New York Laws
Article 5 - Corporate Finance
509 - Fractions of a Share or Scrip Authorized.

(a) A corporation may, but shall not be obliged to, issue fractions of
a share either represented by a certificate or uncertificated, which
shall entitle the holder, in proportion to his fractional holdings, to
exercise voting rights, receive dividends and participate in liquidating
distributions.
(b) As an alternative, a corporation may pay in cash the fair value of
fractions of a share as of the time when those entitled to receive such
fractions are determined.
(c) As an alternative, a corporation may issue scrip in registered or
bearer form over the manual or facsimile signature of an officer of the
corporation or of its agent, exchangeable as therein provided for full
shares, but such scrip shall not entitle the holder to any rights of a
shareholder except as therein provided. Such scrip may be issued subject
to the condition that it shall become void if not exchanged for
certificates representing full shares or uncertificated full shares
before a specified date, or subject to the condition that the shares for
which such scrip is exchangeable may be sold by the corporation and the
proceeds thereof distributed to the holders of such scrip, or subject to
any other conditions which the board may determine.
(d) A corporation may provide reasonable opportunity for persons
entitled to fractions of a share or scrip to sell such fractions of a
share or scrip or to purchase such additional fractions of a share or
scrip as may be needed to acquire a full share.