ILCS » Chapter 805 · Act 5
Illinois Compiled Statutes

805 ILCS 5/1.80 (2026)

Definitions

✓ current as of May 2026
Find cases: SyfertCases citing this section IL-ILGAilga.gov JustiaChapter on Justia CornellLII Search CasesGoogle Scholar
(805 ILCS 5/1.80) (from Ch. 32, par. 1.80)
    Sec. 1.80. Definitions. As used in this Act, unless the context otherwise requires, the words and phrases defined in this Section shall have the meanings set forth herein.
    (a) "Corporation" or "domestic corporation" means a corporation subject to the provisions of this Act, except a foreign corporation.
    (b) "Foreign corporation" means a corporation for profit organized under laws other than the laws of this State, but shall not include a banking corporation organized under the laws of another state or of the United States, a foreign banking corporation organized under the laws of a country other than the United States and holding a certificate of authority from the Commissioner of Banks and Real Estate issued pursuant to the Foreign Banking Office Act, or a banking corporation holding a license from the Commissioner of Banks and Real Estate issued pursuant to the Foreign Bank Representative Office Act.
    (c) "Articles of incorporation" means the original articles of incorporation, including the articles of incorporation of a new corporation set forth in the articles of consolidation, and all amendments thereto, whether evidenced by articles of amendment, articles of merger, articles of exchange, statement of correction affecting articles, resolution establishing series of shares or a statement of cancellation under Section 9.05. Restated articles of incorporation shall supersede the original articles of incorporation and all amendments thereto prior to the effective date of filing the articles of amendment incorporating the restated articles of incorporation.
    (d) "Subscriber" means one who subscribes for shares in a corporation, whether before or after incorporation.
    (e) "Incorporator" means one of the signers of the original articles of incorporation.
    (f) "Shares" means the units into which the proprietary interests in a corporation are divided.
    (g) "Shareholder" means one who is a holder of record of shares in a corporation.
    (h) "Certificate" representing shares means a written instrument executed by the proper corporate officers, as required by Section 6.35 of this Act, evidencing the fact that the person therein named is the holder of record of the share or shares therein described. If the corporation is authorized to issue uncertificated shares in accordance with Section 6.35 of this Act, any reference in this Act to shares represented by a certificate shall also refer to uncertificated shares and any reference to a certificate representing shares shall also refer to the written notice in lieu of a certificate provided for in Section 6.35.
    (i) "Authorized shares" means the aggregate number of shares of all classes which the corporation is authorized to issue.
    (j) "Paid-in capital" means the sum of the cash and other consideration received, less expenses, including commissions, paid or incurred by the corporation, in connection with the issuance of shares, plus any cash and other consideration contributed to the corporation by or on behalf of its shareholders, plus amounts added or transferred to paid-in capital by action of the board of directors or shareholders pursuant to a share dividend, share split, or otherwise, minus reductions as provided elsewhere in this Act. Irrespective of the manner of designation thereof by the laws under which a foreign corporation is or may be organized, paid-in capital of a foreign corporation shall be determined on the same basis and in the same manner as paid-in capital of a domestic corporation, for the purpose of computing license fees, franchise taxes and other charges imposed by this Act.
    (k) "Net assets", for the purpose of determining the right of a corporation to purchase its own shares and of determining the right of a corporation to declare and pay dividends and make other distributions to shareholders is equal to the difference between the assets of the corporation and the liabilities of the corporation.
    (l) "Registered office" means that office maintained by the corporation in this State, the address of which is on file in the office of the Secretary of State, at which any process, notice or demand required or permitted by law may be served upon the registered agent of the corporation.
    (m) "Insolvent" means that a corporation is unable to pay its debts as they become due in the usual course of its business.
    (n) "Anniversary" means that day each year exactly one or more years after:
        (1) the date of filing the articles of incorporation
    
prescribed by Section 2.10 of this Act, in the case of a domestic corporation;
        (2) the date of filing the application for authority
    
prescribed by Section 13.15 of this Act, in the case of a foreign corporation; or
        (3) the date of filing the articles of consolidation
    
prescribed by Section 11.25 of this Act in the case of a consolidation, unless the plan of consolidation provides for a delayed effective date, pursuant to Section 11.40.
    (o) "Anniversary month" means the month in which the anniversary of the corporation occurs.
    (p) "Extended filing month" means the month (if any) which shall have been established in lieu of the corporation's anniversary month in accordance with Section 14.01.
    (q) "Taxable year" means that 12-month period commencing with the first day of the anniversary month of a corporation through the last day of the month immediately preceding the next occurrence of the anniversary month of the corporation, except that in the case of a corporation that has established an extended filing month "taxable year" means that 12-month period commencing with the first day of the extended filing month through the last day of the month immediately preceding the next occurrence of the extended filing month.
    (r) "Fiscal year" means the 12-month period with respect to which a corporation ordinarily files its federal income tax return.
    (s) "Close corporation" means a corporation organized under or electing to be subject to Article 2A of this Act, the articles of incorporation of which contain the provisions required by Section 2.10, and either the corporation's articles of incorporation or an agreement entered into by all of its shareholders provide that all of the issued shares of each class shall be subject to one or more of the restrictions on transfer set forth in Section 6.55 of this Act.
    (t) "Common shares" means shares which have no preference over any other shares with respect to distribution of assets on liquidation or with respect to payment of dividends.
    (u) "Delivered", for the purpose of determining if any notice required by this Act is effective, means:
        (1) transferred or presented to someone in person; or
        (2) deposited in the United States Mail addressed to
    
