SB333: Bill Text

SB333,28,4 (3) "Foreign business entity" means a foreign limited liability company, as defined in s. 183.0102 (8), a foreign limited partnership, as defined in s. 179.01 (4), a foreign corporation, as defined in s. 180.0103 (9), or a foreign corporation, as defined in s. 181.0103 (13).

SB333, s. 52 Section 52. 180.1101 (1) of the statutes is amended to read:

SB333,28,13 180.1101 (1) One or more corporations may merge into another corporation with or into one or more other business entities if the board of directors of each corporation, by resolution adopted by each board, approves a plan of merger and, if required by s. 180.1103, its shareholders also approve the plan of merger, and if the merger is permitted under the applicable law of the jurisdiction that governs each other business entity that is a party to the merger and each such business entity approves the plan of merger in the manner required by the laws applicable to the business entity.

SB333, s. 53 Section 53. 180.1101 (2) (a) of the statutes is amended to read:

SB333,28,19 180.1101 (2) (a) The name of each corporation, form of business entity, and identity of the jurisdiction governing each business entity planning to merge and the name, form of business entity, and identity of the jurisdiction of the surviving corporation business entity into which each other corporation business entity plans to merge.

SB333, s. 54 Section 54. 180.1101 (2) (c) of the statutes is amended to read:

SB333,28,25 180.1101 (2) (c) The manner and basis of converting the shares of each corporation into shares or other interests in each business entity that is a party to the merger into shares, interests, obligations, or other securities of the surviving corporation business entity or any other corporation business entity or into cash or other property in whole or part.

SB333, s. 55 Section 55. 180.1101 (3) (a) of the statutes is amended to read:

SB333,29,3 180.1101 (3) (a) Amendments to the articles of incorporation or other similar governing document of the surviving corporation business entity.

SB333, s. 56 Section 56. 180.1102 (1) of the statutes is amended to read:

SB333,29,12 180.1102 (1) A corporation may acquire all of the outstanding shares of one or more classes or series of another corporation business entity if the board of directors of each corporation, by resolution adopted by each board, approves a plan of share exchange and, if required by s. 180.1103, its shareholders also approve the plan of share exchange, and if the share exchange is permitted under the applicable law of the jurisdiction that governs the other business entity and the other business entity approves the plan of share exchange in the manner required by the laws of the jurisdiction that governs the other business entity.

SB333, s. 57 Section 57. 180.1102 (2) (a) of the statutes is amended to read:

SB333,29,16 180.1102 (2) (a) The name of the corporation, form of business entity, and identity of the jurisdiction governing the business entity whose shares will be acquired and the name of the acquiring corporation business entity.

SB333, s. 58 Section 58. 180.1102 (2) (c) of the statutes is amended to read:

SB333,29,21 180.1102 (2) (c) The manner and basis of exchanging the shares or other ownership interests to be acquired for shares, obligations or other securities of the acquiring or any other corporation business or for cash or other property in whole or part.

SB333, s. 59 Section 59. 180.1103 (6) of the statutes is amended to read:

SB333,30,5 180.1103 (6) Merger or share exchange abandoned. After a merger or share exchange is authorized, and at any time before articles of merger or share exchange are filed, the planned merger or share exchange may be abandoned, subject to any contractual rights, without further shareholder action on the part of shareholders or other owners, in accordance with the procedure set forth in the plan of merger or share exchange or, if none is set forth, in the manner determined by the board of directors or other similar governing body of any other business entity that is a party to the merger.

SB333, s. 60 Section 60. 180.1104 (title) of the statutes is amended to read:

SB333,30,7 180.1104 (title) Merger of subsidiary or parent.

SB333, s. 61 Section 61. 180.1104 (1) of the statutes is amended to read:

SB333,30,14 180.1104 (1) A parent corporation owning at least 90% of the outstanding shares of each class of a subsidiary corporation or at least 90% of the outstanding interests of each class of any other subsidiary business entity may merge the subsidiary into itself the parent or the parent into the subsidiary without approval of the shareholders of the parent or the shareholders or other owners of the subsidiary.

