Legal Definitions - qualifying share

A qualifying share is a type of share that is purchased by someone in order to become a director of a corporation that requires its directors to be shareholders.

For example, if a person wants to become a director of a corporation that requires its directors to own at least 100 shares of common stock, they would need to purchase 100 qualifying shares to meet this requirement.

This definition illustrates how a qualifying share is a specific type of share that serves a particular purpose, which is to qualify someone to become a director of a corporation. It also shows how owning a certain number of shares can be a requirement for certain positions within a corporation.