Corporations Code section 7413

Neither a corporation nor any of its subsidiaries shall purchase or redeem a membership of the parent or subsidiary if the articles of the corporation contain a provision authorized by subparagraph (B) of paragraph (4) of subdivision (a) of Section 7132 and such corporation or the subsidiary making the purchase or redemption is, or as a result thereof would be, likely to be unable to meet the obligations resulting from such article provision.

Source: Section 7413, https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=CORP§ionNum=7413. (accessed May 13, 2025).

7410
7411
7412
7413
7414

Last Updated

May 12, 2025

§ 7413’s source at ca.gov

Stay Connected

Join thousands of people who receive monthly site updates.

Get Legal Help

The State Bar of California runs a service for finding an attorney in good standing. Initial consultations are usually free or discounted: Certified Lawyer Referral Services Directory

Committed to Public Service

We will always provide free access to the current law. In addition, we provide special support for non-profit, educational, and government users. Through social entrepreneurship, we’re lowering the cost of legal services and increasing citizen access.

Navigate

California:	Codes
Colorado:	C.R.S.
Nevada:	NRS
New York:	Laws
Oregon:	OAR, ORS
Texas:	Statutes
World:	Rome Statute, International Dictionary

Location: https://california.public.law/codes/corporations_code_section_7413

Original Source: Section 7413, https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=CORP§ionNum=7413. (last accessed May 12, 2025).