NOTE: This provision of law was included in the Unconstitutional Statutes Biennial Report to the Legislature, dated March 14, 2016.

§1982. Proof of ownership of business

A. An applicant for certification may submit to the division proof of his ownership of the requisite percentage of the business at the time the application is submitted. Such proof shall consist of stock certificates, a notarized affidavit of stock ownership from the corporate treasurer, a partnership agreement, cancelled check used to purchase ownership, or other proof of ownership acceptable to the division. In cases of sole proprietorships or other cases where documentary proof of ownership is not available, the applicant shall so advise the division, which may undertake further investigation. The division may also require documents showing how and when the applicant's interest in the business was acquired. The division may require any applicant to provide additional proof of or information concerning ownership.

B. In determining whether the fifty-one percent ownership requirement is met, no stock or ownership held in trust shall be counted except in the following cases:

(1) When both the trustee and the beneficiary are minorities, and the trustee meets the fifty-one percent control requirement for a minority business enterprise.

(2) When the stock or ownership is held in an irrevocable trust for the benefit of a minority, and the minority beneficiary meets the fifty-one percent control requirement for a minority business enterprise.

(3) When both the trustee and the beneficiary are women, and the trustee meets the fifty-one percent control requirement for a women's business enterprise.

(4) When the stock or ownership is held in an irrevocable trust for the benefit of a woman, and the woman beneficiary meets the fifty-one percent control requirement for a women's business enterprise.

Acts 1984, No. 653, §1, eff. July 1, 1984; Acts 1992, No. 797, §2, eff. July 1, 1992.