Financial Code section 1122

No bank shall issue any shares in consideration of:

(a)

Services rendered in the organization of such bank; or

(b)

Any note (whether or not negotiable and whether or not secured) made by the purchaser of such shares.

Source: Section 1122, https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=FIN§ionNum=1122. (updated Jan. 1, 2012; accessed Aug. 3, 2026).

1120
1121
1122

Up to date

Verified:
Aug. 3, 2026

§ 1122'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.
Florida:	Statutes
Nevada:	NRS
New York:	Laws
Oregon:	OAR, ORS
Texas:	Statutes
World:	Rome Statute, International Dictionary

Location: https://california.public.law/codes/financial_code_section_1122

Original Source: Section 1122, https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=FIN§ionNum=1122. (last accessed May 12, 2025).