Sec. 33-675. Share options.
Sec. 33-675. Share options. (a) A corporation may issue rights, options or warrants
for the purchase of shares or other securities of the corporation. The board of directors
shall determine (1) the terms upon which the rights, options or warrants are issued, and
(2) the terms upon which, including the consideration for which, the shares or other
securities are to be issued. The authorization by the board of directors for the corporation
to issue such rights, options or warrants constitutes authorization of the issuance of the
shares or other securities for which the rights, options or warrants are exercisable.
(b) The terms and conditions of such rights, options or warrants, including those
outstanding on October 1, 2003, may include, but are not limited to, restrictions or
conditions that: (1) Preclude or limit the exercise, transfer or receipt of such rights,
options or warrants by any person or persons owning or offering to acquire a specified
number or percentage of the outstanding shares or other securities of the corporation or
by any transferee or transferees of any such person or persons; or (2) invalidate or void
such rights, options or warrants held by any such person or persons or any such transferee
or transferees.
(P.A. 94-186, S. 47, 215; P.A. 03-158, S. 8.)
History: P.A. 94-186 effective January 1, 1997; P.A. 03-158 designated existing provisions as Subsec. (a), amended
same by adding provisions re other securities, deleting provision re form and content, adding provision re authorization
by the board of directors and making technical changes, and added Subsec. (b) re restrictions on or conditions of rights,
options or warrants.
Annotations to former section 33-344:
Cited. 150 C. 244. Company had stock option plan which provided that interpretation of terms and provisions thereof
would be final, binding and conclusive. Held to permit parties to agree before dispute arises to submit differences to
adjudication by one of parties to agreement is against public policy. Id., 501.