(a)
(1) The consideration paid for the issuance of shares shall consist of money paid, labor done, or property actually received.
(2) Shares may not be issued until the full amount of the consideration, fixed as provided by law, has been paid.
(3) When payment of the consideration for which the shares are to be issued shall have been received by the corporation, the shares shall be deemed to be fully paid and nonassessable.
(b) Neither promissory notes nor the promise of future services shall constitute payment or part payment for shares of a corporation.
(c) In the absence of fraud in the transaction, the judgment of the board of directors or the shareholders, as the case may be, as to the value of the consideration received for shares shall be conclusive.
Structure Arkansas Code
Title 4 - Business and Commercial Law
Subtitle 3 - Corporations and Associations
Chapter 26 - Business Corporations Generally
Subchapter 6 - Corporate Finance
§ 4-26-601. Authorized shares generally — Preferred or special classes
§ 4-26-602. Shares of preferred or special classes — Issuance in series
§ 4-26-603. Subscriptions for shares
§ 4-26-604. Consideration for shares generally
§ 4-26-605. Payment for shares
§ 4-26-606. Payment of expenses of organization, reorganization, financing, etc
§ 4-26-607. Stated capital — Capital surplus — Earned surplus
§ 4-26-608. Signed certificates representing shares
§ 4-26-609. Issuance of fractional shares or scrip
§ 4-26-610. Restrictions on transfer of shares
§ 4-26-611. Acquisition or disposition of corporation's own shares
§ 4-26-612. Treasury shares — Cancellation
§ 4-26-613. Redeemable shares — Restrictions on redemption or purchase
§ 4-26-614. Redeemable shares — Cancellation by redemption or purchase
§ 4-26-615. Reduction of stated capital
§ 4-26-616. Surplus, net profits, and valuation of assets
§ 4-26-617. Dividends — General powers of board
§ 4-26-619. Dividends other than in shares of the corporation