CCH Note:
Part 13 of the
Corporations Act 1989, inserted
by sec 6 of No 110 of 1990, Sch 1 (effective 1 January 1991), begins as
follows:
PART 13 - THE CORPORATIONS LAW
THE CORPORATIONS LAW
82
The Corporations Law is as follows:...
CHAPTER 2J - TRANSACTIONS AFFECTING SHARE CAPITAL
History
Chapter 2J inserted by No 61 of 1998, Sch 1 (effective
1 July 1998).
PART 2J.1 - SHARE CAPITAL REDUCTIONS AND SHARE BUY-BACKS
History
Part 2J.1 inserted by No 61 of 1998, Sch 1 (effective
1 July 1998).
Division 2 - Share buy-backs
SECTION 257H
ACCEPTANCE OF OFFER AND TRANSFER OF SHARES TO THE COMPANY
257H(1)
Effect of acceptance of the buy-back offer on share rights.
Once a company has entered into an agreement to buy back shares, all rights attaching to the shares are suspended. The suspension is lifted if the agreement is terminated.
257H(2)
Shares transferred to the company and cancelled.
A company must not deal in shares it buys back. An agreement entered into in contravention of this subsection is void.
257H(3)
[Cancellation on transfer back]
Immediately after the registration of the transfer to the company of the shares bought back, the shares are cancelled.
Note:
ASIC must be notified of the cancellation under section
254Y.
History
S 257H (Note) amended by No 54 of 1998, Sch 5, Pt 2 (effective 1 July 1998).
S 257H inserted by No 61 of 1998, Sch 1 (effective 1 July 1998).
View history note
Hide history note