California Pharmacy Jurisprudence Exam (CPJE) Practice 2025 - Free CPJE Practice Questions and Study Guide

The scenario where a person's share may be sold to the corporation is accurately represented by the situation involving death or disqualification for more than 90 days. This condition is commonly stipulated in corporate bylaws or shareholder agreements, allowing a corporation to buy back shares when a shareholder can no longer qualify as a shareholder due to reasons such as death, incapacity, or prolonged disqualification.

By allowing the corporation to acquire shares under these circumstances, it helps to maintain stability and control within the company, ensuring that shares do not pass to unwanted parties or remain with individuals who cannot fulfill their responsibilities as shareholders. This mechanism protects both the corporation's interests and its existing shareholders, preventing disruptions in ownership and management structure.

Other scenarios like a simple request for transfer may not justify an automatic buyback of shares by the corporation, as shareholders typically retain the right to transfer their shares to others unless otherwise agreed upon. Profitability of the corporation does not inherently trigger any obligation to buy shares. Lastly, a shareholder turning 65 does not automatically warrant any change in their ownership status and thus does not result in the automatic sale of their shares to the corporation.