THE CORPORATIONS LAW

CHAPTER 2J - TRANSACTIONS AFFECTING SHARE CAPITAL

PART 2J.1 - SHARE CAPITAL REDUCTIONS AND SHARE BUY-BACKS

Division 1 - Reductions in share capital not otherwise authorised by law

SECTION 256E   SIGNPOSTS TO OTHER RELEVANT PROVISIONS  

256E     The following table lists other provisions of this Law that are relevant to reductions in share capital.

                                                        
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Other provisions relevant to reductions in share capital
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1 section 588G    liability of directors on insolvency  
                                                        
  section 1317H   Under the combined operation of these 
                  sections the directors may have to    
                  compensate the company if the company 
                  is, or becomes, insolvent when the    
                  company reduces its share capital.    
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2 section 1324    injunctions to restrain contravention 
                                                        
                  Under this section the Court may grant
                  an injunction against conduct that    
                  constitutes or would constitute a     
                  contravention of this Law.            
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3 (Repealed)                                            
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4 sections       continuous disclosure provisions       
  1001A-1001D    Under these sections a disclosing entity
                 is required to disclose information    
                 about its securities that is material  
                 and not generally available.           
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5 Chapter 2E     benefits to related parties to be      
                 disclosed                              
                                                        
                 Under this Chapter a financial benefit 
                 to a director or other related party   
                 that could adversely affect the interests 
                 of a public company's members as a whole,
                 must  be approved at a general meeting 
                 before it can be given.                
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6 section 125    provisions in constitution             
                                                        
                 This section deals with the way in     
                 which a company's constitution may     
                 restrict the exercise of the company's 
                 powers and the consequences of a failure 
                 to observe these restrictions.         
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7 sections       variation of class rights              
  246A-246F                                             
                 These sections deal with the variation 
                 of rights attached to a class of shares.
                 This variation may be governed by the   
                 provisions of the company's constitution.
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