6165	+	3
	6166	+	4
	6167	+	5
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	6169	+	7
	6170	+	8
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	6174	+	12
	6175	+	13
	6176	+	14
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	6180	+	18
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	6182	+	20
	6183	+	21
	6184	+	22
	6185	+	23
	6186	+	24
	6187	+
3551	6188		provided, however, that shares shall cease to be
3552	6189		“received” (4) with respect to certificated shares, if
3553	6190		the certificate representing such shares was canceled
3554	6191		prior to consummation of the offer referr ed to in
3555	6192		paragraph 2 of this subsection, or (5) with respect to
3556	6193		uncertificated shares, to the extent such
3557	6194		uncertificated shares have been reduced or eliminated
3558	6195		due to any sale of such shares prior to consummation
3559	6196		of the offer referred to in paragraph 2 of this
3560	6197		subsection, and
3561		-
3562	6198		g. “rollover stock” means any shares of stoc k of such
3563	6199		constituent corporation that are the subject of a
3564	6200		written agreement requiring such shares to be
3565	6201		transferred, contributed or delivered to the
3566	6202		consummating corporation or any of its a ffiliates in
3567	6203		exchange for stock or other equity interests in such
3568	6204		consummating corporation or an affiliate thereof;
3569	6205		provided, however, that such shares of stock shall
3570	6206		cease to be rollover stock for purposes of paragraph 3
3571	6207		of this subsection if, immediately prior to the time
3572	6208		the merger becomes effective under this chapte r, such
3573	6209		shares have not been transferred, contributed or
3574	6210		delivered to the consummating corporation or any of
3575	6211		its affiliates pursuant to such written agreement.
3576	6212
	6213	+	SB620 HFLR Page 122
	6214	+	BOLD FACE denotes Committee Amendments. 1
	6215	+	2
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	6237	+	24
	6238	+
3577	6239		If an agreement of merger is ad opted without the vote of
3578	6240		shareholders of a corporation pursuant to this subsection, the
3579	6241		secretary or assistant secretary of the surviving corporation shall
3580	6242		certify on the agreement that the agreement has been adopted
3581	6243		pursuant to this subsection and that t he conditions specified in
3582	6244		this subsection, other than the condit ion listed in paragraph 4 of
3583	6245		this subsection, have been satisfied; provided, that such
3584	6246		certification on the agreement shall not be required if a
3585	6247		certificate of merger is filed in lieu of fili ng the agreement. The
3586	6248		agreement so adopted and certified shall t hen be filed and shall
3587	6249		become effective, in accordance with Section 1007 of this title.
3588	6250		Such filing shall constitute a representation by the person who
3589		-
3590		-	ENR. S. B. NO. 620 Page 83
3591	6251		executes the agreement that the facts stated in the certificate
3592	6252		remain true immediately prior to such f iling.
3593		-
3594	6253		SECTION 31. AMENDATORY 18 O.S. 2021, Section 1090.4, is
3595	6254		amended to read as follows:
3596		-
3597	6255		Section 1090.4.
3598		-
3599	6256		CONVERSION OF AN ENTITY TO A DOMESTIC CORPORATION
3600		-
3601	6257		A. As used in this section, the term “entity” means a domestic
3602	6258		or foreign partnership, whether ge neral or limited and including a
3603	6259		limited liability partnership and a limited liability limited
3604	6260		partnership, a foreign corporation including a public benefit
3605	6261		corporation, a domestic or foreign limited liability company
3606	6262		including a public benefit limited liability company, and any
	6263	+
	6264	+	SB620 HFLR Page 123
	6265	+	BOLD FACE denotes Committee Amendments. 1
	6266	+	2
	6267	+	3
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	6276	+	12
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	6280	+	16
	6281	+	17
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	6284	+	20
	6285	+	21
	6286	+	22
	6287	+	23
	6288	+	24
	6289	+
3607	6290		unincorporated nonprofit or for-profit association, trust or
3608	6291		enterprise having members or having outstanding shares of stock or
3609	6292		other evidences of finan cial, beneficial or membership interest
3610	6293		therein, whether formed by agreement or under statutory authority or
3611	6294		otherwise and whether formed or organized under the laws of this
3612	6295		state or the laws of any other jurisdiction.
3613		-
3614	6296		B. Any entity may convert to a domes tic corporation by
3615	6297		complying with subsection G of this section and filing in the office
3616	6298		of the Secretary of State a certificate of conversion that has been
3617	6299		executed in accordance with subsection H of this section and filed
3618	6300		in accordance with Section 1007 o f this title, to which shall be
3619	6301		attached, a certifica te of incorporation that ha s been prepared,
3620	6302		executed and acknowledged in accordance with Section 1007 of this
3621	6303		title. Each of the certificates required by this subsection shall
3622	6304		be filed simultaneously in the office of the Secretary of State.
3623		-
3624	6305		C. The certificate of conversion to a co rporation shall state:
3625		-
3626	6306		1. The date on which the entity was first formed;
3627		-
3628	6307		2. The name, jurisdiction of formation or organization, and
3629	6308		type of entity of the entity when formed and, if changed, its name,
3630	6309		jurisdiction and type of e ntity immediately before th e filing of the
3631	6310		certificate of conversion;
3632		-
3633		-
3634		-	ENR. S. B. NO. 620 Page 84
3635	6311		3. The name of the corporation as set forth in its certificate
3636	6312		of incorporation filed in accordance with subsection B of this
3637	6313		section; and
	6314	+
	6315	+	SB620 HFLR Page 124
	6316	+	BOLD FACE denotes Committee Amendments. 1
	6317	+	2
	6318	+	3
	6319	+	4
	6320	+	5
	6321	+	6
	6322	+	7
	6323	+	8
	6324	+	9
	6325	+	10
	6326	+	11
	6327	+	12
	6328	+	13
	6329	+	14
	6330	+	15
	6331	+	16
	6332	+	17
	6333	+	18
	6334	+	19
	6335	+	20
	6336	+	21
	6337	+	22
	6338	+	23
	6339	+	24
3638	6340
3639	6341		4. The future effective date or time, which s hall be a date or
3640	6342		time certain not later than ninety (90) days after the filing, of
3641	6343		the conversion to a corporation if the conversion is not to be
3642	6344		effective upon the filing of the certificate of conversi on and the
3643	6345		certificate of incorporation provides for the same future effective
3644	6346		date as authorized in subsection D of Section 1007 of this title.
3645		-
3646	6347		D. Upon the effective date or time of the certificate of
3647	6348		conversion and the certificate of incorporation, the entity shall be
3648	6349		converted to a domestic corporation a nd the corporation shall
3649	6350		thereafter be subject to all of the provisions of this title, except
3650	6351		that notwithstanding Section 1007 of this title, the existence of
3651	6352		the corporation shall be deemed to have com menced on the date the
3652	6353		entity commenced its existence .
3653		-
3654	6354		E. The conversion of any entity to a domestic corporation shall
3655	6355		not be deemed to affect any obligations or liabilities of the entity
3656	6356		incurred before its conversion to a domestic corporation or the
3657	6357		personal liability of any person incurred before such co nversion.
3658		-
3659	6358		F. When an entity has converted to a domestic corporation under
3660	6359		this section, the domestic corporation shall be deemed to be the
3661	6360		same entity as the converting entity. All of the rights, privi leges
3662	6361		and powers of the entity that has converted, an d all property, real,
3663	6362		personal and mixed, and all debts due to the entity, as well as all
3664	6363		other things and causes of action belonging to the entity, shall
3665	6364		remain vested in the domestic corporation to whi ch the entity has
	6365	+
	6366	+	SB620 HFLR Page 125
	6367	+	BOLD FACE denotes Committee Amendments. 1
	6368	+	2
	6369	+	3
	6370	+	4
	6371	+	5
	6372	+	6
	6373	+	7
	6374	+	8
	6375	+	9
	6376	+	10
	6377	+	11
	6378	+	12
	6379	+	13
	6380	+	14
	6381	+	15
	6382	+	16
	6383	+	17
	6384	+	18
	6385	+	19
	6386	+	20
	6387	+	21
	6388	+	22
	6389	+	23
	6390	+	24
	6391	+
3666	6392		converted and shall be the property of the domestic corporation and
3667	6393		the title to any real property vested by deed or otherwise in the
3668	6394		entity shall not revert or be in any way impaired by reason of the
3669	6395		conversion; but all rights of credito rs and all liens upon any
3670	6396		property of the entity shal l be preserved unimpaired, and all debts,
3671	6397		liabilities and duties of the entity that has converted shall remain
3672	6398		attached to the domestic corporation to which the entity has
3673	6399		converted, and may be enforced against it to the same extent as if
3674	6400		the debts, liabilities and duties had origin ally been incurred or
3675	6401		contracted by it in its capacity as a domestic corporation. The
3676	6402		rights, privileges, powers and interests in property of the entity,
3677		-
3678		-	ENR. S. B. NO. 620 Page 85
3679	6403		as well as the debts, liabilities and duties of the entity, shall
3680	6404		not be deemed, as a consequence of the conversion, to have been
3681	6405		transferred to the domestic corporation to which the entity has
3682	6406		converted for any purpose of the laws of this state.
3683		-
3684	6407		G. Unless otherwise agreed or otherwise provided by any laws of
3685	6408		this state applicable to the converting entit y, the converting
3686	6409		entity shall not be required to wind up its affairs or pay its
3687	6410		liabilities and distribute its assets, and the conversion shall not
3688	6411		be deemed to constitute a d issolution of such entity and shall
3689	6412		constitute a continuation of the existence o f the converting entity
3690	6413		in the form of a domestic corporation.