SB333, s. 62 Section 62. 180.1104 (2) (b) of the statutes is amended to read:

SB333,30,19 180.1104 (2) (b) The manner and basis of converting the shares or other interests of the subsidiary or parent into shares, interests, obligations, or other securities of the parent surviving business entity or any other corporation business entity or into cash or other property in whole or part.

SB333, s. 63 Section 63. 180.1104 (3) of the statutes is amended to read:

SB333,30,23 180.1104 (3) The parent shall mail a copy or summary of the plan of merger to each shareholder or other owner of the subsidiary merging business entity who does not waive the mailing requirement in writing.

SB333, s. 64 Section 64. 180.1104 (4) of the statutes is amended to read:

SB333,31,4 180.1104 (4) The parent may not deliver articles of merger to the department for filing until at least 30 10 days after the date on which it mailed a copy of the plan of merger to each shareholder or other owner of the subsidiary merging business entity who did not waive the mailing requirement.

SB333, s. 65 Section 65. 180.1104 (5) of the statutes is amended to read:

SB333,31,9 180.1104 (5) Articles of merger under this section may not contain amendments to the articles of incorporation of the parent corporation surviving business entity, except for amendments enumerated in s. 180.1002 or otherwise not requiring the approval of the shareholders or other owners of the entity.

SB333, s. 66 Section 66. 180.1105 (1) (intro.) of the statutes is amended to read:

SB333,31,17 180.1105 (1) (intro.) Except as provided in s. 180.1104 (4), after a plan of merger or share exchange is approved by the shareholders of the corporation, or adopted by the board of directors if shareholder approval is not required, and by each other business entity that is a party to the merger in the manner required by the laws applicable to the business entity, the surviving or acquiring corporation business entity shall deliver to the department for filing articles of merger or share exchange setting forth all of the following:

SB333, s. 67 Section 67. 180.1105 (1) (b) of the statutes is amended to read:

SB333,31,22 180.1105 (1) (b) A statement that the plan was approved by each domestic corporation that is a party to the merger in accordance with s. 180.1103 or 180.1104, whichever is applicable, and by each other business entity that is a party to the merger in the manner required by the laws applicable to the business entity.

SB333, s. 68 Section 68. 180.1105 (1) (c) of the statutes is created to read:

SB333,32,3 180.1105 (1) (c) The effective date and time of the merger or share exchange, if the merger or share exchange is to take effect at a time other than the close of business on the date of filing the articles of merger, as provided under s. 180.0123.

SB333, s. 69 Section 69. 180.1105 (1) (d) of the statutes is created to read:

SB333,32,6 180.1105 (1) (d) Other provisions relating to the merger, as determined by the surviving business entity.

SB333, s. 70 Section 70. 180.1106 (1) (a) of the statutes is amended to read:

SB333,32,11 180.1106 (1) (a) Every other corporation business entity that is party to the merger merges into the surviving corporation business entity, and the separate existence of every corporation business entity that is a party to the merger, except the surviving corporation business entity, ceases.

SB333, s. 71 Section 71. 180.1106 (1) (am) of the statutes is created to read:

SB333,32,17 180.1106 (1) (am) If the merger is with or into a business entity under the laws applicable to which one or more of the owners of the business entity is liable for the debts and obligations of the business entity, the owner or owners are so liable only for the debts and obligations accrued during the period or periods in which such laws are applicable. This paragraph does not affect liability under any taxation laws.

SB333, s. 72 Section 72. 180.1106 (1) (b) of the statutes is amended to read:

SB333,33,2 180.1106 (1) (b) The title to all property owned by each corporation business entity that is party to the merger is vested in the surviving corporation business entity without reversion or impairment, provided that, if a merging business entity has an interest in real estate in Wisconsin on the date of the merger, the merging business entity shall transfer that interest to the business entity surviving the merger and shall execute any real estate transfer return required under s. 77.22. The business entity surviving the merger shall promptly record the instrument of conveyance under s. 59.43 in the office of the register of deeds for each county in which the real estate is located.

