Go to Previous Versions
of
this Section
2025 Delaware Code
Title 5 - Banking
Chapter 7. CORPORATION LAW FOR STATE BANKS AND TRUST COMPANIES
Subchapter IV. Powers and Prohibitions
§ 768. Loans on security of and purchase of its own capital stock.
Universal Citation:
5 DE Code § 768 (2025)
Learn more
This media-neutral citation is based
on the American Association of Law Libraries Universal Citation Guide and is not
necessarily the official citation.
§ 768. Loans on security of and purchase of its own capital stock.
No corporation established under this chapter or under Chapter 15 of this title shall directly or indirectly make a loan or discount on the security of the shares of its own capital stock, nor be the purchaser or holder of such shares, unless such security or purchase shall be necessary to prevent loss upon a debt previously contracted in good faith. The stock so purchased or acquired shall, within 6 months after its purchase or acquisition, be sold or disposed of at public or private sale. Notwithstanding the foregoing, the Commissioner may approve the purchase by such a corporation of the shares of its own capital stock, subject to such terms and conditions, if any, as the Commissioner may require.
38 Del. Laws, c. 94, § 18; Code 1935, § 2387; 5 Del. C. 1953, § 768; 64 Del. Laws, c. 42, § 4; 71 Del. Laws, c. 19, § 22; 80 Del. Laws, c. 1, § 1;
Disclaimer: These codes may not be the most recent version. Delaware may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
