Shareholders
the right to membership
section 112 ca provides that;
a. the subscribers over companies memorandum are deemed to have agreed to
become members of the company and on its registration become members and
must be entered as such in its register of members
b. every other person who agrees to become a member of a company and whose name
is entered in its register of members is a member of the company
this means that membership begins either;
a. when a company is registered in respect of the subscribers to the memorandum or
b. when the shareholders name is entered in the register of members in any other
instance
registration of membership
every company must keep a register of its members and their share holdings under section
113 ca 2006 the following information must be recorded;
a. the names and addresses of the members
b. the number of shares held and where the company has more than one class of
issued shares the number of each class held by each number
c. the amount paid or agreed to be considered as paid on the shares of each member
d. the date at which each member was entered in the register
e. the date at which each member ceased to be a member
pursuant to section 123 ca 2006 if the company has only one member the register must also
contain;
a. a statement to that effect and of the date when this occured
b. if the company formerly had only one member a statement that the number has
increased to two or more and the date when this occured
the register must normally be kept at the registered office of the company if it's kept
elsewhere the registrar of companies must be notified.
trusts
the legal and beneficial title to shares is split by the beneficial owner appointing a nominee
to hold the legal title in the shares on their behalf normally for reasons of anonymity or
convenience. section 126 ca 2006 provides that no notice of any trust shall be entered on
the register of members. the effect of this is that the company needs only to deal with the
nominee as the legal owner of shares even if it is known that they are held on the trust. the
company must therefore pay dividends to the nominee and allow the nominee to exercise
any voting powers attached to the shares.
member as person exercising significant control
the acquisition of shares in a company may result in that person being treated as a person
exercising significant control.
powers and duties of shareholders
sources of shareholder's powers
the right to membership
section 112 ca provides that;
a. the subscribers over companies memorandum are deemed to have agreed to
become members of the company and on its registration become members and
must be entered as such in its register of members
b. every other person who agrees to become a member of a company and whose name
is entered in its register of members is a member of the company
this means that membership begins either;
a. when a company is registered in respect of the subscribers to the memorandum or
b. when the shareholders name is entered in the register of members in any other
instance
registration of membership
every company must keep a register of its members and their share holdings under section
113 ca 2006 the following information must be recorded;
a. the names and addresses of the members
b. the number of shares held and where the company has more than one class of
issued shares the number of each class held by each number
c. the amount paid or agreed to be considered as paid on the shares of each member
d. the date at which each member was entered in the register
e. the date at which each member ceased to be a member
pursuant to section 123 ca 2006 if the company has only one member the register must also
contain;
a. a statement to that effect and of the date when this occured
b. if the company formerly had only one member a statement that the number has
increased to two or more and the date when this occured
the register must normally be kept at the registered office of the company if it's kept
elsewhere the registrar of companies must be notified.
trusts
the legal and beneficial title to shares is split by the beneficial owner appointing a nominee
to hold the legal title in the shares on their behalf normally for reasons of anonymity or
convenience. section 126 ca 2006 provides that no notice of any trust shall be entered on
the register of members. the effect of this is that the company needs only to deal with the
nominee as the legal owner of shares even if it is known that they are held on the trust. the
company must therefore pay dividends to the nominee and allow the nominee to exercise
any voting powers attached to the shares.
member as person exercising significant control
the acquisition of shares in a company may result in that person being treated as a person
exercising significant control.
powers and duties of shareholders
sources of shareholder's powers
