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719. Provision Enabling Or Requiring Arrangements To Be Adopted

Past version: effective from 29/04/2020 - 28/04/2020
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(1) Rules under this Chapter may make provision-
(a) enabling the members of a company or of any designated class of companies to adopt, by ordinary resolution, arrangements under which title to securities is required to be evidenced or transferred (or both) without a written instrument, or
(b) requiring companies, or any designated class of companies, to adopt such arrangements.
(2) The rules may make such provision-
(a) in respect of all securities issued by a company, or
(b) in respect of all securities of a specified description.
(3) The arrangements provided for by rules making such provision as is mentioned in subsection (1) -
(a) must not be such that a person who but for the arrangements would be entitled to have his name entered in the company’s register of members ceases to be so entitled, and
(b) must be such that a person who but for the arrangements would be entitled to exercise any rights in respect of the securities continues to be able effectively to control the exercise of those rights.
(4) The rules may-
(a) prohibit the issue of any certificate by the company in respect of the issue or transfer of securities,
(b) require the provision by the company to holders of securities of statements (at specified intervals or on specified occasions) of the securities held in their name, and
(c) make provision as to the matters of which any such certificate or statement is, or is not, evidence.
(5) In this section-
(a) references to a designated class of companies are to a class designated in the rules issued pursuant to this section or pursuant to section 720, and
(b) “specified” means specified in the rules.