Section 10-2A-300

Law applicable to close corporations.

(a) This article applies to all close corporations, as defined in Section 10-2A-301. Unless a corporation elects to become a close corporation in the manner prescribed, it shall be subject in all respects to the provisions of this chapter, except this article dealing with close corporations.

(b) All provisions of this chapter shall be applicable to all close corporations as defined in Section 10-2A-301 except insofar as this article otherwise provides.

(c) Neither election to become, nor operation as, a close corporation shall deprive any shareholder of such corporation of the limitation of liability provided under Section 10-2A-43.

(d) This chapter shall apply only to close corporations formed in accordance with Section 10-2A-302 or electing to become a close corporation pursuant to Section 10-2A-303 before January 1, 1995, and which has not voluntarily terminated its status as a close corporation or otherwise ceased to be a close corporation to which the provisions of this article apply before January 1, 1995.

(Acts 1980, No. 80-633, p. 1094, §161; Acts 1994, No. 94-245, p. 457, §4.)