true value rule

true-value rule. The rule requiring that one who subscribes for and receives corporate stock must pay par value for it, in either money or its equivalent, so that a corporation’s real assets square with its books. • If true value is less than par value, the stock is deemed unpaid for to the full extent of the difference, and the affected shareholder is liable to creditors for the difference, notwithstanding the directors’ good faith. [Cases: Corporations 232.]

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词条贡献者

资深法律翻译Patrick，毕业于美国顶尖的高级翻译学院，专注翻译各类与资产管理有关的法律文件。