14A:11-4. Termination of right of shareholder to be paid the fair value of his shares

264 words·~1 min read·/nj/title-14a/chapter-11/14a-11-4

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(1)The right of a dissenting shareholder to be paid the fair value of his shares under this Chapter shall cease if

(a)he has failed to present his certificates for notation as provided by subsection 14A:11-2(6), unless a court having jurisdiction, for good and sufficient cause shown, shall otherwise direct;

(b)his demand for payment is withdrawn with the written consent of the corporation;

(c)the fair value of the shares is not agreed upon as provided in this Chapter and no action for the determination of fair value by the Superior Court is commenced within the time provided in this Chapter;

(d)the Superior Court determines that the shareholder is not entitled to payment for his shares;

(e)the proposed corporate action is abandoned or rescinded; or

(f)a court having jurisdiction permanently enjoins or sets aside the corporate action.

(2)In any case provided for in subsection 14A:11-4(1), the rights of the dissenting shareholder as a shareholder shall be reinstated as of the date of the making of a demand for payment pursuant to subsections 14A:11-2(3), 14A:11-2(4) or 14A:11-2(5) without prejudice to any corporate action which has taken place during the interim period. In such event, he shall be entitled to any intervening preemptive rights and the right to payment of any intervening dividend or other distribution, or, if any such rights have expired or any such dividend or distribution other than in cash has been completed, in lieu thereof, at the election of the board, the fair value thereof in cash as of the time of such expiration or completion.