1. If a stockholder of a banking corporation or member of a banking company fails to pay any installment on his or her stock or contribution when the installment is required by law to be paid, the directors or managers of the bank shall sell the stock or member’s interest at public or private sale, as they may deem best, having first given the delinquent stockholder or member 20 days’ notice, personally or by mail, at his or her last known address.
2. If no person can be found who will pay for the stock or interest the amount due thereon, together with any additional indebtedness of the stockholder or member to the bank, the amount previously paid is forfeited to the bank. The stock or interest must be sold, as the directors may order, within 30 days after the forfeiture and, if not sold, it must be cancelled and deducted from the capital of the bank.
3. The other members of a banking company have a joint and several right of first refusal to buy the interest of the delinquent member. If this right is not exercised, the buyer becomes a member.
(Added to NRS by 1971, 975; A 1995, 479)
Copyright ©2024 LegalFix. All rights reserved. LegalFix is not a law firm, is not licensed to practice law, and does not provide legal advice, services, or representation. The information on this website is an overview of the legal plans you can purchase—or that may be provided by your employer as an employee benefit or by your credit union or other membership group as a membership benefit.
LegalFix provides its members with easy access to affordable legal services through a network of independent law firms. LegalFix, its corporate entity, and its officers, directors, employees, agents, and contractors do not provide legal advice, services, or representation—directly or indirectly.
The articles and information on the site are not legal advice and should not be relied upon—they are for information purposes only. You should become a LegalFix member to get legal services from one of our network law firms.
You should not disclose confidential or potentially incriminating information to LegalFix—you should only communicate such information to your network law firm.
The benefits and legal services described in the LegalFix legal plans are not always available in all states or with all plans. See the legal plan Benefit Overview and the more comprehensive legal plan contract during checkout for coverage details in your state.
Use of this website, the purchase of legal plans, and access to the LegalFix networks of law firms are subject to the LegalFix Terms of Service and Privacy Policy.