ARTICLE 8. Issue of Securities [820. - 860.]

Article 8 enacted by Stats. 1935, Ch. 145.

§§ 820–860 · 49 sections

§ 820 The terms used in this article shall be given the meanings herein set forth, but such meanings shall not, merely by reason of enactment in this article, govern…
§ 821 “Security” means every instrument commonly known by that term, except: (a) Commercial paper when issued, given or acquired in a bona fide way in the ordinary…
§ 821.5 Without in any manner affecting the scope of the term “security” as set forth in section 821, and with the exceptions therein set forth, the following…
§ 822 Except as otherwise provided by this article, “sale” or “sell” means every disposition, or attempt or arrangement to dispose, of a security or interest in a…
§ 823 (a) A privilege pertaining to a security giving the holder the privilege to convert such security into another security of the same insurer is not a sale of…
§ 824 “Broker” means every person, other than a stock agent, who in this state engages either wholly or in part in the business of (a) dealing in any security issued…
§ 825 “Stock agent” means every person employed or appointed by an insurer or broker who, within this state and for a compensation, sells any security.
§ 826 “Insurer” for the purposes of this article includes every organization organized for the purpose of assuming the risk of loss under contracts of insurance or…
§ 827 An insurer shall not sell in this state, except upon a sale for delinquent assessment made in accordance with the provisions of Section 423 of the Corporations…
§ 827.3 (a) As used in this section, the term “insurer” means an insurer which is domestic and admitted. (b) The transactions of an insurer set out in subdivisions (c)…
§ 827.5 The term “insurer” as used in this section shall not include domestic insurers as defined in Section 26. The following transactions of an insurer described in…
§ 827.6 Any offer or sale of voting common stock by an insurer incorporated in this state shall be exempt from the provisions of this article if, immediately after the…
§ 827.7 Where required by this article the commissioner is authorized to issue subscription and preorganization permits of and pertaining to insurers or proposed…
§ 827.8 An offer or sale of voting common stock or preferred stock of and by a foreign or alien insurer to property broker-agents or casualty broker-agents, as defined…
§ 828 Except in the case of a broker holding a broker’s certificate issued by the commissioner under this code or by the Commissioner of Financial Protection and…
§ 829 A person shall not issue, circulate, or publish any advertisement or writing concerning any security sold by him, unless either his name is subscribed thereto,…
§ 830 A person shall not issue, circulate, or publish any such advertisement or writing after receipt of notice in writing from the commissioner that, in his…
§ 831 Every security issued by any insurer without a permit of the commissioner authorizing the same in effect at the time of the issue, shall be void. Every…
§ 831.1 Every security of a home protection company issued or authorized to be issued prior to December 31, 1978, shall be valid even though it has been issued without…
§ 832 Every insurer that commits any of the following acts is guilty of a public offense and punishable by fine not exceeding ten thousand dollars: (a) Selling or…
§ 833 Every person who commits any of the acts specified in this section is guilty of a public offense and punishable by a fine not exceeding ten thousand dollars…
§ 834 The application for a permit to issue or sell securities shall be verified as provided in the Code of Civil Procedure for the verification of pleadings, and…
§ 835 If the applicant is a partnership, unincorporated association, or joint stock company, it shall file with its application a copy of its articles of partnership…
§ 836 If the applicant is a corporation, it shall file with its application a copy of all minutes of any proceedings of its directors, stockholders, or members,…
§ 837 If the applicant is a foreign corporation or association, it shall also file with its application: (a) A certificate of the proper officer of the jurisdiction…
§ 838 Upon the filing of such application, the commissioner shall examine it and the other papers and documents filed therewith. He may, if he deems it advisable,…
§ 838.5 Pursuant to this code, the commissioner has been and is authorized, in the instance of an application for a permit to issue securities in exchange for one or…
§ 839 The commissioner shall issue a permit if he finds that: (a) The proposed plan of business of the applicant and the proposed issuance of securities are fair,…
§ 839.1 (a) In any case where a domestic insurer is directly affected by the total transaction for some part of which the permit applied for is needed, and the…
§ 839.5 The commissioner shall not issue a permit for the sale of any securities of a domestic insurer in any case where he finds that the expense of organization,…
§ 840 The commissioner may prescribe in the permit the amounts, considerations, terms, and conditions governing the issue and disposal of the securities and the…
§ 841 Every permit shall recite in bold type that the issuance thereof is permissive only and does not constitute a recommendation or endorsement of the securities…
§ 842 The commissioner may impose conditions requiring the deposit in escrow of securities and the impoundment of the proceeds from the sale thereof, limiting the…
§ 843 The commissioner may, from time to time and for cause, amend, alter or revoke any permit issued by him hereunder, or temporarily suspend the rights thereunder…
§ 844 Every insurer authorized by the commissioner to sell securities shall thereafter, at such times and in such form as he requires, make and file in his office a…
§ 845 (a) A person shall not sell or resell any security of a domestic, foreign, or alien insurer: (1) As an insurer with respect to securities of its own issue…
§ 845.5 The certificate required by Section 845 to act as a stock agent of an insurer shall be secured as provided in Section 846 and shall expire on the first day of…
§ 846 To secure such certificate, the applicant shall make and file in the office of the commissioner an application therefor in writing, verified by or in behalf of…
§ 847 At the time of filing an application for a broker’s certificate, the applicant shall file with the commissioner a bond for five thousand dollars ($5,000),…
§ 850 If the applicant is a foreign corporation or association, it shall file with its application: (a) A copy of its articles of incorporation or association. (b) A…
§ 851 The commissioner shall examine such application, and shall make such further investigation of the applicant and its affairs as he deems advisable. He shall…
§ 852 The commissioner may at any time in accordance with the procedure provided in Section 1738 suspend or revoke any broker’s or stock agent’s certificate issued…
§ 853 Every broker shall, at such times as the commissioner requires, make and file in the office of the commissioner a true and correct statement concerning any…
§ 854 After receipt of notice in writing from the commissioner, stating that the sale of a security would, in the commissioner’s opinion, be unfair, unjust, or…
§ 855 All writings filed with the commissioner under this article shall be open to public inspection except where, in his judgment, the public welfare or the welfare…
§ 856 (a) The commissioner may at any time give or make public any information concerning any insurer, if in the commissioner’s judgment, the giving or publishing of…
§ 857 The commissioner shall charge and collect the following fees: (a) For filing an original or supplemental application, or any amendments thereto, for a permit…
§ 859 The commissioner shall also collect the following fees: (a) For filing any application for a broker’s certificate, two hundred eighty-three dollars ($283) for…
§ 860 No fees shall be charged or collected for copies of papers, records, or official documents furnished to public officers for use in their official capacity or…