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Ark. Code Ann. § 4-27-1501

Authority to transact business required

Known as the Arkansas Business Corporation Act

The act spans §§ 4–4 (323 sections).

Applied in 8 court decisions — leading case Omni Holding & Development Corp. v. C.A.G. Investments, Inc. (2007)

Most recently applied in 2024 Ark. App. 59 - Robin Dee Enterprises, Inc. v. Carvin Burns (January 2024)

Acts 1987, No. 958, § 64-1501; 1987 (1st Ex

How often courts cite this section

1992200020102020202420
citing decisions per year

Court decisions citing this, by year. The dip in the last several years is a data-coverage gap, not a real trend — our corpus holds fewer opinions from the most recent years, so recent citations are undercounted.

(1) A foreign corporation may not transact business in this state until it obtains a certificate of authority from the Secretary of State.

(2) The following activities, among others, do not constitute transacting business within the meaning of subsection (a) of this section: Maintaining, defending, or settling any proceeding;

(3) Holding meetings of the board of directors or shareholders, or carrying on other activities concerning internal corporate affairs;

(4) Maintaining bank accounts;

(5) Maintaining offices or agencies for the transfer, exchange, and registration of the corporation's own securities or maintaining trustees or depositaries with respect to those securities;

(6) Selling through independent contractors;

(7) Soliciting or obtaining orders, whether by mail or through employees or agents or otherwise, if the orders require acceptance outside this state before they become contracts;

(8) Creating or acquiring indebtedness, mortgages, and security interests in real or personal property;

(9) Securing or collecting debts or enforcing mortgages and security interests in property securing the debts;

(10) Owning, without more, real or personal property;

(11) Conducting an isolated transaction that is completed within thirty (30) days and that is not one in the course of repeated transactions of a like nature;

(12) Transacting business in interstate commerce.

(13) The list of activities in subsection (b) of this section is not exhaustive.

Current official text: Arkansas General Assembly. Digitized from the UniCourt Code Improvement Commission public-domain capture. Reproduced from public-domain Arkansas statutes; confirm against the official source for the current text. Not legal advice.