Which of the following is true about the transfer of shares upon a shareholder's death?

The transfer of shares upon a shareholder's death typically involves specific legal and regulatory requirements. The correct answer states that shares must be transferred to a licensed person within a certain timeframe, reflecting the importance of compliance with the legal transfer process. This is often required to ensure that the transfer adheres to applicable laws, such as those regarding inheritance and ownership rights, which can necessitate the involvement of licensed professionals or entities (like brokers or legal representatives) to facilitate the proper handling of the estate.

This approach helps maintain the integrity of the securities market and ensures that the deceased's shares are not just passed carelessly, but rather are legitimately reassigned under the oversight of appropriate authorities. It might also involve probate proceedings to validate the transfer, which could stipulate the need for licensed intervention to authenticate the transactions.

The other choices do not reflect standard practices related to the transfer of shares upon death, either because they overstate or misrepresent the requirements involved in share transfers. Understanding these legal nuances is crucial for anyone involved in the management or transfer of shares.