3691		-
3692	6414		H. Before filing the time a certificate of conversion with the
3693	6415		Secretary of State becomes effective in accordanc e with Section 1007
	6416	+
	6417	+	SB620 HFLR Page 126
	6418	+	BOLD FACE denotes Committee Amendments. 1
	6419	+	2
	6420	+	3
	6421	+	4
	6422	+	5
	6423	+	6
	6424	+	7
	6425	+	8
	6426	+	9
	6427	+	10
	6428	+	11
	6429	+	12
	6430	+	13
	6431	+	14
	6432	+	15
	6433	+	16
	6434	+	17
	6435	+	18
	6436	+	19
	6437	+	20
	6438	+	21
	6439	+	22
	6440	+	23
	6441	+	24
	6442	+
3694	6443		of this title, the conversion sha ll be approved in the manne r
3695	6444		provided for by the document, instrument, agreement or other
3696	6445		writing, as the case may be, governing the internal a ffairs of the
3697	6446		entity and the conduct of its business or by a pplicable law, as
3698	6447		appropriate, and a certificate of i ncorporation shall be appro ved by
3699	6448		the same authorization required to approve the conversion.
3700		-
3701	6449		I. The certificate of conversion to a corporation shall be
3702	6450		signed by an officer, director, trustee, manager, partner or other
3703	6451		person performing functions equivale nt to those of an officer o r
3704	6452		director of a domestic corporation, however named or described, and
3705	6453		who is authorized to sign the certificate of c onversion on behalf of
3706	6454		the entity.
3707		-
3708	6455		J. In a conversion of an entity to a domestic corporation under
3709	6456		this section, rights or securities of, or memberships or membership,
3710	6457		economic or ownership interests in, the entity which is to be
3711	6458		converted to a domestic c orporation may be exchanged for or
3712	6459		converted into cash, prop erty or shares of stock, rights or
3713	6460		securities of the domestic corporation or, in addition to or in lieu
3714	6461		thereof, may be exchanged for or converted into cash, property or
3715	6462		shares of stock, rights or securities of or interests in another
3716	6463		domestic corporation or entity or may be canceled.
3717		-
3718	6464		SECTION 32. AMENDATORY 18 O.S. 2021, Section 1090.5, is
3719	6465		amended to read as follows:
3720		-
3721		-
3722		-	ENR. S. B. NO. 620 Page 86
3723	6466		Section 1090.5.
3724	6467
	6468	+	SB620 HFLR Page 127
	6469	+	BOLD FACE denotes Committee Amendments. 1
	6470	+	2
	6471	+	3
	6472	+	4
	6473	+	5
	6474	+	6
	6475	+	7
	6476	+	8
	6477	+	9
	6478	+	10
	6479	+	11
	6480	+	12
	6481	+	13
	6482	+	14
	6483	+	15
	6484	+	16
	6485	+	17
	6486	+	18
	6487	+	19
	6488	+	20
	6489	+	21
	6490	+	22
	6491	+	23
	6492	+	24
	6493	+
3725	6494		CONVERSION OF DOMESTIC CORPORATION TO AN ENTITY
3726		-
3727	6495		A. A domestic corporation may, upon the authorization of such
3728	6496		conversion in accordance with this section, co nvert to an entity.
3729	6497		As used in this section, the term “entity” means a domestic or
3730	6498		foreign partnership, whether general or limited, and including a
3731	6499		limited liability partne rship and a limited liability limited
3732	6500		partnership, a foreign corporation including a public benefit
3733	6501		corporation, a domestic or foreign limited liability company
3734	6502		including a public benef it limited liability company, and any
3735	6503		unincorporated nonprofit or for -profit association, trust or
3736	6504		enterprise having members or having outstanding shares of stock or
3737	6505		other evidences of financial, beneficial or membership interest
3738	6506		therein, whether formed by agreement or under statutory authority or
3739	6507		otherwise and whether formed or organized under the laws of this
3740	6508		state or the laws of any other jurisdiction.
3741		-
3742	6509		B. The board of director s of the corporation which desires to
3743	6510		convert under this section shall adopt a resolution approving such
3744	6511		conversion, specifying the type of entity in to which the corporation
3745	6512		shall be converted and recommending the approval of the co nversion
3746	6513		by the shareholders of the corporation. The resolution shall be
3747	6514		submitted to the shareholder s of the corporation at an annual or
3748	6515		special meeting. Due notice of th e time, and purpose of the meeting
3749	6516		shall be mailed to each holder of shares, whethe r voting or
3750	6517		nonvoting, of the corporation at the address of the shareholder as
	6518	+
	6519	+	SB620 HFLR Page 128
	6520	+	BOLD FACE denotes Committee Amendments. 1
	6521	+	2
	6522	+	3
	6523	+	4
	6524	+	5
	6525	+	6
	6526	+	7
	6527	+	8
	6528	+	9
	6529	+	10
	6530	+	11
	6531	+	12
	6532	+	13
	6533	+	14
	6534	+	15
	6535	+	16
	6536	+	17
	6537	+	18
	6538	+	19
	6539	+	20
	6540	+	21
	6541	+	22
	6542	+	23
	6543	+	24
	6544	+
3751	6545		it appears on the recor ds of the corporation, at least twenty (20)
3752	6546		days prior to the date of t he meeting. At the meeting, the
3753	6547		resolution shall be considered and a vote taken fo r its adoption or
3754	6548		rejection. The corporation adopts the conversion if all outstanding
3755	6549		shares of stock of the corporation, whether voting or nonvoting, are
3756	6550		voted for the resolution If a majority of the outstanding shares of
3757	6551		stock of the corporation entitle d to vote shall vote for the
3758	6552		adoption of the resolution, the conversion shall be authorize d
3759	6553		provided that, if the corporation is converting to a partnership
3760	6554		having one or more gener al partners, then in addition to such
3761	6555		approval, authorization of the conversion shall require approval of
3762	6556		each shareholder of the corporation who will become a gener al
3763	6557		partner of such partnership as a re sult of the conversion .
3764		-
3765		-
3766		-	ENR. S. B. NO. 620 Page 87
3767	6558		C. If the corporation has converted in accordance with this
3768	6559		section and the governing act of the domestic entity to which the
3769	6560		corporation is converting does not provide for the filing of a
3770	6561		conversion notice with the Secretary of State or the corporation is
3771	6562		converting to a foreign entity, the corporatio n shall file with the
3772	6563		Secretary of State a certificate of conversion executed in
3773	6564		accordance with Section 1007 of this title which certifies:
3774		-
3775	6565		1. The name of the corporation and, if it has been changed, the
3776	6566		name under which it was originally incorporated;
3777		-
3778	6567		2. The date of filing of its original certificate of
3779	6568		incorporation with the Secretary of State;
	6569	+
	6570	+	SB620 HFLR Page 129
	6571	+	BOLD FACE denotes Committee Amendments. 1
	6572	+	2
	6573	+	3
	6574	+	4
	6575	+	5
	6576	+	6
	6577	+	7
	6578	+	8
	6579	+	9
	6580	+	10
	6581	+	11
	6582	+	12
	6583	+	13
	6584	+	14
	6585	+	15
	6586	+	16
	6587	+	17
	6588	+	18
	6589	+	19
	6590	+	20
	6591	+	21
	6592	+	22
	6593	+	23
	6594	+	24
3780	6595
3781	6596		3. The name of the entity to which the corporation shall be
3782	6597		converted, its jurisdiction of formation if a foreign entity, and
3783	6598		the type of entity;
3784		-
3785	6599		4. That the conversion has been approved in accordance with the
3786	6600		provisions of this section;
3787		-
3788	6601		5. The future effective date or time of the conversion to an
3789	6602		entity, which shall be a date or time certain not later than ninety
3790	6603		(90) days after the filing, if it is not to be effective upon the
3791	6604		filing of the certificate of conversion;
3792		-
3793	6605		6. The agreement of the foreign entity that it may be served
3794	6606		with process in this state in any action, suit or proceeding for
3795	6607		enforcement of any obligation of the foreign entity arising while it
3796	6608		was a domestic corporation and for enforcement of any obligation of
3797	6609		such other entity arising from the conversion including any suit or
3798	6610		other proceeding to enforce the right of any shareholders as
3799	6611		determined in appraisal proceedings under Section 1091 of this
3800	6612		title, and that it irrevocably appoints the Secretary of State as
3801	6613		its agent to accept service of process in any such action, suit or
3802	6614		proceeding;
3803		-
3804	6615		7. The address to which a copy of the process referred to in
3805	6616		this subsection shall be mailed by th e Secretary of State. In the
3806	6617		event of such service upon the Secretary of State in accordance with
3807	6618		the provisions of Section 2004 of Title 12 of the Okla homa Statutes,
3808	6619		the Secretary of State shall immediately notify such corporation
3809	6620
3810		-	ENR. S. B. NO. 620 Page 88
	6621	+	SB620 HFLR Page 130
	6622	+	BOLD FACE denotes Committee Amendments. 1
	6623	+	2
	6624	+	3
	6625	+	4
	6626	+	5
	6627	+	6
	6628	+	7
	6629	+	8
	6630	+	9
	6631	+	10
	6632	+	11
	6633	+	12
	6634	+	13
	6635	+	14
	6636	+	15
	6637	+	16
	6638	+	17
	6639	+	18
	6640	+	19
	6641	+	20
	6642	+	21
	6643	+	22
	6644	+	23
	6645	+	24
	6646	+
3811	6647		that has converted out of the State of Oklahoma this state by
3812	6648		letter, certified mail, return receipt requested, directed to the
3813	6649		corporation at the address specified unless the corporation shall
3814	6650		have designated in writing to the Secretary of State a different
3815	6651		address for this purpose, i n which case it shall be mailed to the
3816	6652		last address so designated. The notice shall include a copy of the
3817	6653		process and any other papers served on the Secreta ry of State
3818	6654		pursuant to the provisions of this subsection. It shall be the duty
3819	6655		of the plaintiff in the event of such service to serve process and
3820	6656		any other papers in duplicate, to notify the Secretary of State that
3821	6657		service is being effected pursuant to t he provisions of this
3822	6658		subsection, and to pay the Secretary of State the fee provided for
3823	6659		in paragraph 7 of subsection A of Section 1142 of this title, which
3824	6660		fee shall be taxed as part of the costs in the proceeding. The
3825	6661		Secretary of State shall maintain an alphabetical r ecord of any such
3826	6662		service setting forth the name of the plaintiff and the defendant ,
3827	6663		the title, docket number, and nature of the proceeding in which
3828	6664		process has been served upon the Secretary of State, the fact that
3829	6665		service has been effected pursuant to th e provisions of this
3830	6666		subsection, the return date thereof, and the date service was made.
