1. The Laws of New York
  2. Consolidated Laws
  3. Not-For-Profit Corporation
  4. Article 5: Corporate Finance

Section 505 Subvention certificates

Not-for-Profit Corporation (NPC)

  (a) Each subvention certificate shall be signed by the chairman or a vice-chairman of the board or the president or a vice-president and the secretary or an assistant secretary or the treasurer or an assistant treasurer of the corporation, and may be sealed with the seal of the corporation or a facsimile thereof. The signatures of the officers upon a certificate may be facsimiles if the certificate is countersigned by a transfer agent or registered by a registrar other than the corporation itself or its employees. In case any officer who has signed or whose facsimile signature has been placed upon a certificate shall have ceased to be such officer before such certificate is issued, it may be issued by the corporation with the same effect as if he were such officer at the date of issue.

  (b) Each subvention certificate shall when issued state upon the face thereof:

  (1) The name of the person or persons to whom issued.

  (2) The amount of the subvention evidenced by such certificate.

  (3) The amount of the periodic payment thereon, if any, authorized by the resolution of the board.

  (4) If appropriate, that the certificate is redeemable and a summary of the conditions for redemption at the option of the corporation or of the holder.

  (5) If appropriate, that the certificate is transferable, either at will or subject to specified restrictions.

  (c) The fact that the corporation is a not-for-profit corporation and, where appropriate, that the certificate is transferable at will or subject to restrictions, shall be noted conspicuously on the face or back of each such certificate.