Section 4-502 - Certain securities and stock options prohibited.

§ 4-502. Certain securities and stock options prohibited.
 

A close corporation may not have outstanding any: 

(1) Securities which are convertible into its stock; 

(2) Voting securities other than stock; or 

(3) Options, warrants, or other rights to subscribe for or purchase any of its stock, unless they are nontransferable. 
 

[An. Code 1957, art. 23, § 102; 1975, ch. 311, § 2.]