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 2H - SHARES
History
Chapter 2H inserted by No 61 of 1998, Sch 1 (effective 1
July 1998).
PART 2H.3 - PARTLY-PAID SHARES
History
Part 2H.3 inserted by No 61 of 1998, Sch 1 (effective 1
July 1998).
SECTION 254M
LIABILITY ON PARTLY-PAID SHARES
254M(1)
General rule about shareholder's liability for calls.
If shares in a company are partly-paid, the shareholder is liable to pay calls on the shares in accordance with the terms on which the shares are on issue. This subsection does not apply to a no liability company.
Note:
The shareholder may also be liable as a contributory under sections
514-
529 if the company is wound up.
254M(2)
No liability companies.
The acceptance by a person of a share in a no liability company, whether by issue or transfer, does not constitute a contract by the person to pay:
(a)
calls in respect of the share; or
(b)
any contribution to the debts and liabilities of the company.
History
S 254M inserted by No 61 of 1998, Sch 1 (effective 1 July 1998).
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