47-1A-640.2. Factors used to measure effect of distribution.
135 words·~1 min read·
/sd/title-47/chapter-47-1/47-1a-640-2·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Except as provided in § 47-1A-640.4 , the effect of a distribution under § 47-1A-640.1 is measured:
(1)In the case of distribution by purchase, redemption, or other acquisition of the corporation's shares, as of the earlier of the date money or other property is transferred or debt incurred by the corporation, or the date the shareholder ceases to be a shareholder with respect to the acquired shares;
(2)In the case of any other distribution of indebtedness, as of the date the indebtedness is distributed; and
(3)In all other cases, as of the date the distribution is authorized if the payment occurs within one hundred twenty days after the date of authorization, or the date the payment is made if it occurs more than one hundred twenty days after the date of authorization.