3831	6667		The Secretary of State shall not be required to retain such
3832	6668		information longer than five (5) years from receipt of the service
3833	6669		of process by the Secretary of State; a nd
3834	6670
	6671	+	SB620 HFLR Page 131
	6672	+	BOLD FACE denotes Committee Amendments. 1
	6673	+	2
	6674	+	3
	6675	+	4
	6676	+	5
	6677	+	6
	6678	+	7
	6679	+	8
	6680	+	9
	6681	+	10
	6682	+	11
	6683	+	12
	6684	+	13
	6685	+	14
	6686	+	15
	6687	+	16
	6688	+	17
	6689	+	18
	6690	+	19
	6691	+	20
	6692	+	21
	6693	+	22
	6694	+	23
	6695	+	24
	6696	+
3835	6697		8. If the entity to which the corporation is converting was
3836	6698		required to make a filing with the Secretary of State as a condition
3837	6699		of its formation, the type and date of such filing.
3838		-
3839	6700		D. Upon the filing of a conversion notice with the Secretary of
3840	6701		State, whether under subsection C of this section or under the
3841	6702		governing act of the domes tic entity to which the corporation is
3842	6703		converting, the filing of any formation document required by the
3843	6704		governing act of the domestic entity to which the corporation is
3844	6705		converting, and payment to the Secretary of State of all prescribed
3845	6706		fees, the Secretary of State shall certify that the corporation has
3846	6707		filed all documents and paid all required fees, and thereupon the
3847	6708		corporation shall cease to exist as a domestic corporation at the
3848	6709		time the certificate of conversion becomes effective in accordance
3849	6710		with Section 1007 of this title. The A copy of the certificate of
3850	6711		conversion issued by the Secretary of State shall be prima facie
3851	6712		evidence of the conversion by the corporation.
3852		-
3853		-
3854		-	ENR. S. B. NO. 620 Page 89
3855	6713		E. The conversion of a corporation under this section and the
3856	6714		resulting cessation of its existence as a domestic corporation shall
3857	6715		not be deemed to affect any obligations or liabilities of the
3858	6716		corporation incurred before such conversion or the personal
3859	6717		liability of any person incurred before the conversion, nor shall it
3860	6718		be deemed to affect the choice of law applicable to the corporation
3861	6719		with respect to matters arising before the conversion.
3862	6720
	6721	+	SB620 HFLR Page 132
	6722	+	BOLD FACE denotes Committee Amendments. 1
	6723	+	2
	6724	+	3
	6725	+	4
	6726	+	5
	6727	+	6
	6728	+	7
	6729	+	8
	6730	+	9
	6731	+	10
	6732	+	11
	6733	+	12
	6734	+	13
	6735	+	14
	6736	+	15
	6737	+	16
	6738	+	17
	6739	+	18
	6740	+	19
	6741	+	20
	6742	+	21
	6743	+	22
	6744	+	23
	6745	+	24
	6746	+
3863	6747		F. Unless otherwise provided in a resolution of conversion
3864	6748		adopted in accordance with this section, the converting corporation
3865	6749		shall not be required t o wind up its affairs or pay its liabilities
3866	6750		and distribute its assets, and the conversion shall not constitute a
3867	6751		dissolution of such corporation.
3868		-
3869	6752		G. In a conversion of a d omestic corporation to an entity under
3870	6753		this section, shares of stock of the convert ing domestic corporation
3871	6754		may be exchanged for or converted into cash, property, rights or
3872	6755		securities of, or memberships or membership, economic or ownership
3873	6756		interests in, the entity to which the domestic corporation is being
3874	6757		converted or, in addition to or in lieu thereof, may be exchanged
3875	6758		for or converted into cash, property, shares of stock, rights or
3876	6759		securities of, or interests in, another corporation or entity or may
3877	6760		be canceled.
3878		-
3879	6761		H. When a corporation has converted to an entity under this
3880	6762		section, the entity shall be deemed to be the same entity as the
3881	6763		corporation. All of the rights, privileges and powers of the
3882	6764		corporation that has converted, and all property, real, per sonal and
3883	6765		mixed, and all debts due to the corporation, as well as all other
3884	6766		things and causes of action belonging to the corporation, shall
3885	6767		remain vested in the entity to which the corporation has converted
3886	6768		and shall be the property of the entity, and the title to any real
3887	6769		property vested by deed or otherwise in the corporation shall not
3888	6770		revert or be in any way impaired by reason of the conversion; but
	6771	+
	6772	+	SB620 HFLR Page 133
	6773	+	BOLD FACE denotes Committee Amendments. 1
	6774	+	2
	6775	+	3
	6776	+	4
	6777	+	5
	6778	+	6
	6779	+	7
	6780	+	8
	6781	+	9
	6782	+	10
	6783	+	11
	6784	+	12
	6785	+	13
	6786	+	14
	6787	+	15
	6788	+	16
	6789	+	17
	6790	+	18
	6791	+	19
	6792	+	20
	6793	+	21
	6794	+	22
	6795	+	23
	6796	+	24
	6797	+
3889	6798		all rights of creditors and all liens upon any property of the
3890	6799		corporation shall be preserved unimpaired, and all debts,
3891	6800		liabilities and duties of the corporation that has converted shall
3892	6801		remain attached to the entity to which the corporation has
3893	6802		converted, and may be enforced against it to the same extent as if
3894	6803		the debts, liabilities and duties had originally been incurred or
3895	6804		contracted by it in its capacity as the entity. The rights,
3896	6805		privileges, powers and interest in property of the corporation that
3897		-
3898		-	ENR. S. B. NO. 620 Page 90
3899	6806		has converted, as well as the debts, liabilities and duties of the
3900	6807		corporation, shall not be deemed, as a con sequence of the
3901	6808		conversion, to have been transferred to the entity to which the
3902	6809		corporation has converted for any purpose of the laws of this state.
3903		-
3904	6810		I. No vote of shareholders of a corporation shall be necessary
3905	6811		to authorize a conversion if no shares of t he stock of the
3906	6812		corporation shall have been issued before the adoption by the board
3907	6813		of directors of the resolution approving the conversion.
3908		-
3909	6814		J. Nothing in this section shall be deemed to authorize the
3910	6815		conversion of a charitable nonstock corporation into a nother entity,
3911	6816		if the charitable status of such charitable nonstock corporation
3912	6817		would thereby be lost or impaired.
3913		-
3914	6818		SECTION 33. AMENDATORY 18 O.S. 2021, Section 1091, is
3915	6819		amended to read as follows:
3916		-
3917	6820		Section 1091.
3918		-
3919	6821		APPRAISAL RIGHTS
	6822	+
	6823	+	SB620 HFLR Page 134
	6824	+	BOLD FACE denotes Committee Amendments. 1
	6825	+	2
	6826	+	3
	6827	+	4
	6828	+	5
	6829	+	6
	6830	+	7
	6831	+	8
	6832	+	9
	6833	+	10
	6834	+	11
	6835	+	12
	6836	+	13
	6837	+	14
	6838	+	15
	6839	+	16
	6840	+	17
	6841	+	18
	6842	+	19
	6843	+	20
	6844	+	21
	6845	+	22
	6846	+	23
	6847	+	24
3920	6848
3921	6849		A. Any shareholder of a corporation of this state who holds
3922	6850		shares of stock on the da te of the making of a demand pursuant to
3923	6851		the provisions of subsection D of this section with respect to the
3924	6852		shares, who continuously holds the shares t hrough the effective date
3925	6853		of the merger, or consolidation, or conversion who has otherwise
3926	6854		complied with the provisions of subsection D of this section and who
3927	6855		has neither voted in favor of the merger, or consolidation, or
3928	6856		conversion nor consented thereto in writing pursuant to the
3929	6857		provisions of Section 1073 of this title shall be entitled to an
3930	6858		appraisal by the district court of the fair value of the shares of
3931	6859		stock under the circumstances described in subsections B and C of
3932	6860		this section. As used in this sec tion, the word “shareholder” means
3933	6861		a holder of record of stock in a stock corporation; the words
3934	6862		“stock” and “share” mean and include what is ordinarily meant by
3935	6863		those words; and “depository receipt” means an instrument issued by
3936	6864		a depository representing an interest in one or more s hares, or
3937	6865		fractions thereof, solely of stock of a corporation, which stock is
3938	6866		deposited with the depository; “beneficial owner” means a person who
3939	6867		is the beneficial owner of shares of stock held either in voting
3940	6868		trust or by a nominee on behalf of such person; and “person” means
3941		-
3942		-	ENR. S. B. NO. 620 Page 91
3943	6869		any individual, corporation, partnership, unincorpo rated
3944	6870		association, or other entity.
3945		-
3946	6871		B. 1. Except as otherwise provided for in this subsection,
3947	6872		appraisal rights shall be available for the shares of any class or
	6873	+
	6874	+	SB620 HFLR Page 135
	6875	+	BOLD FACE denotes Committee Amendments. 1
	6876	+	2
	6877	+	3
	6878	+	4
	6879	+	5
	6880	+	6
	6881	+	7
	6882	+	8
	6883	+	9
	6884	+	10
	6885	+	11
	6886	+	12
	6887	+	13
	6888	+	14
	6889	+	15
	6890	+	16
	6891	+	17
	6892	+	18
	6893	+	19
	6894	+	20
	6895	+	21
	6896	+	22
	6897	+	23
	6898	+	24
	6899	+
3948	6900		series of stock of a constituent corporation in a merger , or
3949	6901		consolidation, or conversion or of the acquired corporation in a
3950	6902		share acquisition, to be effected pursuant to the provisions of
3951	6903		Section 1081 of this title, other than a merger effected pursuant to
3952	6904		subsection G of Section 1081 of this title, or the provisions of
3953	6905		Section 1082, 1084, 1085 , 1086, 1087, 1090.1 or, 1090.2 or 1090.5 of
3954	6906		this title.
