§ 24.06.085 — Liability of shareholders, subscribers, assignees, executors, trustees, etc.

Washington § 24.06.085

• Jurisdiction: Washington
• Title 24: CORPORATIONS AND ASSOCIATIONS (NONPROFIT)
• Ch. 24.06: NONPROFIT MISCELLANEOUS AND MUTUAL CORPORATIONS ACT

Text

A holder of or subscriber to shares of a corporation shall be under no obligation to the corporation or its creditors with respect to such shares other than the obligation to pay to the corporation the full consideration for which such shares were issued or to be issued.

Any person becoming an assignee or transferee of shares or of a subscription for shares in good faith and without knowledge or notice that the full consideration therefor has not been paid shall not be personally liable to the corporation or its creditors for any unpaid portion of such consideration.

An executor, administrator, conservator, guardian, trustee, assignee for the benefit of creditors, or receiver shall not be personally liable to the corporation as a holder of or subscriber to shares of a corporation but the estate and funds in his or her hands shall be so liable.

No pledgee or other holder of shares as collateral security shall be personally liable as a shareholder.

Legislative History

[2011 c 336 s 664;1969 ex.s. c 120 s 17.]