§ 55-6-02. Terms of class or series determined by board of directors. - North Carolina Statutes

§55‑6‑02.  Terms of class or series determined by board ofdirectors.

(a)        If the articles ofincorporation so provide, the board of directors may determine, in whole orpart, the preferences, limitations, and relative rights (within the limits setforth in G.S. 55‑6‑01) of (1) any class of shares before theissuance of any shares of that class or (2) one or more series within a classbefore the issuance of any shares of that series.

(b)        Before issuing anyshares of a class or series created under this section, the corporation mustdeliver to the Secretary of State for filing articles of amendment, which areeffective without shareholder action, that set forth:

(1)        The name of thecorporation;

(2)        The text of theamendment determining the terms of the class or series of shares;

(3)        The date it wasadopted; and

(4)        A statement that theamendment was duly adopted by the board of directors. (1901,c. 2, s. 19; 1903, c. 660, ss. 2, 3; Rev., s. 1159; C.S., s. 1156; 1923, c.155; 1925, c. 118, ss. 2, 2a; 1939, c. 199; G.S., s. 55‑61; 1953, c. 822,s. 1; 1955, c. 1371, s. 1; 1989, c. 265, s. 1.)