AN ACT Relating to
defining person under the business corporation act, uniform limited partnership
act, and limited liability company act; and amending RCW 23B.01.400, 25.10.010,
and 25.15.005.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF
WASHINGTON:
Sec. 1. RCW 23B.01.400 and 2000
c 168 s 1 are each amended to read as follows:
Unless the context
clearly requires otherwise, the definitions in this section apply throughout
this title.
(1) "Articles of
incorporation" include amended and restated articles of incorporation and
articles of merger.
(2) "Authorized
shares" means the shares of all classes a domestic or foreign corporation
is authorized to issue.
(3)
"Conspicuous" means so written that a reasonable person against whom
the writing is to operate should have noticed it. For example, printing in
italics or boldface or contrasting color, or typing in capitals or underlined,
is conspicuous.
(4)
"Corporation" or "domestic corporation" means a corporation
for profit, which is not a foreign corporation, incorporated under or subject
to the provisions of this title.
(5) "Deliver"
includes (a) mailing and (b) for purposes of delivering a demand, consent, or
waiver to the corporation or one of its officers, transmission by facsimile
equipment.
(6)
"Distribution" means a direct or indirect transfer of money or other
property, except its own shares, or incurrence of indebtedness by a corporation
to or for the benefit of its shareholders in respect to any of its shares. A
distribution may be in the form of a declaration or payment of a dividend; a
distribution in partial or complete liquidation, or upon voluntary or
involuntary dissolution; a purchase, redemption, or other acquisition of shares;
a distribution of indebtedness; or otherwise.
(7) "Effective
date of notice" has the meaning provided in RCW 23B.01.410.
(8) "Electronic
transmission" or "electronically transmitted" means any process
of electronic communication not directly involving the physical transfer of
paper that is suitable for the retention, retrieval, and reproduction of the
transmitted information by the recipient.
(9)
"Employee" includes an officer but not a director. A director may
accept duties that make the director also an employee.
(10) "Entity"
includes a corporation and foreign corporation, not-for-profit corporation,
profit and not-for-profit unincorporated association, business trust, estate,
partnership, trust, and two or more persons having a joint or common economic
interest, and the state, United States, and a foreign government.
(11) "Foreign
corporation" means a corporation for profit incorporated under a law other
than the law of this state.
(12) "Foreign
limited partnership" means a partnership formed under laws other than of
this state and having as partners one or more general partners and one or more
limited partners.
(13) "Governmental
subdivision" includes authority, county, district, and municipality.
(14)
"Includes" denotes a partial definition.
(15)
"Individual" includes the estate of an incompetent or deceased
individual.
(16) "Limited
partnership" or "domestic limited partnership" means a
partnership formed by two or more persons under the laws of this state and
having one or more general partners and one or more limited partners.
(17) "Means"
denotes an exhaustive definition.
(18) "Notice"
has the meaning provided in RCW 23B.01.410.
(19) "Person"
((includes an individual and an entity)) means an individual,
corporation, business trust, estate, trust, partnership, limited liability
company, association, joint venture, government, governmental subdivision,
agency, or instrumentality, or any other legal or commercial entity.
(20) "Principal
office" means the office, in or out of this state, so designated in the
annual report where the principal executive offices of a domestic or foreign
corporation are located.
(21)
"Proceeding" includes civil suit and criminal, administrative, and
investigatory action.
(22) "Public
company" means a corporation that has a class of shares registered with
the federal securities and exchange commission pursuant to section 12 or 15 of
the securities exchange act of 1934, or section 8 of the investment company act
of 1940, or any successor statute.
(23) "Record
date" means the date established under chapter 23B.07 RCW on which a
corporation determines the identity of its shareholders and their shareholdings
for purposes of this title. The determinations shall be made as of the close
of business on the record date unless another time for doing so is specified
when the record date is fixed.
(24)
"Secretary" means the corporate officer to whom the board of
directors has delegated responsibility under RCW 23B.08.400(3) for custody of
the minutes of the meetings of the board of directors and of the shareholders
and for authenticating records of the corporation.
(25) "Shares"
means the units into which the proprietary interests in a corporation are
divided.
(26)
"Shareholder" means the person in whose name shares are registered in
the records of a corporation or the beneficial owner of shares to the extent of
the rights granted by a nominee certificate on file with a corporation.
(27) "State,"
when referring to a part of the United States, includes a state and
commonwealth, and their agencies and governmental subdivisions, and a territory
and insular possession, and their agencies and governmental subdivisions, of
the United States.
(28)
"Subscriber" means a person who subscribes for shares in a corporation,
whether before or after incorporation.
(29) "United
States" includes a district, authority, bureau, commission, department,
and any other agency of the United States.
(30) "Voting
group" means all shares of one or more classes or series that under the
articles of incorporation or this title are entitled to vote and be counted
together collectively on a matter at a meeting of shareholders. All shares
entitled by the articles of incorporation or this title to vote generally on
the matter are for that purpose a single voting group.
Sec. 2. RCW 25.10.010 and 1987 c
55 s 1 are each amended to read as follows:
As used in this
chapter, unless the context otherwise requires:
(1) "Certificate
of limited partnership" means the certificate referred to in RCW
25.10.080, and the certificate as amended or restated.