the person at his, her or its address as it appears on the records of the corporation, with sufficient first-class postage prepaid thereon.
    (v) "Property" means gross assets including, without limitation, all real, personal, tangible, and intangible property.
    (w) "Taxable period" means that 12-month period commencing with the first day of the second month preceding the corporation's anniversary month in the preceding year and prior to the first day of the second month immediately preceding its anniversary month in the current year, except that, in the case of a corporation that has established an extended filing month, "taxable period" means that 12-month period ending with the last day of its fiscal year immediately preceding the extended filing month. In the case of a newly formed domestic corporation or a newly registered foreign corporation that had not commenced transacting business in this State prior to obtaining authority, "taxable period" means that period commencing with the filing of the articles of incorporation or, in the case of a foreign corporation, of filing of the application for authority, and prior to the first day of the second month immediately preceding its anniversary month in the next succeeding year.
    (x) "Treasury shares" mean (1) shares of a corporation that have been issued, have been subsequently acquired by and belong to the corporation, and have not been cancelled or restored to the status of authorized but unissued shares and (2) shares (i) declared and paid as a share dividend on the shares referred to in clause (1) or this clause (2), or (ii) issued in a share split of the shares referred to in clause (1) or this clause (2). Treasury shares shall be deemed to be "issued" shares but not "outstanding" shares. Treasury shares may not be voted, directly or indirectly, at any meeting or otherwise. Shares converted into or exchanged for other shares of the corporation shall not be deemed to be treasury shares.
    (y) "Gross amount of business" means gross receipts, from whatever source derived.
    (z) "Open data" means data that is expressed in a machine-readable form and that is made freely available to the public under an open license, without registration requirement, and without any other restrictions that would impede its use or reuse.
(Source: P.A. 102-49, eff. 1-1-22; 103-605, eff. 7-1-24.)