SB333, s. 73 Section 73. 180.1106 (1) (c) of the statutes is amended to read:

SB333,33,5 180.1106 (1) (c) The surviving corporation business entity has all liabilities of each corporation business entity that is party to the merger.

SB333, s. 74 Section 74. 180.1106 (1) (d) of the statutes is amended to read:

SB333,33,11 180.1106 (1) (d) A civil, criminal, administrative , or investigatory proceeding pending by or against any corporation business entity that is a party to the merger may be continued as if the merger did not occur, or the surviving corporation business entity may be substituted in the proceeding for the corporation business entity whose existence ceased.

SB333, s. 75 Section 75. 180.1106 (1) (e) of the statutes is repealed and recreated to read:

SB333,33,16 180.1106 (1) (e) The articles of incorporation, articles of organization, certificate of limited partnership, or other similar governing document, whichever is applicable, of the surviving business entity shall be amended to the extent provided in the plan of merger.

SB333, s. 76 Section 76. 180.1106 (1) (f) of the statutes is amended to read:

SB333,33,24 180.1106 (1) (f) The shares or other interests of each corporation business entity that is party to the merger that are to be converted into shares, interests, obligations, or other securities of the surviving corporation business entity or any other corporation business entity or into cash or other property are converted, and the former holders of the shares or interests are entitled only to the rights provided in the articles of merger or to their rights under ss. 180.1301 to 180.1331 or otherwise under the laws applicable to each business entity that is party to the merger.

SB333, s. 77 Section 77. 180.1106 (3) of the statutes is created to read:

SB333,34,6 180.1106 (3) (a) When a merger or share exchange under this section takes effect, the department is the agent of any surviving foreign business entity of a merger or any acquiring foreign business entity in a share exchange, for service of process in a proceeding to enforce any obligation or the rights of dissenting shareholders or other owners of each domestic business entity that is a party to the merger or share exchange.

SB333,34,13 (b) When a merger or share exchange under this section takes effect, any surviving foreign business entity of a merger or any acquiring foreign business entity in a share exchange shall promptly pay to the dissenting shareholders of each domestic corporation or dissenting owners of each other domestic business entity that is a party to the merger or share exchange the amount, if any, to which they are entitled under ss. 180.1301 to 180.1331 or under any law applicable to such other domestic business entity.

SB333, s. 78 Section 78. 180.1107 of the statutes is repealed.

SB333, s. 79 Section 79. 180.1150 (3) (e) of the statutes is amended to read:

SB333,34,18 180.1150 (3) (e) Shares acquired under s. 180.1101, 180.1102, or 180.1104 or 180.1107 if the resident domestic corporation is a party to the merger or share exchange.

SB333, s. 80 Section 80. 180.1161 of the statutes is created to read:

SB333,34,23 180.1161 Conversion. (1) (a) A domestic corporation may convert to another form of business entity if it satisfies the requirements under this section and if the conversion is permitted under the applicable law of the jurisdiction that governs the organization of the business entity into which the domestic corporation is converting.

SB333,35,4 (b) In addition to satisfying any applicable legal requirements of the jurisdiction that governs the organization of the business entity into which the domestic corporation is converting and that relate to the submission and approval of a plan of conversion, the domestic corporation shall comply with the procedures that govern a plan of merger under s. 180.1103 for the submission and approval of a plan of conversion.

SB333,35,8 (2) (a) A business entity other than a domestic corporation may convert to a domestic corporation if it satisfies the requirements under this section and if the conversion is permitted under the applicable law of the jurisdiction that governs the business entity.

SB333,35,11 (b) A business entity converting into a domestic corporation shall comply with the procedures that govern the submission and approval of a plan of conversion of the jurisdiction that governs the business entity.

SB333,35,12 (3) A plan of conversion shall set forth all of the following:

SB333,35,14 (a) The name, form of business entity, and the identity of the jurisdiction governing the business entity that is to be converted.

SB333,35,16 (b) The name, form of business entity, and the identity of the jurisdiction that will govern the business entity after conversion.

SB333,35,17 (c) The terms and conditions of the conversion.

SB333,35,20 (d) The manner and basis of converting the shares or other ownership interests of the business entity that is to be converted into the shares or other ownership interests of the new form of business entity.

