Defective corporate action; ratification or validation; effective date.

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(2) Ratification under ORS 60.276 or validation under ORS 60.288 is not the exclusive means of ratifying or validating a defective corporate action. An absence or failure to ratify or validate a corporate action in accordance with ORS 60.270 to 60.291 does not:

(a) Affect the validity or effectiveness of a corporate action that is properly ratified under common law or otherwise; or

(b) Create a presumption that the corporate action is or was a defective corporate action or is or was void or voidable.

(3)(a) A putative share becomes a valid share as of the date on which a corporation:

(A) Effectively amends the corporation’s articles of incorporation under this chapter to create, designate or authorize the share; or

(B) Takes another action under ORS 60.270 to 60.291 to ratify or validate a creation, designation or authorization of the share.

(b) The effective date of a putative share that becomes a valid share in accordance with paragraph (a) of this subsection is the date on which the corporation originally or purportedly issued the putative share. [2019 c.325 §3]


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