DISTRIBUTION
distribution,n.1. The passing of personal property to an intestate decedent’s heirs; specif., the
process of dividing an estate after realizing its movable assets and paying out of them its debts and
other claims against the estate. Cf. DESCENT(1). [Cases: Descent and Distribution 71;
Executors and Administrators 288–318. C.J.S. Descent and Distribution § 82; Executors and
Administrators§§ 533–583.] 2. The act or process of apportioning or giving out. — distribute,vb.
controlled-securities-offering distribution.See securities-offering distribution (1).
corporate distribution.A corporation’s direct or indirect transfer of money or other property, or
incurring of indebtedness to or for the benefit of its shareholders, such as a dividend payment out
of current or past earnings. [Cases: Corporations 155(1). C.J.S. Corporations § 300.]
liquidating distribution.A distribution of trade or business assets by a dissolving corporation
or partnership. — Also termed distribution in liquidation. [Cases: Corporations 629. C.J.S.
Corporations §§ 875–878.]
nonliquidating distribution.A distribution of assets by a corporation or partnership that is not
going out of business, such as a distribution of excess capital not necessary for current operations.
partnership distribution.A partnership’s payment of cash or property to a partner out of
earnings or as an advance against future earnings, or a payment of the partners’ capital in partial or
complete liquidation of the partner’s interest. [Cases: Partnership 232. C.J.S. Partnership § 230.]
probate distribution.The judicially supervised apportionment and division — usu. after the
payment of debts and charges — of assets of an estate among those legally entitled to share.
[Cases: Executors and Administrators 288–318. C.J.S. Executors and Administrators §§
533–583.]
secondary distribution. 1. The public sale of a large block of previously issued stock. — Also
termed secondary offering. See OFFERING. 2. The sale of a large block of stock after the close of
the exchange.
securities-offering distribution. 1. An issuer’s public offering of securities through a formal
underwriting agreement with a broker-dealer. — Also termed controlled-securities-offering
distribution. 2. An issuer’s public offering of securities on an informal basis, with or without
brokers. — Also termed uncontrolled-securities-offering distribution. [Cases: Securities
Regulation 11.10–11.50. C.J.S. Securities Regulation §§ 8, 35–49, 63, 69–72.]
trust distribution.The cash or other property paid or credited to a trust beneficiary. [Cases:
Trusts 270–288.]
uncontrolled-securities-offering distribution.See securities-offering distribution (2). [Blacks Law 8th]