(2)
"Contribution" means any cash, property, services rendered, or a
promissory note or other binding obligation to contribute cash or property or
to perform services, which a partner contributes to a limited partnership in
his capacity as a partner.
(3) "Event of
withdrawal of a general partner" means an event that causes a person to
cease to be a general partner as provided in RCW 25.10.230.
(4) "Foreign
limited partnership" means a partnership formed under laws other than the
laws of this state and having as partners one or more general partners and one
or more limited partners.
(5) "General
partner" means a person who has been admitted to a limited partnership as
a general partner in accordance with the partnership agreement and named in the
certificate of limited partnership as a general partner.
(6) "Limited
partner" means a person who has been admitted to a limited partnership as
a limited partner in accordance with the partnership agreement.
(7) "Limited
partnership" and "domestic limited partnership" means a
partnership formed by two or more persons under the laws of this state and
having one or more general partners and one or more limited partners.
(8) "Partner"
means a limited or general partner.
(9) "Partnership
agreement" means any valid agreement, written or oral, of the partners as
to the affairs of a limited partnership and the conduct of its business.
(10) "Partnership
interest" means a partner's share of the profits and losses of a limited
partnership and the right to receive distributions of partnership assets.
(11) "Person"
means ((a natural person, partnership, limited partnership (domestic or
foreign), trust, estate, association, or corporation)) an individual,
corporation, business trust, estate, trust, partnership, limited liability
company, association, joint venture, government, governmental subdivision, agency,
or instrumentality, or any other legal or commercial entity.
(12) "State"
means a state, territory, or possession of the United States, the District of
Columbia, or the Commonwealth of Puerto Rico.
(13) "Conforms to
law" as used in connection with duties of the secretary of state in
reviewing documents for filing under this chapter, means the secretary of state
has determined the document complies as to form with the applicable
requirements of this chapter.
(14) "Effective
date" means, in connection with a document filing made by the secretary of
state, the date which is shown by affixing a "filed" stamp on the
documents. When a document is received for filing by the secretary of state in
a form which complies with the requirements of this chapter and which would
entitle the document to be filed immediately upon receipt, but the secretary of
state's approval action occurs subsequent to the date of receipt, the secretary
of state's filing date shall relate back to the date on which the secretary of
state first received the document in acceptable form. An applicant may request
a specific effective date no more than thirty days later than the receipt date
which might otherwise be applied as the effective date.
Sec. 3. RCW 25.15.005 and 2000 c
169 s 1 are each amended to read as follows:
As used in this
chapter, unless the context otherwise requires:
(1) "Certificate
of formation" means the certificate referred to in RCW 25.15.070, and the
certificate as amended.
(2) "Event of
dissociation" means an event that causes a person to cease to be a member
as provided in RCW 25.15.130.
(3) "Foreign
limited liability company" means an entity that is formed under:
(a) The limited
liability company laws of any state other than this state; or
(b) The laws of any
foreign country that is: (i) An unincorporated association, (ii) formed under
a statute pursuant to which an association may be formed that affords to each
of its members limited liability with respect to the liabilities of the entity,
and (iii) not required, in order to transact business or conduct affairs in
this state, to be registered or qualified under Title 23B or 24 RCW, or any
other chapter of the Revised Code of Washington authorizing the formation of a
domestic entity and the registration or qualification in this state of similar
entities formed under the laws of a jurisdiction other than this state.
(4) "Limited
liability company" and "domestic limited liability company"
means a limited liability company having one or more members that is organized
and existing under this chapter.
(5) "Limited
liability company agreement" means any written agreement of the members,
or any written statement of the sole member, as to the affairs of a limited
liability company and the conduct of its business which is binding upon the
member or members.
(6) "Limited
liability company interest" means a member's share of the profits and
losses of a limited liability company and a member's right to receive
distributions of the limited liability company's assets.
(7) "Manager"
or "managers" means, with respect to a limited liability company that
has set forth in its certificate of formation that it is to be managed by
managers, the person, or persons designated in accordance with RCW 25.15.150(2).
(8) "Member"
means a person who has been admitted to a limited liability company as a member
as provided in RCW 25.15.115 and who has not been dissociated from the limited
liability company.
(9) "Person"
means ((a natural person, partnership (whether general or limited and
whether domestic or foreign), limited liability company, foreign limited
liability company, trust, estate, association, corporation, custodian, nominee,
or any other individual or entity in its own or any representative capacity))
an individual, corporation, business trust, estate, trust, partnership,
limited liability company, association, joint venture, government, governmental
subdivision, agency, or instrumentality, or any other legal or commercial
entity.
(10) "Professional
limited liability company" means a limited liability company which is
organized for the purpose of rendering professional service and whose
certificate of formation sets forth that it is a professional limited liability
company subject to RCW 25.15.045.
(11) "Professional
service" means the same as defined under RCW 18.100.030.
(12)
"State" means the District of Columbia or the Commonwealth of Puerto
Rico or any state, territory, possession, or other jurisdiction of the United
States other than the state of Washington.