SB333,35,23 (e) The effective date and time of the conversion, if the conversion is to be effective other than at the close of business on the date of filing the certificate of conversion, as provided under s. 180.0123.

SB333,36,3 (f) A copy of the articles of incorporation, articles of organization, certificate of limited partnership, or other similar governing document of the business entity after conversion.

SB333,36,5 (g) Other provisions relating to the conversion, as determined by the business entity.

SB333,36,6 (4) When a conversion is effective, all of the following shall occur:

SB333,36,11 (a) 1. Except with respect to taxation laws of each jurisdiction that are applicable upon the conversion of the business entity, the business entity that was converted is no longer subject to the applicable law of the jurisdiction that governed the organization of the prior form of business entity and is subject to the applicable law of the jurisdiction that governs the new form of business entity.

SB333,36,16 2. If the conversion is from or to a business entity under the laws applicable to which one or more of the owners thereof is liable for the debts and obligations of such business entity, such owner or owners shall be so liable only for debts and obligations accrued during the period or periods in which such laws are applicable. This subdivision does not affect liability under any taxation laws.

SB333,36,18 (b) The business entity continues to have all liabilities of the business entity that was converted.

SB333,37,2 (c) The business entity continues to be vested with title to all property owned by the business entity that was converted without reversion or impairment, provided that, if the converting business entity has an interest in real estate in Wisconsin on the date of the conversion, the converting business entity shall transfer that interest to the business entity surviving the conversion and shall execute any real estate transfer return required under s. 77.22. The business entity surviving the conversion shall promptly record the instrument of conveyance under s. 59.43 in the office of the register of deeds for each county in which the real estate is located.

SB333,37,5 (d) The articles of incorporation, articles of organization, certificate of limited partnership, or other similar governing document, whichever is applicable, of the business entity are as provided in the plan of conversion.

SB333,37,6 (e) All other provisions of the plan of conversion apply.

SB333,37,9 (5) After a plan of conversion is submitted and approved, the business entity that is to be converted shall deliver to the department for filing a certificate of conversion that includes all of the following:

SB333,37,10 (a) The plan of conversion.

SB333,37,13 (b) A statement that the plan of conversion was approved in accordance with the applicable law of the jurisdiction that governs the organization of the business entity.

SB333,37,15 (c) The registered agent and registered office, record agent and record office, or other similar agent and office of the business entity before and after conversion.

SB333,37,18 (6) Any civil, criminal, administrative, or investigatory proceeding that is pending by or against a business entity that is converted may be continued by or against the business entity after the effective date of conversion.

SB333, s. 81 Section 81. 180.1302 (1) (cm) of the statutes is created to read:

SB333,37,20 180.1302 (1) (cm) Consummation of a plan of conversion.

SB333, s. 82 Section 82. 180.1421 (1) and (2) of the statutes are amended to read:

SB333,38,2 180.1421 (1) If the department determines that one or more grounds exist under s. 180.1420 for dissolving a corporation, the department shall serve give the corporation under s. 180.0504 with written 180.0141 notice of the determination. Notwithstanding s. 180.0141 (2) (b), (3), and (4), the notice shall be in writing and addressed to the registered office of the corporation.

SB333,38,6 (2) (a) Within 60 days after service of the notice is perfected takes effect under s. 180.0504 180.0141 (5) (a), the corporation shall correct each ground for dissolution or demonstrate to the reasonable satisfaction of the department that each ground determined by the department does not exist.

SB333,38,14 (b) If the corporation fails to satisfy par. (a), the department shall administratively dissolve the corporation by issuing a certificate of dissolution that recites each ground for dissolution and its effective date. The department shall file the original of the certificate and serve a copy on the corporation under s. 180.0504 enter a notation in its records to reflect each ground for dissolution and the effective date of dissolution and shall give the corporation under s. 180.0141 notice of those facts. Notwithstanding s. 180.0141 (2) (b), (3), and (4), the notice shall be in writing and addressed to the registered office of the corporation.

SB333, s. 83 Section 83. 180.1421 (2m) of the statutes is created to read: