Iowa Code § 490.723
Shares held by intermediaries and nominees
Redline — January 1, 2012 → current.View current text →
Current — January 1, 2023
As of January 1, 2012
1. A corporation may establish a procedure by which the beneficial owner of shares that are registered in the name of a nominee is recognized by the corporation as the shareholder. The extent of this recognition may be determined in the procedure.
1. A corporation’s board of directors may establish a procedure under which a person on whose behalf shares are registered in the name of an intermediary or nominee may elect to be treated by the corporation as the record shareholder by filing with the corporation a beneficial ownership certificate. The terms, conditions, and limitations of this treatment shall be specified in the procedure. To the extent such person is treated under such procedure as having rights or privileges that the record shareholder otherwise would have, the record shareholder shall not have those rights or privileges.
2. The procedure may set forth:
2. The procedure must specify all of the following:
a. The types of nominees to which it applies.
a. The types of intermediaries or nominees to which it applies.
b. The rights or privileges that the corporation recognizes in a beneficial owner.
b. The rights or privileges that the corporation recognizes in a person with respect to whom a beneficial ownership certificate is filed.
c. The manner in which the procedure is selected by the nominee.
c. The manner in which the procedure is selected which must include that the beneficial ownership certificate be signed or assented to by or on behalf of the record shareholder and the person on whose behalf the shares are held.
d. The information that must be provided when the procedure is selected.
d. The information that must be provided when the procedure is selected.
e. The period for which selection of the procedure is effective.
e. The period for which selection of the procedure is effective.
f. Other aspects of the rights and duties created.
f. Requirements for notice to the corporation with respect to the arrangement.
g. The form and contents of the beneficial ownership certificate.
3. The procedure may specify any other aspects of the rights and duties created by the filing of a beneficial ownership certificate.
89 Acts, ch 288, §63
89 Acts, ch 288, §63; 2021 Acts, ch 165, §70, 230
Referred to in
Official source: Iowa Legislature. Reproduced from public-domain Iowa statutes; confirm against the official source for the current text. Not legal advice.