NRS 78.175 Defaulting corporations: Duties of Secretary of State; revocation of charter and forfeiture of right to transact business; distribution of assets.
354 words·~2 min read·
/nv/chapter-78-private-corporations/78-175·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
NRS 78.175 Defaulting corporations: Duties of Secretary of State; revocation of charter and forfeiture of right to transact business; distribution of assets.
1. The Secretary of State shall notify, by providing written notice to its registered agent, each corporation deemed in default pursuant to NRS 78.170 . The written notice:
(a)Must include a statement indicating the amount of the filing fee, penalties incurred and costs remaining unpaid.
(b)At the request of the registered agent, may be provided electronically.
2. On the first day of the first anniversary of the month following the month in which the filing was required, the charter of the corporation is revoked and its right to transact business is forfeited.
3. The Secretary of State shall compile a complete list containing the names of all corporations whose right to transact business has been forfeited.
4. The Secretary of State shall forthwith notify, by providing written notice to its registered agent, each corporation specified in subsection 3 of the forfeiture of its charter. The written notice:
(a)Must include a statement indicating the amount of the filing fee, penalties incurred and costs remaining unpaid.
(b)At the request of the registered agent, may be provided electronically.
5. If the charter of a corporation is revoked and the right to transact business is forfeited as provided in subsection 2, all the property and assets of the defaulting domestic corporation must be held in trust by the directors of the corporation as for insolvent corporations, and the same proceedings may be had with respect thereto as are applicable to insolvent corporations. Any person interested may institute proceedings at any time after a forfeiture has been declared, but, if the Secretary of State reinstates the charter, the proceedings must at once be dismissed and all property restored to the officers of the corporation.
6. Where the assets are distributed, they must be applied in the following manner:
(a)To the payment of the filing fee, penalties incurred and costs due the State;
(b)To the payment of the creditors of the corporation; and
(c)Any balance remaining, to distribution among the stockholders.