3955		-
3956	6907		2. a. No appraisal rights under this section shall be
3957	6908		available for the shares of any class or series of
3958	6909		stock which stock, or depository recei pts in respect
3959	6910		thereof, at the record date fixed to dete rmine the
3960	6911		shareholders entitled to receive notice of the meeting
3961	6912		of shareholders, or at the record date fixed to
3962	6913		determine the shareholders entitled to conse nt under
3963	6914		Section 1073 of this title, to act upon the agreement
3964	6915		of merger or consolid ation or the resolution providing
3965	6916		for conversion, or, the case of a merger pursuant to
3966	6917		subsection H of Section 1081 of this title, as of
3967	6918		immediately before the execution of the agreement of
3968	6919		merger, were either:
3969		-
3970	6920		(1) listed on a national securities exchange, or
3971		-
3972	6921		(2) held of record by more than two thousand holders.
3973		-
3974	6922		b. In addition, no appraisal rights shall be available
3975	6923		for any shares of stock, or depository receipts in
	6924	+
	6925	+	SB620 HFLR Page 136
	6926	+	BOLD FACE denotes Committee Amendments. 1
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	6950	+
3976	6951		respect thereof, of the constituent corporation
3977	6952		surviving a merger if the merger did not require for
3978	6953		its approval the vote of the shareholders of the
3979	6954		surviving corporation as provided for in subsection F
3980	6955		of Section 1081 of this title.
3981		-
3982	6956		3. Notwithstanding the provisions of paragraph 2 of this
3983	6957		subsection, appraisal rights provided for in this section shall be
3984	6958		available for the shares of any class or series of stock of a
3985		-
3986		-	ENR. S. B. NO. 620 Page 92
3987	6959		constituent or converting corporation if the holders thereof are
3988	6960		required by the terms of an agreement of merger or consolidation , or
3989	6961		by the terms of a resolution providing for conv ersion pursuant to
3990	6962		the provisions of Section 1081, 1082, 1084, 1085, 1086, 1087, 1090.1
3991	6963		or, 1090.2 or 1090.5 of this title to accept for the stock anything
3992	6964		except:
3993		-
3994	6965		a. shares of stock of the corporation surv iving or
3995	6966		resulting from the merger or consolidation , or of the
3996	6967		converted entity if such entity is a corporation as a
3997	6968		result of the conversion, or depository receipts
3998	6969		thereof, or
3999		-
4000	6970		b. shares of stock of any other corporation, or
4001	6971		depository receipts in respect thereof, which shares
4002	6972		of stock or depository receipts at the e ffective date
4003	6973		of the merger or, consolidation, or conversion will be
	6974	+
	6975	+	SB620 HFLR Page 137
	6976	+	BOLD FACE denotes Committee Amendments. 1
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	6999	+	24
	7000	+
4004	7001		either listed on a national securities exchange or
4005	7002		held of record by more than two thousand holders, or
4006		-
4007	7003		c. cash in lieu of fractional shares or fractional
4008	7004		depository receipts described in su bparagraphs a and b
4009	7005		of this paragraph, or
4010		-
4011	7006		d. any combination of the shares of sto ck, depository
4012	7007		receipts, and cash in lieu of the fractional shares or
4013	7008		depository receipts described in subparagraphs a, b,
4014	7009		and c of this paragraph.
4015		-
4016	7010		4. In the event all of the stock of a subsidiary Oklahoma
4017	7011		domestic corporation party to a merger effected p ursuant to the
4018	7012		provisions of Section 1083 or 1083.1 of this title is not owned by
4019	7013		the parent corporation immediately pr ior to the merger, appraisa l
4020	7014		rights shall be available for the shares of the subsidiary Oklahoma
4021	7015		domestic corporation.
4022		-
4023	7016		C. Any corporation may provide in its certificate of
4024	7017		incorporation that appraisal rights under this section shall be
4025	7018		available for the shares of any class or series of its stock as a
4026	7019		result of an amendment to its certificate of incorporation, any
4027	7020		merger or consolidation in which the corporation is a constituent
4028	7021		corporation or, the sale of all or substantially all of the assets
4029		-
4030		-	ENR. S. B. NO. 620 Page 93
4031	7022		of the corporation, or a conversion effected under Section 1090.5 of
4032	7023		this title. If the certificate of incorporation contains such a
4033	7024		provision, the procedures of this section, including those set forth
	7025	+
	7026	+	SB620 HFLR Page 138
	7027	+	BOLD FACE denotes Committee Amendments. 1
	7028	+	2
	7029	+	3
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	7050	+	24
	7051	+
4034	7052		in subsections D and E of this section, shall apply as nearly as is
4035	7053		practicable.
4036		-
4037	7054		D. Appraisal rights shall be perfected as follows:
4038		-
4039	7055		1. If a proposed merger or, consolidation, or conversion for
4040	7056		which appraisal rights are provided under this section is to be
4041	7057		submitted for approval at a meeting of shareholders, the
4042	7058		corporation, not less than twenty (20) days prior to the meet ing,
4043	7059		shall notify each of its shareholders who was such on the record
4044	7060		date for notice of such meeting, or such members who received notice
4045	7061		in accordance with subsection C of Section 1081 of this title , with
4046	7062		respect to shares for which appraisal rights are available pursuant
4047	7063		to subsection B or C of this section that appraisal rights are
4048	7064		available for any or all of the shares of the constituent
4049	7065		corporations or the converting co rporation, and shall include in the
4050	7066		notice a copy of this section and, if one of th e constituent
4051	7067		corporations or the converting corporation is a nonstock
4052	7068		corporation, a copy of Section 1004.1 of this title or information
4053	7069		directing shareholders to a publicly available electronic resource
4054	7070		at which such sections may be accessed without subs cription or cost.
4055	7071		Each shareholder electing to demand the appraisal of the shares of
4056	7072		the shareholder shall deliver to the corporation, before the taking
4057	7073		of the vote on the merger or, consolidation, or conversion, a
4058	7074		written demand for appraisal of the shar es of the shareholder. The
4059	7075		demand will be sufficient if it reasonably informs the corporation
	7076	+
	7077	+	SB620 HFLR Page 139
	7078	+	BOLD FACE denotes Committee Amendments. 1
	7079	+	2
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	7101	+	24
	7102	+
4060	7103		of the identity of the shareholder and that the shareholder intends
4061	7104		thereby to demand the appraisal of the shares of the shareholder. A
4062	7105		proxy or vote against th e merger or, consolidation, or conversion
4063	7106		shall not constitute such a demand. A shareholder electing to take
4064	7107		such action must do so by a separate written demand as herein
4065	7108		provided. Within ten (10) days after the effective date of the
4066	7109		merger or, consolidation, or conversion, the surviving or, resulting
4067	7110		corporation, or converted entity shall notify each shareholder of
4068	7111		each constituent or converting corporation who has complied with the
4069	7112		provisions of this subsection and has not voted in fav or of or
4070	7113		consented to the merger or, consolidation, or conversion, and any
4071	7114		beneficial owner who has demanded appraisal under paragraph 3 of
4072		-
4073		-	ENR. S. B. NO. 620 Page 94
4074	7115		this subsection, as of the date that the merger or, consolidation,
4075	7116		or conversion has become effective; or
4076		-
4077	7117		2. If the merger or, consolidation, or conversion is approved
4078	7118		pursuant to the provisions of Section 1073, subsection H of Section
4079	7119		1081, Section 1083 or Section 1083.1 of this title, either a
4080	7120		constituent or converting corporation before the effective date of
4081	7121		the merger or, consolidation, or conversion or the surviving or,
4082	7122		resulting corporation, or converted entity within ten (10) days
4083	7123		thereafter after such effective date shall notify each of the
4084	7124		holders shareholder of any class or series of stock of the
4085	7125		constituent or converting corporation who are is entitled to
4086	7126		appraisal rights of the approval of the merger or consolidation and
	7127	+
	7128	+	SB620 HFLR Page 140
	7129	+	BOLD FACE denotes Committee Amendments. 1
	7130	+	2
	7131	+	3
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	7133	+	5
	7134	+	6
	7135	+	7
	7136	+	8
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	7149	+	21
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	7152	+	24
	7153	+
4087	7154		that appraisal rights are available for any or all shares of such
4088	7155		class or series of stock of the constituent corporation, and sha ll
4089	7156		include in the notice either a copy of this section and, if one of
4090	7157		the constituent corporations or the converting corporation is a
4091	7158		nonstock corporation, a copy of Section 1004.1 of this title or
4092	7159		information directing sharehol ders to a publicly available
4093	7160		electronic resource at whic h this section and Section 1004.1 of this
4094	7161		title, if applicable, may be accessed without subscription or cost.
