Iowa § 490.623 Share dividends

Iowa Statutes

§ 490.623 — Share dividends

Iowa § 490.623

Title XIIBUSINESS ENTITIES

Ch. 490BUSINESS CORPORATIONS

This text of Iowa § 490.623 (Share dividends) is published on Counsel Stack Legal Research, covering Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Iowa Code § 490.623 (2026).

Text

1.Unless the articles of incorporation provide otherwise, shares may be issued pro rata and without consideration to the corporation’s shareholders or to the shareholders of one or more classes or series of shares. An issuance of shares under this subsection is a share dividend.

2.Shares of one class or series shall not be issued as a share dividend in respect of shares of another class or series unless one or more of the following conditions are met:

a.The articles of incorporation so authorize.

b.A majority of the votes entitled to be cast by the class or series to be issued approve the issue.

c.There are no outstanding shares of the class or series to be issued.

3.The board of directors may fix the record date for determining shareholders entitled to a share dividend, which date s

Free access — add to your briefcase to read the full text and ask questions with AI

1. Unless the articles of incorporation provide otherwise, shares may be issued pro rata
and without consideration to the corporation’s shareholders or to the shareholders of one
or more classes or series of shares. An issuance of shares under this subsection is a share
dividend.
2. Shares of one class or series shall not be issued as a share dividend in respect of shares
of another class or series unless one or more of the following conditions are met:
a. The articles of incorporation so authorize.
b. A majority of the votes entitled to be cast by the class or series to be issued approve the
issue.
c. There are no outstanding shares of the class or series to be issued.
3. The board of directors may fix the record date for determining shareholders entitled to
a share dividend, which date shall not be retroactive. If the board of directors does not fix
the record date for determining shareholders entitled to a share dividend, the record date is
the date the board of directors authorizes the share dividend.