The Constitution limits "corporations" to business entities with powers or privileges not possessed by individuals or partnerships. The Constitution also requires the payment of money, property or labor for issuance of corporate stock and bonds; prohibits the increase of corporate stock and debt without consent of stockholders holding a larger value of stock first obtained; and protects cumulative voting rights of stockholders.

Constitutional Amendment H would repeal the above provisions and permit a 2008 Legislative Session bill (HB 1139) to become law. The new law would allow a corporation to restrict cumulative voting and to issue corporate stock for any consideration determined to be adequate by its board of directors.

(5013)