Revised Statues - Chapter 21 Corporations and Other Companies

(1) A shareholder may vote his or her shares in person or by proxy.

(2) A shareholder may appoint a proxy to vote or otherwise act for him or her by signing an appointment form either personally or by his or her attorney in fact.

(3) An appointment of a proxy shall be effective when received by the secretary or other officer or agent authorized to tabulate votes. An appointment shall be valid for eleven months unless a longer period is expressly provided in the appointment form.

(4) An appointment of a proxy shall be revocable by the shareholder unless the appointment form conspicuously states that it is irrevocable and the appointment is coupled with an interest. Appointments coupled with an interest shall include the appointment of: (a) A pledgee; (b) A person who purchased or agreed to purchase the shares; (c) A creditor of the corporation who extended it credit under terms requiring the appointment; (d) An employee of the corporation whose employment contract requires the appointment; or (e) A party to a voting agreement created under section 21-2068.

(5) The death or incapacity of the shareholder appointing a proxy shall not affect the right of the corporation to accept the proxy's authority unless notice of the death or incapacity is received by the secretary or other officer or agent authorized to tabulate votes before the proxy exercises his or her authority under the appointment.

(6) An appointment made irrevocable under subsection

(4) of this section shall be revoked when the interest with which it is coupled is extinguished.

(7) A transferee for value of shares subject to an irrevocable appointment may revoke the appointment if he or she did not know of its existence when he or she acquired the shares and the existence of the irrevocable appointment was not noted conspicuously on the certificate representing the shares or on the information statement for shares without certificates.

(8) Subject to section 21-2062 and to any express limitation on the proxy's authority appearing on the face of the appointment form, a corporation shall be entitled to accept the proxy's vote or other action as that of the shareholder making the appointment.