4095	7162		The notice may, and, if given on or after the effective date of the
4096	7163		merger or, consolidation, or conversion, shall, also notify the
4097	7164		shareholders of the effective date of the merger or, consolidation,
4098	7165		or conversion. Any shareholder entitled to appraisal rights may,
4099	7166		within twenty (20) day s after the date of mailing of the notice or,
4100	7167		in the case of a merger approved pursuant to subse ction H of Section
4101	7168		1081 of this title, within the later of the consummation o f an offer
4102	7169		contemplated by subsection H of Section 1081 of this title and
4103	7170		twenty (20) days after the date of mailing of such notice, demand in
4104	7171		writing from the surviving or result ing corporation entity the
4105	7172		appraisal of the holder’s shares; provided that a demand may be
4106	7173		delivered to the entity by electronic transmission if directed to an
4107	7174		information processing system, if any, expressly designated for such
4108	7175		purpose in the notice. The demand will be s ufficient if it
4109	7176		reasonably informs the corporation entity of the identity of the
4110	7177		shareholder and that the shareholder intends to demand the appraisal
	7178	+
	7179	+	SB620 HFLR Page 141
	7180	+	BOLD FACE denotes Committee Amendments. 1
	7181	+	2
	7182	+	3
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	7200	+	21
	7201	+	22
	7202	+	23
	7203	+	24
	7204	+
4111	7205		of the holder’s shares. If the notice does not notify shareholders
4112	7206		of the effective date of the merger or, consolidation, or conversion
4113	7207		either:
4114		-
4115		-
4116		-	ENR. S. B. NO. 620 Page 95
4117	7208		a. each constituent corporation or the converting
4118	7209		corporation shall send a second notice before the
4119	7210		effective date of the merger or, consolidation, or
4120	7211		conversion notifying each of the holders of any class
4121	7212		or series of stock of the constituent or converting
4122	7213		corporation that are entitled to appraisal rights of
4123	7214		the effective date of the merger or, consolidation, or
4124	7215		conversion, or
4125		-
4126	7216		b. the surviving or, resulting corporation, or converted
4127	7217		entity shall send a second notice to all holders on or
4128	7218		within ten (10) days after the effective date of the
4129	7219		merger or, consolidation, or conversion; provided,
4130	7220		however, that if the second notice is sent more than
4131	7221		twenty (20) days following the mailing of the first
4132	7222		notice or, in the case of a merger approved pursuant
4133	7223		to subsection H of Section 1081 of this title, later
4134	7224		than the later of the consummation of the offer
4135	7225		contemplated by subsection H of Section 1081 of this
4136	7226		title and twenty (20) days following the sending of
4137	7227		the first notice, the se cond notice need only be sent
4138	7228		to each shareholder who is enti tled to appraisal
	7229	+
	7230	+	SB620 HFLR Page 142
	7231	+	BOLD FACE denotes Committee Amendments. 1
	7232	+	2
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	7255	+
4139	7256		rights and who has demanded appraisal of the holder’s
4140	7257		shares in accordance with this subsection and any
4141	7258		beneficial owner who has dem anded appraisal under
4142	7259		paragraph 3 of this subsection. An affidavit of the
4143	7260		secretary or assistant secretar y or of the transfer
4144	7261		agent of the corporation or entity that is required to
4145	7262		give either notice that the notice has been given
4146	7263		shall, in the absence of fraud, be prima facie
4147	7264		evidence of the facts s tated therein. For purposes of
4148	7265		determining the shareholders entitled to receive
4149	7266		either notice, each constituent corporation or the
4150	7267		converting corporation may fix, in advance, a record
4151	7268		date that shall be not more than ten (10) days prior
4152	7269		to the date the notice is given; provided, if the
4153	7270		notice is given on or after the effective date of the
4154	7271		merger or, consolidation, or conversion, the record
4155	7272		date shall be the effective date. If no record date
4156	7273		is fixed and the notice is given prior to the
4157	7274		effective date, the record date shall be the close of
4158		-
4159		-	ENR. S. B. NO. 620 Page 96
4160	7275		business on the day next preceding the day on which
4161	7276		the notice is given.
4162		-
4163	7277		3. Notwithstanding subsection A of this section, but subject to
4164	7278		this paragraph, a beneficial owner may, in such person’s name,
4165	7279		demand in writing an appraisal of the beneficial owner’s shares in
	7280	+
	7281	+	SB620 HFLR Page 143
	7282	+	BOLD FACE denotes Committee Amendments. 1
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	7306	+
4166	7307		accordance with paragraph 1 or 2 of this subsection, as applicable;
4167	7308		provided that:
4168		-
4169	7309		a. such beneficial owner continuously owns such shares
4170	7310		through the effective date of the merger,
4171	7311		consolidation, or conversion and otherwise satisfies
4172	7312		the requirements applicable to a shareholder under
4173	7313		subsection A of this section, and
4174		-
4175	7314		b. the demand made by the beneficial owner reasonably
4176	7315		identifies the holder of record of the shares for
4177	7316		which the demand is made, is accompanied by
4178	7317		documentary evidence of such beneficial owner’s
4179	7318		beneficial ownership of stock and a statement that
4180	7319		such documentary evidence is a true and correct copy
4181	7320		of what it purports to be, and provides an address at
4182	7321		which such beneficial owner consents to receive
4183	7322		notices given by the surviving, resulting, or
4184	7323		converted entity and to be set forth on the verified
4185	7324		list required by subsection F of this section.
4186		-
4187	7325		E. Within one hundred twenty (120) days after the effective
4188	7326		date of the merger or, consolidation, or conversion, the surviving
4189	7327		or, resulting corporation, or converted entity or any shareholder
4190	7328		person who has complied with the provisions of subsections A and D
4191	7329		of this section and who is otherwise entitled to appraisal rights,
4192	7330		may file a petition in district court d emanding a determination of
	7331	+
	7332	+	SB620 HFLR Page 144
	7333	+	BOLD FACE denotes Committee Amendments. 1
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	7354	+	22
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	7356	+	24
	7357	+
4193	7358		the value of the stock of all such shareholders. Notwithstanding
4194	7359		the foregoing, at any time within sixty (60) days aft er the
4195	7360		effective date of the merger , or consolidation, or conversion, any
4196	7361		shareholder person entitled to appr aisal rights who has not
4197	7362		commenced an appraisal proceeding or joined that proceeding as a
4198	7363		named party shall have the right to withdraw the person’s demand of
4199	7364		the shareholder for appraisal and to accept the te rms offered upon
4200	7365		the merger or, consolidation, or conversion. Within one hundred
4201	7366		twenty (120) days after the effective date of the merger or,
4202		-
4203		-	ENR. S. B. NO. 620 Page 97
4204	7367		consolidation, or conversion, any shareholder person entitled to
4205	7368		appraisal rights who has complied with the requirements of
4206	7369		subsections A and D of this section, upon written request, or by
4207	7370		electronic transmission directed to an information processing
4208	7371		system, if any, expressly designated for that purpose in the notice
4209	7372		of appraisal, shall be entitled to receive from the corporation
4210	7373		surviving the merger or resulting from the consolidation, resulting,
4211	7374		or converted entity a statement setting forth the aggregate number
4212	7375		of shares not voted in favor of the merger or, consolidation, or
4213	7376		conversion or, in the case of a merger approved pur suant to
4214	7377		subsection H of Section 1081 of this title, the aggregate number of
4215	7378		shares, other than any excluded stock as defined in subparagraph d
4216	7379		of paragraph 6 of subsection H of Section 1081 of this title, that
4217	7380		were the subject of, and were not tendered in to, and accepted for
4218	7381		purchase or exchange in, the offer referred to in paragraph 2 of
	7382	+
	7383	+	SB620 HFLR Page 145
	7384	+	BOLD FACE denotes Committee Amendments. 1
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	7407	+	24
	7408	+
4219	7409		subsection H of Section 1081 of this title and, in either case, with
4220	7410		respect to which demands for appraisal have been received and the
4221	7411		aggregate number of holders of the shares shareholders or beneficial
4222	7412		owners holding or owning such shares; provided that, where a
4223	7413		beneficial owner makes a demand under paragraph 3 of subsection D of
4224	7414		this section, the record holder of such shares shall not be
4225	7415		considered a separate shareholder holding such shares for purposes
4226	7416		of such aggregate number. The written statement shall be mailed
4227	7417		given to the shareholder person within ten (10) days after the
4228	7418		shareholder’s person’s written request for a statement is received
4229	7419		by the surviving or, resulting corporation, or converted entity or
4230	7420		within ten (10) days after expiration of the period for delivery of
4231	7421		demands for appraisal pursuant to the provisions of subsection D of
4232	7422		this section, whichever is later. Notwithstanding subsection A of
4233	7423		this section, a person who is the beneficial owner of shares of such
4234	7424		stock held either in a voting trust or by a nominee on behalf of
4235	7425		such person may, in such person’s own name, file a pet ition or
4236	7426		request from the corporation the statement described i n this
4237	7427		section.
4238		-
4239	7428		F. Upon the filing of any such petitio n by a shareholder any
4240	7429		person other than the surviving, resulting, or converted entity,
4241	7430		service of a copy thereof shall be made upon the surviving or
4242	7431		resulting corporation entity, which, within twenty (20) days af ter
4243	7432		service, shall file, in the office of t he court clerk of the
	7433	+
	7434	+	SB620 HFLR Page 146
	7435	+	BOLD FACE denotes Committee Amendments. 1
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	7455	+	21
	7456	+	22
	7457	+	23
	7458	+	24
	7459	+
4244	7460		district court in which the petition was filed, a duly verified list
4245	7461		containing the names and addresses of all shareholders persons who
4246		-
4247		-	ENR. S. B. NO. 620 Page 98
4248	7462		have demanded payment appraisal for their shares and with whom
4249	7463		agreements regarding the value of t heir shares have not been reached
4250	7464		by the surviving or resulting corporation entity. If the petition
4251	7465		shall be filed by the surviving or, resulting corporation, or
4252	7466		converted entity, the petition shall be accompanied by such duly
4253	7467		verified list. The court cl erk, if so ordered by the court, shall
4254	7468		give notice of the time and place fixed for the hearing on the
4255	7469		petition by registered or certified mail to the surviving or,
4256	7470		resulting corporation, or converted entity and to the shareholders
4257	7471		persons shown on the list at the addresses therein stated. Notice
4258	7472		shall also be given by one or more publications at least one (1)
4259	7473		week before the day of the hearing, in a newspaper of general
4260	7474		circulation published in the City of Oklah oma City, Oklahoma, or
4261	7475		other publication as t he court deems advisable. The forms of the
4262	7476		notices by mail and by publication shall be approved by the court,
4263	7477		and the costs thereof shall be borne by the surviving or, resulting
4264	7478		corporation, or converted entity .
