436.500. Sale of business assets by seller, report to board required, contents. - Missouri Statutes

Sale of business assets by seller, report to board required, contents.

436.500. 1. A seller that intends to sell or otherwise dispose ofall or a majority of its business assets or its stock shall notify theboard at least sixty days prior to selling or otherwise disposing of itsassets or stock, or ceasing to do business as a seller, and shall file anotification report on a form established by the board.

2. The report required by this section shall include:

(1) A notarized and signed statement from the person assuming oragreeing to assume the obligations of the seller indicating that theassuming seller has been provided with a copy of the seller's final annualreport and has consented to assuming the outstanding obligations of theseller;

(2) In lieu of the notarized statement required by subdivision (1) ofthis subsection, the seller may file a plan detailing how the assets of theseller will be set aside and used to service all outstanding preneedcontracts sold by the seller; and

(3) Any other information required by any other applicable statute orregulation enacted pursuant to state or federal law.

3. Within thirty days after assuming the obligations of a sellerunder this section, the assuming seller shall:

(1) Notify each provider in writing that the former seller has soldor disposed of its assets or stock or has ceased doing business; and

(2) Provide written notification to the purchasers of each preneedcontract assumed by the seller indicating that the former seller hastransferred ownership or has ceased doing business.

4. Nothing in this section shall be construed to require the board toaudit, inspect, investigate, examine, or edit the books and records of aseller subject to the provisions of this section nor shall this section beconstrued to amend, rescind, or supersede any duty imposed on, or duediligence required of, an entity assuming the obligations of the seller.

5. The office of the attorney general shall have the authority toinitiate legal action to compel or otherwise ensure compliance with thissection by a former provider licensee.

(L. 2009 S.B. 1)