Practice question
A corporation sells stock exclusively to its existing stockholders but pays a sales commission. It invokes section 10.1(e) solely because all purchasers are stockholders. Which is correct?
- Existing holders always suffice
- Commissions are irrelevant under that paragraph
- Every issuer may waive statutory conditions
- Only the number of certificates matters
- The paragraph requires no commission or other remuneration, so that condition is not met
Legal references
- https://lawphil.net/statutes/repacts/ra2000/ra_8799_2000.html — RA 8799, sections 8–10 and 26
Answer this question in flashcards to review your response and continue practicing.