Another thing I learned is that when you are shorting shares and they issue a cash dividend, the investor is repsonsible for paying that dividend if they are short on the stock. Cash dividends are not usually done in subpenny world, but typically invesors try and get out of their short positions before dividends are issued.
Also, I asked about the possibility of protecting your shares by putting sell orders on them, and was told that your shares can still be shorted. One of the students stated that you give the broker to the right to short your shares when you sign up with them.