Cal. Code Regs. tit. 10 § 260.011

Current through Register 2024 Notice Reg. No. 45, November 8, 2024

Section 260.011 - Indirect Benefit to the Issuer

The term "purchase price" as used in Section 25011 of the Code includes only the specific consideration bargained for in return for the securities (which may include the making of a loan to the issuer); it does not include any remote, contingent or incidental benefit which may accrue to the issuer, such as (without limitation) the inducement to a person to become or remain an employee of the issuer or perform other services for the issuer, even though a motive of the seller or the purchaser is to obtain such remote, contingent or incidental benefit for the issuer.

Cal. Code Regs. Tit. 10, § 260.011

1. Editorial correction adding NOTE filed 3-9-83 (Register 83, No. 11).

Note: Authority cited: Section 25610, Corporations Code. Reference: Sections 25011, 25101, 25102, 25104, 25110 and 25130, Corporations Code.

1. Editorial correction adding NOTE filed 3-9-83 (Register 83, No. 11).