{"data":{"id":"us-sd/sdcl-47-1a-640.4","jurisdiction":"us-sd","citation":"SDCL § 47-1A-640.4","heading":"Indebtedness of corporation for purposes of determinations under § 47-1A-640.1.","body":"Indebtedness of a corporation, including indebtedness issued as a distribution, is not considered a liability for purposes of determinations under § 47-1A-640.1 if its terms provide that payment of principal and interest are made only if and to the extent that payment of a distribution to shareholders could then be made under this section. If the indebtedness is issued as a distribution, each payment of principal or interest is treated as a distribution, the effect of which is measured on the date the payment is actually made.","path":["TITLE 47. CORPORATIONS","CHAPTER 47-1A. SOUTH DAKOTA BUSINESS CORPORATION ACT"],"source_url":"https://sdlegislature.gov/Statutes/47-1A-640.4","current_through":"2026-08-31","vintage":"","retrieved_at":"2026-09-03T15:18:57Z","sha256":"ec73439b9220e4237c150ce16b300a3ffcf0ba403e30181dbf74572c5fa8add0","source_id":"us-sd","stale":true,"prev":"us-sd/sdcl-47-1a-640.3","next":"us-sd/sdcl-47-1a-640.5"},"notice":"GroundRules: Original legal text. Not legal advice."}