4265		-
4266	7479		G. At the hearing o n the petition, the court shall determine
4267	7480		the shareholders persons who have complied with the provisions of
4268	7481		this section and who have become entitled to appraisal rights. The
4269	7482		court may require the shareholders persons who have demanded an
4270	7483		appraisal of their shares and wh o hold stock represented by
	7484	+
	7485	+	SB620 HFLR Page 147
	7486	+	BOLD FACE denotes Committee Amendments. 1
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	7510	+
4271	7511		certificates to submit their certificates of stock to the court
4272	7512		clerk for notation thereon of the pendency of the appraisal
4273	7513		proceedings; and if any shareholder person fails to comply with this
4274	7514		direction, the court may dismiss the proce edings as to that
4275	7515		shareholder person. If immediately before the merger or,
4276	7516		consolidation, or conversion the shares of the class or series of
4277	7517		stock of the constituen t or converting corporation as to which
4278	7518		appraisal rights are available were listed on a nat ional securities
4279	7519		exchange, the court shall dismiss the proceedings as to all holders
4280	7520		of such shares who are otherwise entitled to appraisal rights unless
4281	7521		(1) the total number of s hares entitled to appraisal exceeds one
4282	7522		percent (1%) of the outstanding share s of the class or series
4283	7523		eligible for appraisal, (2) the value of the consideration provided
4284	7524		in the merger, or consolidation, or conversion for such total number
4285	7525		of shares exceeds One Million Dol lars ($1,000,000.00), or (3) the
4286	7526		merger was approved pursuant to Section 1083 or Section 1083.1 of
4287	7527		this title.
4288		-
4289		-
4290		-	ENR. S. B. NO. 620 Page 99
4291	7528		H. After determining the shareholders persons entitled to an
4292	7529		appraisal, the court shall a ppraise the shares, determining their
4293	7530		fair value exclusive of a ny element of value arising from the
4294	7531		accomplishment or expectation of the merger or, consolidation, or
4295	7532		conversion, together with interest, if any, to be paid upon the
4296	7533		amount determined to be the fair value. I n determining the fair
4297	7534		value, the court shall take into account all relevant factors. In
	7535	+
	7536	+	SB620 HFLR Page 148
	7537	+	BOLD FACE denotes Committee Amendments. 1
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	7561	+
4298	7562		determining the fair rate of interest, the cour t may consider all
4299	7563		relevant factors. Unless the court in its discretion determines
4300	7564		otherwise for good cause shown, and except as provided in this
4301	7565		subsection, interest from the effec tive date of the merger ,
4302	7566		consolidation, or conversion through the date of payment of the
4303	7567		judgment shall be compounded quarterly and shall accrue at five
4304	7568		percent (5%) over the Federal Reserve disc ount rate including any
4305	7569		surcharge, as established from time to time during the period
4306	7570		between the effective date of the merger, consolidation, or
4307	7571		conversion and the date of payment of judgment. At any time before
4308	7572		the entry of judgment in the proceedings, the surviving corporation,
4309	7573		resulting, or converted entity may pay to each shareholder person
4310	7574		entitled to appraisal an amount in cash, i n which case interest
4311	7575		shall accrue thereafter as provided herein only upon the sum of (1)
4312	7576		the difference, if any, between the amount so pai d and the fair
4313	7577		value of the shares as determined by the court, and (2) interest
4314	7578		theretofore accrued, unless paid at t hat time. Upon application by
4315	7579		the surviving or, resulting corporation, or converted entity or by
4316	7580		any shareholder person entitled to participate in the appraisal
4317	7581		proceeding, the court may, in its discretion, proceed to trial upon
4318	7582		the appraisal prior to the final determination of the shareholder
4319	7583		persons entitled to an appraisal. Any shareholder person whose name
4320	7584		appears on the list filed by the surviving or, resulting
4321	7585		corporation, or converted entity pursuant to the provisions of
	7586	+
	7587	+	SB620 HFLR Page 149
	7588	+	BOLD FACE denotes Committee Amendments. 1
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	7609	+	22
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	7612	+
4322	7613		subsection F of this sectio n and who has submitted the certificates
4323	7614		of stock of the shareholder to the court clerk, if required, may
4324	7615		participate fully in all proceedings until it is finally determined
4325	7616		that the shareholder person is not entitled to appraisal rights
4326	7617		pursuant to the provisions of this section.
4327		-
4328	7618		I. The court shall direct the payment of the fair value of the
4329	7619		shares, together with interest, if any, by the surviving or,
4330	7620		resulting corporation, or converted entity to the shareholders
4331	7621		persons entitled thereto. Payment shall be made to each
4332	7622		shareholder, in the case of holders of uncertificated stock
4333		-
4334		-	ENR. S. B. NO. 620 Page 100
4335	7623		immediately, and in the case of holders of shares rep resented by
4336	7624		certificates upon the surrender to the corporation of the
4337	7625		certificates represen ting the stock person upon such terms and
4338	7626		conditions as the court may order. The court’s decree may be
4339	7627		enforced as other decrees in the district court may be enfo rced,
4340	7628		whether the surviving or, resulting corporation be a corporation, or
4341	7629		converted entity is an entity of this state or of any o ther state.
4342		-
4343	7630		J. The costs of the proceeding may be determined by the court
4344	7631		and taxed upon the parties as the court deems equitable in the
4345	7632		circumstances. Upon ap plication of a shareholder person whose name
4346	7633		appears on the list filed by the surviving, result ing, or converted
4347	7634		entity under subsection F of this section who participated in the
4348	7635		proceeding and incurred expenses in connection with such proceeding ,
4349	7636		the court may order all or a portio n of the expenses incurred by any
	7637	+
	7638	+	SB620 HFLR Page 150
	7639	+	BOLD FACE denotes Committee Amendments. 1
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	7663	+
4350	7664		shareholder in connection with the appraisal proceeding including,
4351	7665		without limitation, but not limited to reasonable attorney’s
4352	7666		attorney fees and the fees and expenses of experts, to be c harged
4353	7667		pro rata against the value of all of the shares entitled to an
4354	7668		appraisal not dismissed under su bsection K of this section or
4355	7669		subject to such an award under a reservation of jurisdiction under
4356	7670		subsection K of this section .
4357		-
4358	7671		K. From and after the effective date of the merger or,
4359	7672		consolidation, or conversion, no shareholder person who has demanded
4360	7673		appraisal rights with respect to some or all of the person’s shares
4361	7674		as provided for in subsection D of this section shall be entitled to
4362	7675		vote the stock shares for any purpose or to receive payme nt of
4363	7676		dividends or other distr ibutions on the stock shares, except
4364	7677		dividends or other distributions payable to shareholders of record
4365	7678		at a date which is prior to the effect ive date of the merger or,
4366	7679		consolidation, or conversion; provided, however, that if no petition
4367	7680		for an appraisal shall be is filed within the time prov ided for in
4368	7681		subsection E of this section, or if the shareholder a person who has
4369	7682		made a demand for an appraisal in accordance with this section shall
4370	7683		deliver to the surviving or, resulting corporation, or converted
4371	7684		entity a written withdrawal of the shareholder’s person’s demand for
4372	7685		an appraisal and an acceptance of the merger or consolidation,
4373	7686		either within sixty (60) days after the effective date of the merger
4374	7687		or consolidation as prov ided for in with respect to some or all of
	7688	+
	7689	+	SB620 HFLR Page 151
	7690	+	BOLD FACE denotes Committee Amendments. 1
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	7714	+
4375	7715		the person’s shares in accordance with subsection E of this section
4376	7716		or thereafter with the written approval of the corporation, then the
4377		-
4378		-	ENR. S. B. NO. 620 Page 101
4379	7717		right of the shareholder person to an appraisal of the shares
4380	7718		subject to the withdra wal shall cease; provided f urther, no
4381	7719		appraisal proceeding in th e district court shall be dismissed as to
4382	7720		any shareholder person without the approval of the court, and
4383	7721		approval may be conditioned upon terms as the court deems just
4384	7722		including but not limited to a reservation of juri sdiction for any
4385	7723		application to the cou rt made under subsection J of this section;
4386	7724		provided, however, that this provision shall not affect the right of
4387	7725		any shareholder person who has not commenced an appraisal proceeding
4388	7726		or joined that proceeding as a named party to withdraw such
4389	7727		shareholder’s person’s demand for appraisal and to accept the terms
4390	7728		offered upon the merger or, consolidation or conversion within sixty
4391	7729		(60) days after the effective date of the merger or, consolidation,
4392	7730		or conversion, as set forth in subsection E of this section.
4393		-
4394	7731		L. The shares or other equity interests of the surviving, or
4395	7732		resulting corporation, or converted entity into which the shares of
4396	7733		any objecting shareholders stock subject to appr aisal under this
4397	7734		section would have been otherwise converted had they assented to the
4398	7735		merger or consolidation but for an appraisal demand made in
4399	7736		accordance with this section shall have the status of authorized and
4400	7737		unissued shares but not outstanding shares of stock or other e quity
4401	7738		interests of the surviving or, resulting corporation, or converted
	7739	+
	7740	+	SB620 HFLR Page 152
	7741	+	BOLD FACE denotes Committee Amendments. 1
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	7765	+
4402	7766		entity, unless and until the person who has demanded appraisal is no
4403	7767		longer entitled to appraisal under this section .
4404		-
4405	7768		SECTION 34. AMENDATORY 18 O.S. 2021, Section 1096, is
4406	7769		amended to read as follows:
4407		-
4408	7770		Section 1096.
4409		-
4410	7771		DISSOLUTION; PROCEDURE
4411		-
4412	7772		A. If it should be deemed advisable in the judgment of the
4413	7773		board of directors of any corporation that it should be dissolved,
4414	7774		the board, after the adoption of a resolution to that effect by a
4415	7775		majority of the whole board at any meeting ca lled for that purpose,
4416	7776		shall cause notice to be mailed to each shareholder entitled to vote
4417	7777		thereon as of the record date for determining the shareholders
4418	7778		entitled to notice of the meeting of the adoption of the re solution
4419	7779		and of a meeting of shareholders to take action upon the resolution.
