The Law Dictionary

Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.

NONPARTICIPATING Definition & Legal Meaning

Definition & Citations:

The sale of preferred stock by the company is considered a ‘nonparticipating’ investment. The stockholder is eligible for dividend payments and the cost to initiate the fund, in addition to receiving the price of the current stock value.


This article contains general legal information but does not constitute professional legal advice for your particular situation. The Law Dictionary is not a law firm, and this page does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.