N.Y. Bus. Corp. Law § 509

§ 509. Fractions of a share or scrip authorized.\n (a) A corporation may, but shall not be obliged to, issue fractions of\na share either represented by a certificate or uncertificated, which\nshall entitle the holder, in proportion to his fractional holdings, to\nexercise voting rights, receive dividends and participate in liquidating\ndistributions.\n (b) As an alternative, a corporation may pay in cash the fair value of\nfractions of a share as of the time when those entitled to receive such\nfractions are determined.\n (c) As an alternative, a corporation may issue scrip in registered or\nbearer form over the manual or facsimile signature of an officer of the\ncorporation or of its agent, exchangeable as therein provided for full\nshares, but such scrip shall not entitle the holder to any rights of a\nshareholder except as therein provided. Such scrip may be issued subject\nto the condition that it shall become void if not exchanged for\ncertificates representing full shares or uncertificated full shares\nbefore a specified date, or subject to the condition that the shares for\nwhich such scrip is exchangeable may be sold by the corporation and the\nproceeds thereof distributed to the holders of such scrip, or subject to\nany other conditions which the board may determine.\n (d) A corporation may provide reasonable opportunity for persons\nentitled to fractions of a share or scrip to sell such fractions of a\nshare or scrip or to purchase such additional fractions of a share or\nscrip as may be needed to acquire a full share.\n