Practice question
For no-par stock, the board fixes an issue price relying only on its general managerial status. The articles fix no price and neither articles nor bylaws confer authority; no majority-outstanding-stock meeting fixes it. The price exceeds the statutory minimum. Which is correct?
- A high enough price automatically supplies decision-making authority
- Any officer may fix it without conditions
- The statutory minimum abolishes the last paragraph of Section 61
- Only the amount matters
- Meeting the minimum price does not replace the specific authority or fallback approval required to fix the price.
Legal references
- Revised Corporation Code, RA 11232, Section 61: https://lawphil.net/statutes/repacts/ra2019/ra_11232_2019.html
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