SENATE BILL REPORT

SB 6665

BYSenators Nelson and Talmadge

Revising the corporations statutes.

Senate Committee on Law & Justice

Senate Hearing Date(s):January 30, 1990

Majority Report:     Do pass.

     Signed by Senators Nelson, Chairman; McCaslin, Vice Chairman; Hayner, Madsen, Newhouse, Niemi, Patrick, Rasmussen, Talmadge, Thorsness.

Senate Staff:Vicki E. Schur (786-7415)

                February 9, 1990

AS PASSED SENATE, FEBRUARY 8, 1990

BACKGROUND:

In 1989, the Legislature adopted the new Revised Model Business Corporations Act which goes into effect on July 1, 1990.  The act, Title 23B RCW, replaces the current law, Title 23A RCW.

SUMMARY:

References to Title 23A are amended to refer to Title 23B.  Language which allows a corporation in the ordinary course of business to dispose of property or to encumber property without shareholder approval, unless required by the articles of incorporation, inadvertently deleted from the act, is reinstated.

Appropriation:  none

Revenue:   none

Fiscal Note:    none requested

Senate Committee - Testified:   Don Whiting, Office of the Secretary of State