SB29 Alabama 2011 Session

Under the Constitution of Alabama of 1901, portions of Article XII relate to private corporations and railroads and canals. This bill would propose an amendment to the Constitution which would rewrite certain sections of Article XII as generally described herein and would repeal other sections

This bill would amend Section 229, as amended by Amendment 27 of the Constitution of Alabama of 1901, now appearing as Section 229 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, by replacing current language with language specifying that the Legislature, by general law only, may pass laws under which corporations and other entities may be organized, dissolved, and regulated and that the Legislature shall provide for the payment of a tax on the privilege of doing business or being organized, incorporated, qualified, or registered under the laws of Alabama. This bill would also amend Section 240 of the Constitution of Alabama of 1901, now appearing as Section 240 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, by adding language formerly found in Section 236, which this bill would repeal, specifying that a stockholder in a corporation cannot be individually liable for more than the unpaid stock owned by that stockholder

This bill would also repeal the following sections of Article XII relating to private corporations and railroads and canals: Section 230 of the Constitution of Alabama of 1901, now appearing as Section 230 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to the cancellation of certain corporate charters; Section 231 of the Constitution of Alabama of 1901, now appearing as Section 231 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to limitation on remitting forfeiture of corporate charters; Section 232, as amended, by Amendment 473 of the Constitution of Alabama of 1901, now appearing as Section 232 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to foreign corporations doing business in the state; Section 233 of the Constitution of Alabama of 1901, now appearing as Section 233 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to corporations being restricted to business authorized by the charter; Section 234 of the Constitution of Alabama of 1901, now appearing as Section 234 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to restrictions on the issuance of corporate stocks and bonds; Section 236 of the Constitution of Alabama of 1901, now appearing as Section 236 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to security for dues from private corporations and liability of stockholders; Section 237 of the Constitution of Alabama of 1901, now appearing as Section 237 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to issuance of preferred stock by corporations; Section 243 of the Constitution of Alabama of 1901, now appearing as Section 243 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, specifying that the regulation of railroad companies is vested in the Legislature; Section 244 of the Constitution of Alabama of 1901, now appearing as Section 244 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to prohibiting the giving of free passes or discount tickets to members of the Legislature or officers exercising judicial functions; Section 245 of the Constitution of Alabama of 1901, now appearing as Section 245 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to railroads not giving rebates or bonuses, and deceiving or misleading the public as to rates; and Section 246 of the Constitution of Alabama of 1901, now appearing as Section 246 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to acceptance of article as a prerequisite to benefits of future legislation

Section 235 of the Constitution of Alabama of 1901, now appearing as Section 235 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to the taking of property for public use by municipal and other corporations would not be changed. Section 238 of the Constitution of Alabama of 1901, now appearing as Section 238 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to the authority of the Legislature to revoke charters of incorporation would not be changed. Section 239 of the Constitution of Alabama of 1901, now appearing as Section 239 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to the regulation of telephone and telegraph companies would not be changed. Section 241 of the Constitution of Alabama of 1901, now appearing as Section 241 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to the definition of a corporation would not be changed. Section 242 of the Constitution of Alabama of 1901, now appearing as Section 242 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to when railroads and canals are deemed public highways and relating to railroad and canal companies, common carriers, and rights of railroad companies generally would not be changed

Proposing an amendment to the Constitution of Alabama of 1901, relating to corporations; to amend Section 229, as amended by Amendment 27 of the Constitution of Alabama of 1901, now appearing as Section 229 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to the authority of the Legislature to pass general laws pertaining to corporations and other entities; to amend Section 240 of the Constitution of Alabama of 1901, now appearing as Section 240 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to the ability of corporations to sue and be sued like natural persons; and to repeal Sections 230, 231, 232 as amended by Amendment 473, 233, 234, 236, 237, 243, 244, 245, and 246 of the Constitution of Alabama of 1901, now appearing as Sections 230, 231, 232, 233, 234, 236, 237, 243, 244, 245, and 246, respectively, of the Official Recompilation of the Constitution of Alabama of 1901, as amended, relating to private corporations and railroads and canals.