California Financial Code 1250 – Unless the context otherwise requires, in this …
Unless the context otherwise requires, in this chapter:
(a) “Bank” means a bank organized under the laws of this state.
Terms Used In California Financial Code 1250
- Contract: A legal written agreement that becomes binding when signed.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
- Person: includes any person, firm, partnership, association, corporation, company, limited liability company, syndicate, estate, trust, business trust, or organization of any kind. See California Financial Code 18
(b) “Control” means possession, direct or indirect, of the power:
(1) To vote 25 percent or more of any class of the voting securities issued by a person; or
(2) To direct or cause the direction of the management and policies of a person, whether through the ownership of voting securities, by contract (other than a commercial contract for goods or nonmanagement services), or otherwise; provided, however, that no individual shall be deemed to control a person solely on account of being a director, officer, or employee of such person.
For purposes of paragraph (2) of this subdivision, a person who, directly or indirectly, owns, controls, holds with the power to vote, or holds proxies representing, 10 percent or more of the then outstanding voting securities issued by another person is presumed to control such other person.
For purposes of this chapter, the commissioner may determine whether a person in fact controls another person.
(c) “Controlling person” means a person who, directly or indirectly, controls a bank.
(d) “Person” means an individual, a corporation, an association, a syndicate, a partnership, a limited liability company, a business trust, an estate, a trust, or an organization of any kind, or any combination of any of the foregoing acting in concert.
(e) “Shareholder” means:
(1) In the case of a corporation, a holder of a share of any class or series.
(2) In the case of a nonprofit or charitable corporation, an unincorporated association, or a syndicate, a member.
(3) In the case of a partnership, a partner.
(4) In the case of a business trust, an estate, or a trust, a holder of a beneficial interest.
(5) In the case of an organization of any other kind, a holder of an ownership interest.
(Added by Stats. 2011, Ch. 243, Sec. 3. (SB 664) Effective January 1, 2012.)