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Corporations • Stock Issuance
CORP#021
Legal Definition
No-par stock is stock issued with no par or face value. In modern practice, par value is an antiquated concept and no-par stock is increasingly common.
Plain English Explanation
Many states are starting to allow corporations to issue shares with no par value since, as you've learned in other cards, par value is a practically useless concept these days. Just as it sounds, no-par stock is a share of stock that has no minimum price.
