THE CORPORATIONS LAW

CHAPTER 5B - BODIES CORPORATE REGISTERED AS COMPANIES, AND REGISTRABLE BODIES

PART 5B.1 - REGISTERING A BODY CORPORATE AS A COMPANY

Division 2 - Operation of the Corporations Law

SECTION 601BP   BEARER SHARES  

601BP(1)  (Surrendering of share)  

A bearer of a bearer share in a company registered under this Part may surrender the share to the company. The company must:

(a)  cancel the share; and

(b)  include the bearer's name in the company's register of members.

601BP(2)  (Compensation)  

The company is liable to compensate anyone who suffers a loss because the company includes the bearer's name in the company's register of members despite the fact that:

(a)  the share was not surrendered to the company; or

(b)  the company failed to cancel the share.

601BP(3)  [Constitution]  

Subject to this section, the constitution of a company registered under this Part may provide that the bearer of a bearer share in the company is taken to be a member of the company for all purposes or for specified purposes.

Note:

A body must not issue bearer shares after it is registered as a company under this Part (see paragraph 254F(a)).