17-7206. Voluntary termination of status as close corporation; amendment of articles of incorporation; vote required. (a) A corporation may voluntarily terminate its status as a close corporation and cease to be subject to the provisions of this code relating thereto by amending its articles of incorporation to delete therefrom the additional provisions required or permitted by K.S.A. 17-7202, and amendments thereto, to be stated in the articles of incorporation of a close corporation. Any such amendment shall be adopted and shall become effective in accordance with K.S.A. 17-6602, and amendments thereto, except that it must be approved by vote of the holders of record of at least 2/3 of the shares of each class of stock of the corporation which are outstanding.
(b) The articles of incorporation of a close corporation may provide that on any amendment to terminate its status as a close corporation, a vote greater than 2/3 or a vote of all shares of any class shall be required; and if the articles of incorporation contain such a provision, that provision shall not be amended, repealed or modified by any vote less than such greater vote.
History: L. 1972, ch. 52, § 130; L. 2016, ch. 110, § 110; July 1.
Structure Kansas Statutes
Article 72 - Close Corporations
17-7201 Laws applicable to close corporations.
17-7203 Formation of close corporation.
17-7204 Election of existing corporation to become close corporation.
17-7205 Limitations on continuation of close corporation status.
17-7209 Invalid transfer of close corporation's security; corporate option.
17-7211 Management of close corporation by stockholders.
17-7212 Appointment of custodian for close corporation, when.
17-7214 Operation of close corporation as partnership.
17-7216 Effect of close corporation provisions on other laws.