8.8A-210 - A-210. Overissue. - Virginia Statutes

§ 8.8A-210. Overissue.

(a) In this section, "overissue" means the issue of securities in excess ofthe amount the issuer has corporate power to issue, but an overissue does notoccur if appropriate action has cured the overissue.

(b) Except as otherwise provided in subsections (c) and (d), the provisionsof this title which validate a security or compel its issue or reissue do notapply to the extent that validation, issue, or reissue would result inoverissue.

(c) If an identical security not constituting an overissue is reasonablyavailable for purchase, a person entitled to issue or validation may compelthe issuer to purchase the security and deliver it if certificated orregister its transfer if uncertificated, against surrender of any securitycertificate the person holds.

(d) If a security is not reasonably available for purchase, a person entitledto issue or validation may recover from the issuer the price the person orthe last purchaser for value paid for it with interest from the date of theperson's demand.

(1996, c. 216.)