— Also termed certificate of stock; share certificate. [Cases: Corporations 94. C.J.S. Corporations § 172.]
face-amount certificate.
1. A certificate, investment contract, or other security representing an obligation by its issuer to pay a stated or determinable sum, at a fixed or determinable date or dates more than 24 months after the date of issuance, in consideration of the payment of periodic installments of a stated or determinable amount.
— Also termed face-amount certificate of the installment type.
2. A security representing a similar obligation on the part of the issuer of a face-amount certificate, the consideration for which is the payment of a single lump sum.
— Also termed fully paid face-amount certificate. See 15 USCA § 80a-2(a)(15).
periodic-payment-plan certificate. A certificate, investment contract, or other security providing for a series of periodic payments by the holder and representing an undivided interest in certain specified securities or in a unit or fund of securities purchased wholly or partly with the proceeds of those payments. • The term also includes any security whose issuer is also issuing the certificates described above and whose holder has substantially the same rights and privileges as those holders have upon completing the periodic payments for which the securities provide. See 15 USCA § 80a-2(a)(27).