4420		-
4421		-
4422		-	ENR. S. B. NO. 620 Page 102
4423	7780		B. At the meeting a vote shall be taken upon the proposed
4424	7781		dissolution. If a majority of the outstanding stock of the
4425	7782		corporation entitled to vote thereon shall vote for the pro posed
4426	7783		dissolution, a certificate of dissol ution shall be filed with the
4427	7784		Secretary of State pursuant to subsection D of this section.
4428		-
4429	7785		C. Dissolution of a corporation may also be authorized without
4430	7786		action of the directors if all the shareholders entitled to vote
4431	7787		thereon shall consent in writing and a certificate of dissolution
4432	7788		shall be filed with the Secretary of State pursuant to subsection D
4433	7789		of this section.
4434	7790
	7791	+	SB620 HFLR Page 153
	7792	+	BOLD FACE denotes Committee Amendments. 1
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4435	7817		D. If dissolution is authorized in accordance with this
4436	7818		section, a certificate of dissolution shal l be executed,
4437	7819		acknowledged and filed, and shall become effective, in accordance
4438	7820		with Section 1007 of this title. Such certificate of dissolution
4439	7821		shall set forth:
4440		-
4441	7822		1. The name of the corporation;
4442		-
4443	7823		2. The date dissolution was authorized;
4444		-
4445	7824		3. That the dissolution has been authorized by the board of
4446	7825		directors and shareholders of the corporation, in accordance with
4447	7826		subsections A and B of this section, or that the dissolution has
4448	7827		been authorized by all of the shareholders of the corporation
4449	7828		entitled to vote on a dissolution, in accordance with subsecti on C
4450	7829		of this section;
4451		-
4452	7830		4. The names and addresses of the directors and officers of the
4453	7831		corporation; and
4454		-
4455	7832		5. The date of filing of the corporation ’s original certificate
4456	7833		of incorporation with the Secretary of State .
4457		-
4458	7834		E. The resolution authorizing a proposed dissolution may
4459	7835		provide that notwithstanding authorization or consent to the
4460	7836		proposed dissolution by the shareholders, or the members of a
4461	7837		nonstock corporation pursuant to Section 1097 of this title, the
4462	7838		board of directors or governing body may abandon su ch proposed
4463	7839		dissolution without further action by the shareholders or members.
4464	7840
4465		-
4466		-	ENR. S. B. NO. 620 Page 103
	7841	+	SB620 HFLR Page 154
	7842	+	BOLD FACE denotes Committee Amendments. 1
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4467	7867		F. Upon a certificate of dissolution becoming effective in
4468	7868		accordance with Sectio n 1007 of this title, the corporation shall be
4469	7869		dissolved If a corporation has included in its certificat e of
4470	7870		incorporation a provision limiting the duration of its existence to
4471	7871		a specified date in accordance with paragraph 5 of subsection B of
4472	7872		Section 1006 of this title, a certificate of dissolution shall be
4473	7873		executed, acknowledged, and filed in accordance wi th Section 1007 of
4474	7874		this title within ninety (90) days before such specified date and
4475	7875		shall become effective on such specified date. Such certificate of
4476	7876		dissolution shall set forth:
4477		-
4478	7877		1. The name of the corporat ion;
4479		-
4480	7878		2. The date specified in the corporation’ s certificate of
4481	7879		incorporation limiting the duration of its existence;
4482		-
4483	7880		3. The names and addresses of the directors and officers of the
4484	7881		corporation; and
4485		-
4486	7882		4. The date of filing of the corporation’s original cer tificate
4487	7883		of incorporation with the Secretary of State.
4488		-
4489	7884		Failure to timely file a certificate of dissolution under this
4490	7885		subsection with respect to any corporation shall not affect the
4491	7886		expiration of such corporation’s existence on the date specified in
4492	7887		its certificate of incorporation under paragraph 5 of subsection B
4493	7888		of Section 1006 of this title and shall not eliminate the
4494	7889		requirement to file a certificate of dissolution as contemplated by
4495	7890		this subsection. If a certificate of good standing is issued by the
	7891	+
	7892	+	SB620 HFLR Page 155
	7893	+	BOLD FACE denotes Committee Amendments. 1
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	7917	+
4496	7918		Secretary of State after the date specified in a corporation’s
4497	7919		certificate of incorporation under paragraph 5 of subsection B of
4498	7920		Section 1006 of this title, such certificate of good standing shall
4499	7921		be of no force or effect.
4500		-
4501	7922		G. A corporation shall be dissol ved upon the earlier of the
4502	7923		date specified in su ch corporation’s certificate of incorporation
4503	7924		under paragraph 5 of subsection B of Section 1006 of this title or
4504	7925		upon the effectiveness in accordance with Section 1007 of this title
4505	7926		of a certificate of dissol ution filed in accordance with this
4506	7927		section.
4507		-
4508		-
4509		-	ENR. S. B. NO. 620 Page 104
4510	7928		SECTION 35. AMENDATORY 18 O.S. 2021, Section 1097, is
4511	7929		amended to read as follows:
4512		-
4513	7930		Section 1097.
4514		-
4515	7931		DISSOLUTION OF NONSTOCK CORPORATION; PROCEDURE
4516		-
4517	7932		A. Whenever it shall be desired to dissolve any nonstock
4518	7933		corporation, the govern ing body shall perform all the acts necessary
4519	7934		for dissolution which are required by the provisions of Section 1096
4520	7935		of this title to be perform ed by the board of directors of a
4521	7936		corporation having capi tal stock. If the members of a corporation
4522	7937		having no capital stock are entitled to vote for the election of
4523	7938		members of its governing body or are entitled to vote for
4524	7939		dissolution under the certificat e of incorporation or the bylaws of
4525	7940		such corporation, the y shall perform all the acts necessary for
4526	7941		dissolution which are required by the provisions of Section 1096 of
	7942	+
	7943	+	SB620 HFLR Page 156
	7944	+	BOLD FACE denotes Committee Amendments. 1
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	7968	+
4527	7969		this title to be performed by the shareholders of a corporation
4528	7970		having capital stock, in cluding dissolution without action of the
4529	7971		members of the governing body if all the members of the corporation
4530	7972		entitled to vote thereon shall consent in writing and a certificate
4531	7973		of dissolution shall be filed with the Secretary of State pursuant
4532	7974		to subsection D of Section 1096 of this title. If there is no
4533	7975		member entitled to vote thereon, the dissolution of the corpor ation
4534	7976		shall be authorized at a meeting of the governing body, upon the
4535	7977		adoption of a resolution to dissolve by the vote of a majority of
4536	7978		members of its governing body then in office. In all other
4537	7979		respects, the method and proceedings for the dissolution of a
4538	7980		nonstock corporation shall conform as nearly as may be to the
4539	7981		proceedings prescribed by the provisions of Section 1096 of this
4540	7982		title for the dissolution of corporations having capital stock.
4541		-
4542	7983		B. If a nonstock corporation has not commenced the business f or
4543	7984		which the corporation was organized, a majority of the governing
4544	7985		body or, if none, a majority of the incorporators may surrender all
4545	7986		of the corporation rights and franchises by filing in the Offic e of
4546	7987		the Secretary of State a certificate, executed and a cknowledged by a
4547	7988		majority of the incorporators or governing body, conforming as
4548	7989		nearly as may be to the certificate prescribed by Section 1095 of
4549	7990		this title.
4550		-
4551		-
4552		-	ENR. S. B. NO. 620 Page 105
4553	7991		C. If a nonstock corporation has included in its certific ate of
4554	7992		incorporation a provision limiting the dura tion of its existence to
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4555	8020		a specified date in accordance with paragraph 5 of subsection B of
4556	8021		Section 1006 of this title, a certificate of dissolution shall be
4557	8022		executed, acknowledged, and filed in accordance with Section 1007 of
4558	8023		this title within ninety (90) days before such specified date and
4559	8024		shall become effective on such specified date. Such certificate of
4560	8025		dissolution shall include the information required by Section 1096
4561	8026		of this title. Failure to timely file a certificate of dissolution
4562	8027		under this subsection with respect to any nonstock corporation shall
4563	8028		not affect the expiration of such corporation’s existence on the
4564	8029		date specified in its certificate of incorporation under paragraph 5
4565	8030		of subsection B of Section 1006 of this title and shall not
4566	8031		eliminate the requirement to file a certificate of dissolution as
4567	8032		contemplated by this subsection. If a certificate of good standing
4568	8033		is issued by the Secretary of State after the date specified in a
4569	8034		nonstock corporation’s certificate of incorporation under paragraph
4570	8035		5 of subsection B of Section 1006 of this title, such certificate of
4571	8036		good standing shall be of no force or effect.
4572		-
4573	8037		SECTION 36. AMENDATORY 18 O.S. 2021, Section 1120, is
4574	8038		amended to read as follows:
4575		-
4576	8039		Section 1120.
4577		-
4578	8040		REVIVAL OF CERTIFICATE OF INCORPORATION
4579		-
4580	8041		A. As used in this section, the term certificate of
4581	8042		incorporation “certificate of incorporation” includes the charter of
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4582	8070		a corporation organized pursuant to the provisions of any law o f
4583	8071		this state.
4584		-
4585	8072		B. Any corporation whose certificate of incorporation has
4586	8073		become forfeited by law for nonpayment of taxes or whose certificate
4587	8074		of incorporation has been revived, but, through failure to comply
4588	8075		strictly with the provisions of the Oklahoma Gen eral Corporation
4589	8076		Act, the validity of w hose revival has been brought into question,
4590	8077		may at any time procure a revival of its certificate of
4591	8078		incorporation, together with all the rights , franchises, privileges
4592	8079		and immunities and subject to all of its duties, debts and
4593	8080		liabilities which had been s ecured or imposed by its original
4594	8081		certificate of incorporation and all amendments thereto.