 
    (805 ILCS 5/Art. 2 heading)
ARTICLE 2. FORMATION OF CORPORATIONS

    
Notes of Decisions
Cited in 14 cases (1 in the last 5 years), 1997–2021 · leading case: NDC LLC v. Topinka, 871 N.E.2d 210 (Ill. App. Ct. 2007).
Sort: Relevance Newest Treatment
NDC LLC v. Topinka, 871 N.E.2d 210 (Ill. App. Ct. 2007). · cites it 12× “805 ILCS 5/1.80(b) (West 2004). By this definition, Neighborhood, having been organized under the laws of Delaware, was a foreign corporation.”
E & E Hauling, Inc. v. Ryan, 713 N.E.2d 178 (Ill. App. Ct. 1999). · cites it 5× “On appeal E & E contends that the circuit court erred in granting summary judgement in favor of the Secretary, finding that an increase in paid-in capital as a result of push-down accounting adjustments made following a stock sale and section 338 election constituted an increase…”
Canel v. Topinka, 818 N.E.2d 311 (Ill. 2004). “805 ILCS 5/1.80 (West 2000). The proprietary interests represented by the shares of stock consist of management or control rights, rights to earnings, and rights to assets.”
James Hess & John Hess v. Reg-Ellen Mach. Tool Corp. & Reg Ellen Mach. Tool Corp. Emp. Stock Ownership Plan, 423 F.3d 653 (7th Cir. 2005). “” See 805 ILCS 5/1.80(g). On appeal, John takes issue with that conclusion, pointing out that he received notices of annual shareholder meetings and also received a letter from Reg-Ellen that begins “Dear Shareholder” and goes on to explain the requirements for exercising one’s…”
Prignano v. Prignano, 934 N.E.2d 89 (Ill. App. Ct. 2010). “Shares of stock are units of ownership of a corporation (805 ILCS 5/1.80 (West 2008)); once they have been issued and are held by a shareholder, they are not the same as the assets of a corporation (see People v.”
CWIK v. Giannoulias, 930 N.E.2d 990 (Ill. 2010). “805 ILCS 5/1.80 (West 2000). The proprietary interests represented by the shares of stock consist of management or control rights, rights to earnings, and rights to assets.”
USX Corp. v. White, 817 N.E.2d 896 (Ill. App. Ct. 2004). “” 805 ILCS 5/1.80(j) (West 2000). Sections 15.”
Venture Stores, Inc. v. Ryan, 678 N.E.2d 300 (Ill. App. Ct. 1997). · cites it 2× “Whatever the number, it is clear that if May had surrendered some shares for cancellation, its paid-in capital would have been reduced. There is no indication in the record that May or Venture would have been disadvantaged by surrendering and canceling shares.”
E & E Hauling, Inc. v. Ryan, 306 Ill. App. 3d 131 (Ill. App. Ct. 1999). · cites it 3× “On appeal E&E contends that the circuit court erred in granting summary judgment in favor of the Secretary, finding that an increase in paid-in capital as a result of push-down accounting adjustments made following a stock sale and section 338 election constituted an increase in…”
Donahue v. Demma, 2021 IL App (1st) 201279-U (Ill. App. Ct. 2021). “” 805 ILCS 5/1.80 (West 2016). The amended complaint describes GGE, Inc.”
Nalco NDC LLC v. Judy Barr Topinka (Ill. App. Ct. 2007). · cites it 8× “805 ILCS 5/1.80(b) (West 2004). By this definition, Neighborhood, having been organized under the laws of Delaware, was a foreign corporation.”
Hess, James v. Reg-Ellen Mach. (7th Cir. 2005). “” See 805 ILCS 5/1.80(g). On appeal, John takes issue with that conclusion, point- ing out that he received notices of annual shareholder meetings and also received a letter from Reg-Ellen that begins “Dear Shareholder” and goes on to explain the requirements for exercising…”
Show all 14 citing cases →
— 805 ILCS 5/1.80(b) — 2 cases
NDC LLC v. Topinka, 871 N.E.2d 210 (Ill. App. Ct. 2007). “805 ILCS 5/1.80(b) (West 2004). By this definition, Neighborhood, having been organized under the laws of Delaware, was a foreign corporation.”
Nalco NDC LLC v. Judy Barr Topinka (Ill. App. Ct. 2007). “805 ILCS 5/1.80(b) (West 2004). By this definition, Neighborhood, having been organized under the laws of Delaware, was a foreign corporation.”
— 805 ILCS 5/1.80(g) — 2 cases
James Hess & John Hess v. Reg-Ellen Mach. Tool Corp. & Reg Ellen Mach. Tool Corp. Emp. Stock Ownership Plan, 423 F.3d 653 (7th Cir. 2005). “” See 805 ILCS 5/1.80(g). On appeal, John takes issue with that conclusion, pointing out that he received notices of annual shareholder meetings and also received a letter from Reg-Ellen that begins “Dear Shareholder” and goes on to explain the requirements for exercising one’s…”
Hess, James v. Reg-Ellen Mach. (7th Cir. 2005). “” See 805 ILCS 5/1.80(g). On appeal, John takes issue with that conclusion, point- ing out that he received notices of annual shareholder meetings and also received a letter from Reg-Ellen that begins “Dear Shareholder” and goes on to explain the requirements for exercising…”
— 805 ILCS 5/1.80(j) — 5 cases
E & E Hauling, Inc. v. Ryan, 713 N.E.2d 178 (Ill. App. Ct. 1999). “On appeal E & E contends that the circuit court erred in granting summary judgement in favor of the Secretary, finding that an increase in paid-in capital as a result of push-down accounting adjustments made following a stock sale and section 338 election constituted an increase…”
USX Corp. v. White, 817 N.E.2d 896 (Ill. App. Ct. 2004). “” 805 ILCS 5/1.80(j) (West 2000). Sections 15.”
Venture Stores, Inc. v. Ryan, 678 N.E.2d 300 (Ill. App. Ct. 1997). “Whatever the number, it is clear that if May had surrendered some shares for cancellation, its paid-in capital would have been reduced. There is no indication in the record that May or Venture would have been disadvantaged by surrendering and canceling shares.”
E & E Hauling, Inc. v. Ryan, 306 Ill. App. 3d 131 (Ill. App. Ct. 1999). “On appeal E&E contends that the circuit court erred in granting summary judgment in favor of the Secretary, finding that an increase in paid-in capital as a result of push-down accounting adjustments made following a stock sale and section 338 election constituted an increase in…”
USX Corp. v. White (Ill. App. Ct. 2004).
— 805 ILCS 5/1.80(n)(2) — 1 case
NDC LLC v. Topinka, 871 N.E.2d 210 (Ill. App. Ct. 2007). “805 ILCS 5/1.80(b) (West 2004). By this definition, Neighborhood, having been organized under the laws of Delaware, was a foreign corporation.”
— 805 ILCS 5/1.80(q) — 2 cases
NDC LLC v. Topinka, 871 N.E.2d 210 (Ill. App. Ct. 2007). “805 ILCS 5/1.80(b) (West 2004). By this definition, Neighborhood, having been organized under the laws of Delaware, was a foreign corporation.”
Nalco NDC LLC v. Judy Barr Topinka (Ill. App. Ct. 2007). “805 ILCS 5/1.80(b) (West 2004). By this definition, Neighborhood, having been organized under the laws of Delaware, was a foreign corporation.”
— 805 ILCS 5/1.80(w) — 2 cases
NDC LLC v. Topinka, 871 N.E.2d 210 (Ill. App. Ct. 2007). “805 ILCS 5/1.80(b) (West 2004). By this definition, Neighborhood, having been organized under the laws of Delaware, was a foreign corporation.”
Nalco NDC LLC v. Judy Barr Topinka (Ill. App. Ct. 2007). “805 ILCS 5/1.80(b) (West 2004). By this definition, Neighborhood, having been organized under the laws of Delaware, was a foreign corporation.”
Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.