Missouri § 375.166 - Expense of organization limited.
Full text of Missouri Revised Statutes of Missouri § 375.166 — Expense of organization limited., with citation guidance and answers to common questions.
§ 375.166. Expense of organization limited.
1. It shall be unlawful for any corporation organized under the laws of this state for the purpose of conducting an insurance business of any kind to pay more than ten percent of the total amount realized from the sale of its capital stock, whether in cash or notes, for the organization of the company.
2. In every case subscribers to the stock shall consent, in writing, to the payment of the organization expenses, which shall, in all cases, be paid out of the surplus funds of the corporation; the ten percent to include commissions paid to agents for the sale of stock, rent, clerk hire, literature and all other expenses of every kind and nature, and all obligations incurred, up to the time that application is made for a license to do an insurance business.
3. No officer of any company shall be permitted to draw any salary before the corporation is fully organized and licensed to do business.
4. Any corporation already organized under the laws of this state to engage in the business aforesaid may increase its capital stock for the purpose, in the manner and to the extent prescribed by law; subject, however, to the restrictions as to expenses incurred in the sale thereof, and the consent of the stock subscribers to the payment of such expenses as are herein specified.
--------
(RSMo 1939 § 6071, A.L. 1967 p. 516)
---- end of effective 28 Aug 1967 ----
Source: official Missouri text · Last verified 2026-08-27
Frequently Asked Questions About Missouri § 375.166
What does Revised Statutes of Missouri § 375.166 cover?
Section 375.166 ("Expense of organization limited.") is part of the Revised Statutes of Missouri, the codified statutory law of Missouri. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Missouri § 375.166?
A common citation format is "Revised Statutes of Missouri § 375.166" (Missouri). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Missouri law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Missouri official source linked on this page or consult a licensed Missouri attorney.
How does Missouri § 375.166 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Missouri can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Missouri.