4595		-
4596		-	ENR. S. B. NO. 620 Page 106
4597	8082		Notwithstanding the foregoing, this section shall no t be applicable
4598	8083		to a corporation whose certificate of incorporation has b een revoked
4599	8084		or forfeited pursuant to Se ction 1104 of this title.
4600		-
4601	8085		C. The revival of the certificate of incorporation may be
4602	8086		procured as authorized by the board of directors or members of the
4603	8087		governing body of the corporation in accordance with subsection H
4604	8088		and by executing, acknowledging and fi ling a certificate of revival
4605	8089		in accordance with the provisions of Section 1007 of this title.
4606		-
4607	8090		D. The certificate required by the provisions of subsection C
4608	8091		of this section shall state:
4609		-
4610	8092		1. The date of filing of the corporation’s original certificate
4611	8093		of incorporation; the name under which the corporation was
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	8095	+	SB620 HFLR Page 159
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4612	8121		originally incorporated; the name of the corporation at the time its
4613	8122		certificate of incor poration became forfeited or void pursuant to
4614	8123		this title; and the new nam e under which the corporation is to be
4615	8124		revived to the extent required by subsection F of this section;
4616		-
4617	8125		2. The address of the corporation’s registered office in this
4618	8126		state, which shall be stated in accordance with subsection C of
4619	8127		Section 1021 of this title , and the name of its registered agent at
4620	8128		such address;
4621		-
4622	8129		3. That the corporation desiring to be revived and so reviving
4623	8130		its certificate of incorporation was organized pursuant to the laws
4624	8131		of this state;
4625		-
4626	8132		4. The date when the certificate of incorporation became
4627	8133		forfeited or that the validity of any revival has been brought into
4628	8134		question; and
4629		-
4630	8135		5. That the certificate of revival is filed by authority of the
4631	8136		board of directors or members o f the governing body of the
4632	8137		corporation as provided for in subsection H o f this section.
4633		-
4634	8138		E. Upon the filing of the certificate in accordance with the
4635	8139		provisions of Section 1007 of this title, the corporation shall be
4636	8140		revived with the same force and effect as if its certificate of
4637	8141		incorporation had not become forfeited. Such revival shall validate
4638	8142		all contracts, acts, matters and things made, done and performed
4639		-
4640		-	ENR. S. B. NO. 620 Page 107
4641	8143		within the scope of its certificate of incorporation by the
4642	8144		corporation, its directors or member s of its governing body,
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	8146	+	SB620 HFLR Page 160
	8147	+	BOLD FACE denotes Committee Amendments. 1
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	8171	+
4643	8172		officers, agents and shareholders or members dur ing the time when
4644	8173		its certificate of i ncorporation was forfeited, with the same force
4645	8174		and effect and to all intents and purposes as if the certificate of
4646	8175		incorporation had at all ti mes remained in full force and effect.
4647	8176		All real and personal property, rig hts and credits, which belonged
4648	8177		to the corporation at the time its certificate of incorporation
4649	8178		became forfeited and which were not disposed of prior to the time of
4650	8179		its revival and all real and personal property, rights and credits
4651	8180		acquired by the corporat ion after its certificate of incorpor ation
4652	8181		became forfeited pursuant to this title shall be vested in the
4653	8182		corporation, after its revival, as if its certificate of
4654	8183		incorporation had at all times remained in full force and effect,
4655	8184		and the corporation after i ts revival shall be as exclusively li able
4656	8185		for all contracts, acts, matters and things made, done or performed
4657	8186		in its name and on its behalf by its directors or members of its
4658	8187		governing body, officers, agents and shareholders or members prior
4659	8188		to its revival, as if its certificate of incorporat ion had at all
4660	8189		times remained in full force and effect.
4661		-
4662	8190		F. If, after three (3) years from the date upon which the
4663	8191		certificate of incorporation became forfeited for nonpayment of
4664	8192		taxes, the name of the corporation is un available upon the records
4665	8193		of the Secretary of State, then in such case the corporation to be
4666	8194		revived shall not be revived under the same name which it bore when
4667	8195		its certificate of incorporation became forfeited, or expired but
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	8197	+	SB620 HFLR Page 161
	8198	+	BOLD FACE denotes Committee Amendments. 1
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	8222	+
4668	8223		shall be revived under some other name as set forth in the
4669	8224		certificate to be filed pursuant to subsection C of this section.
4670		-
4671	8225		G. Any corporation that revives its certificate of
4672	8226		incorporation pursuant to the pr ovisions of this section shall pay
4673	8227		to this state the amounts provided in Se ctions 1201 through 1214 of
4674	8228		Title 68 of the Oklahoma Statutes. No payment made pursuant to this
4675	8229		subsection shall reduce the amount of franchise tax due pursuant to
4676	8230		the provisions of Sections 1201 through 1214 of Title 68 of the
4677	8231		Oklahoma Statutes for the y ear in which the revival is effected.
4678		-
4679	8232		H. For purposes of this section, the board of directors or
4680	8233		governing body of the corporation shall be comprised of the persons,
4681	8234		who, but for the certificate of incorporation having become
4682	8235		forfeited pursuant to this ti tle, would be the duly elected or
4683		-
4684		-	ENR. S. B. NO. 620 Page 108
4685	8236		appointed directors or members of the governing body of the
4686	8237		corporation. The requirement for authorization by the board of
4687	8238		directors under subsect ion C of this section shall be satisfied if a
4688	8239		majority of the directors or members of the governing body then in
4689	8240		office, even though less than a quorum, or the sole director or
4690	8241		member of the governing body then in office, authorizes the revival
4691	8242		of the certificate of incorporation of the corporation and the
4692	8243		filing of the certifica te required by subsection C of this s ection.
4693	8244		In any case where there shall be no directors of the corporation
4694	8245		available to revive the certificate of incorporation of the
4695	8246		corporation, the shareholders may elect a full board of directors,
	8247	+
	8248	+	SB620 HFLR Page 162
	8249	+	BOLD FACE denotes Committee Amendments. 1
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	8273	+
4696	8274		as provided by the bylaws of the corporation, and the b oard so
4697	8275		elected may then authorize the revival of the certificate of
4698	8276		incorporation of the corporation and the filing of the certificate
4699	8277		required by subsection C of this section. A special meeting of the
4700	8278		shareholders for the purpose of electing directors m ay be called by
4701	8279		any officer or shareholder upon notice given in accordance with the
4702	8280		provisions of Section 1067 of this title. For purposes of t his
4703	8281		section, the bylaws shall be the bylaws of the corporation that, but
4704	8282		for the certificate of incorporation ha ving become forfeited, would
4705	8283		be the duly adopted bylaws of the corporation.
4706		-
4707	8284		I. After a revival of the certificate of incorporation of the
4708	8285		corporation shall have been effected, the provisions of subsection C
4709	8286		of Section 1056 of this title shall govern and t he period of time
4710	8287		during which the certificate of incorporation of the corporation was
4711	8288		forfeited shall be included within the calculation of the thirty-day
4712	8289		and thirteen-month periods to which subsection C of Section 105 6 of
4713	8290		this title refers. A special me eting of shareholders held in
4714	8291		accordance with subsection H of this section shall be deemed an
4715	8292		annual meeting of shareholders for purposes of sub section C of
4716	8293		Section 1056 of this title.
4717		-
4718	8294		J. Whenever it shall be desired t o revive the certificate of
4719	8295		incorporation of any nonstock corporation, the governing body shall
4720	8296		perform all the acts necessary for the revival of the charter of the
4721	8297		corporation which are performed by the board of directors in the
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	8299	+	SB620 HFLR Page 163
	8300	+	BOLD FACE denotes Committee Amendments. 1
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4722	8325		case of a corporation havi ng capital stock. In addition, the
4723	8326		members of any nonstock corporation who are entitled to vote for the
4724	8327		election of members of its governing body and any other members
4725	8328		entitled to vote for dissolution under the certificate of
4726	8329		incorporation or the bylaws o f such corporation, shall perform all
4727		-
4728		-	ENR. S. B. NO. 620 Page 109
4729	8330		the acts necessary for the revival of the certificate of
4730	8331		incorporation of the corporation which are performed by the
4731	8332		shareholders in the case o f a corporation having capital stock. In
4732	8333		all other respects, the procedure for the revival of the certificate
4733	8334		of incorporation of a nonstock corporation shall conform, as nearly
4734	8335		as may be applicable, to the procedure prescribed in this section
4735	8336		for the revival of the certificate of incorporation of a corporation
4736	8337		having capital stock; provided, however, subsection I of this
4737	8338		section shall not apply to nonstock corporations.
4738		-
4739		-	SECTION 37. This act shall become effective November 1, 202 4.
4740		-
4741		-
4742		-	ENR. S. B. NO. 620 Page 110
4743		-	Passed the Senate the 21st day of March, 2023.
4744		-
4745		-
4746		-
4747		-	Presiding Officer of the Senate
4748		-
4749		-
4750		-	Passed the House of Representatives the 17th day of April, 2024.
4751		-
4752		-
4753		-
4754		-	Presiding Officer of the House
4755		-	of Representatives
4756		-
4757		-	OFFICE OF THE GOVERNOR
4758		-	Received by the Office of the Governor this _______ _____________
4759		-	day of _________________ __, 20_______, at _______ o'clock _______ M.
4760		-	By: _________________________________
4761		-	Approved by the Governor of the State of Oklahoma this _______ __
4762		-	day of _________________ __, 20_______, at _______ o'clock _______ M.
4763		-
4764		-	_________________________________
4765		-	Governor of the State of Oklahoma
4766		-
4767		-
4768		-	OFFICE OF THE SECRETARY OF STATE
4769		-	Received by the Office of the Secretary of State this _______ ___
4770		-	day of _________________ _, 20 _______, at _______ o'clock _______ M.
4771		-	By: _________________________________
	8339	+	SECTION 37. This act shall become effective November 1, 2023.
	8340	+
	8341	+	COMMITTEE REPORT BY: COMMITTEE ON BUSINESS AND COMMERCE, dated
	8342	+	04/05/2023 - DO PASS.