Treasury Laws Amendment (Mutual Reforms) Act 2019 (37 of 2019)

Schedule 1   Mutual entities

Corporations Act 2001

5   Subclause 29(1) of Schedule 4

Omit:

(1) If a modification of the constitution of an unlisted company registered under clause 3 of the transition provisions is proposed and the modification would have the effect of:

(a) varying or cancelling the rights of members, or a class of members, to the reserves of the company; or

(b) varying or cancelling the rights of members, or a class of members, to the assets of the company on a winding up; or

(c) varying or cancelling the voting rights of members or a class of members; or

(d) otherwise varying or cancelling rights so that Part 2F.2 (Class rights) applies; or

(e) allowing 1 of those variations or cancellations of rights;

the following rules apply:

substitute:

(1) If:

(a) a modification of the constitution of an unlisted company registered under clause 3 of the transfer provisions is proposed; and

(b) the unlisted company is a mutual entity; and

(c) the modification would have the effect that the unlisted company would cease to be a mutual entity;

the following rules apply: