§ 17-16-620 — Subscription for shares before incorporation

Wyoming § 17-16-620

• Jurisdiction: Wyoming
• Title 17: Corporations, Partnerships and Associations
• Ch. 16: WYOMING BUSINESS CORPORATION ACT
• Art. 6: SHARES AND DISTRIBUTIONS

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(a) A subscription for shares entered into before
incorporation is irrevocable for six (6) months unless the
subscription agreement provides a longer or shorter period or
all the subscribers agree to revocation.
(b) The board of directors may determine the payment terms
of subscriptions for shares that were entered into before
incorporation, unless the subscription agreement specifies them.
A call for payment by the board of directors shall be uniform so
far as practicable as to all shares of the same class or series,
unless the subscription agreement specifies otherwise.
(c) Shares issued pursuant to subscriptions entered into
before incorporation are fully paid and nonassessable when the
corporation receives the consideration specified in the
subscription agreement.
(d) If a subscriber defaults in payment of money or
property under a subscription agreement entered into before
incorporation, the corporation may collect the amount owed as
any other debt. Alternatively, unless the subscription
agreement provides otherwise, the corporation may rescind the
agreement and may sell the shares if the debt remains unpaid
more than twenty (20) days after the corporation sends written
demand for payment to the subscriber.
(e) A subscription agreement entered into after
incorporation is a contract between the subscriber and the
corporation subject to W.S. 17-16-621.