17-6423. Dividends; method of payment. No corporation shall pay dividends except in accordance with this act. Dividends may be paid in cash, in property or in shares of the corporation's capital stock. If the dividend is to be paid in shares of the corporation's theretofore unissued capital stock, the board of directors shall, by resolution, direct that there be designated as capital in respect of such shares an amount which is not less than the aggregate par value of par value shares being declared as a dividend and, in the case of shares without par value being declared as a dividend, such amount as shall be determined by the board of directors. No such designation as capital shall be necessary if shares are being distributed by a corporation pursuant to a split-up or division of its stock rather than as payment of a dividend declared payable in stock of the corporation.
History: L. 1972, ch. 52, § 50; L. 1988, ch. 99, § 20; Revived and amend., L. 1988, ch. 100, § 20; L. 1992, ch. 270, § 9; L. 2004, ch. 143, § 22; January 1, 2005.
Structure Kansas Statutes
Article 64 - Stock And Dividends
17-6402 Lawful consideration for issuance of stock; fully paid stock.
17-6404 Same; designation of part of consideration as capital; surplus and net assets defined.
17-6405 Fractional shares; certificated or uncertificated shares.
17-6406 Partly paid certificated shares.
17-6407 Rights and options concerning stock; powers of board of directors, limitations.
17-6408 Stock certificates; uncertificated shares.
17-6409 Shares of stock deemed personal property and transferable; taxation.
17-6411 Issuance of additional stock by directors, when.
17-6412 Liability of stockholder or subscriber for stock not paid in full; limitations of time.
17-6413 Payment for stock; rights of directors concerning stock not paid in full.
17-6414 Failure to pay for stock; remedies.
17-6415 Preincorporation subscriptions; period of irrevocability.
17-6416 Formalities required of stock subscriptions.
17-6419 Situs of ownership of stock.
17-6421 Special purpose reserves.
17-6422 Reliance by director or committee member upon corporate records and information.
17-6423 Dividends; method of payment.
17-6426 Transfer or ownership of securities; restrictions.
17-6427 Business combinations with interested stockholders.
17-6428 Ratification of defective corporate acts and stock.
17-6429 Proceedings regarding validity of defective corporate acts and stock.