§ 12693 Corporate Powers Amendment Clarification

• •Section 12320’s rules apply to the corporations covered by this law.
• •Old statements about a corporation’s powers are not limits unless they are clearly written as limits.
• •Amendments made under Section 12692 can change what the corporation can do.

A company’s original paperwork says it can sell only toys. Later the company amends its paperwork under Section 12692 to add new products. The old wording about “only toys” doesn’t stop the company from selling other things unless the original wording said it was a strict limit.

Because the old statement isn’t treated as a restriction unless it explicitly says so, the company can expand its business after the amendment.