Government calls time on bearer shares
Last year, the government decided action was needed to restore the public’s confidence in capitalism. It issued a ‘Transparency and Trust’ discussion paper and has now collated the results of that consultation into a formal response setting out the steps that it believes will heal the rift between businesses and the wider public. One of the proposals will see bearer shares become a thing of the past.
Most companies have registered shares, with the holder of those shares being named both in the company’s register of members and on the relevant share certificate.
With bearer shares, however, no name appears in the company’s register in respect of those shares or on the legal document certifying the existence of those shares. The bearer shares are owned by whoever holds (or ‘bears’) the certificate for those shares. Ownership of bearer shares is transferred by physically handing the relevant share certificate from one person to another and there is no record, either in the company’s registers or anywhere else, of that transfer having taken place…
Click on the link below to read the rest of the Gateley briefing.
Sign in or Register to continue reading this article
It's quick, easy and free!
It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.Register now
Why register to The Lawyer
In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.
Identify the major players and business opportunities within a particular region through our series of free, special reports.
Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.
More relevant to you
To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.
News from Gateley
News from The Lawyer
Briefings from Gateley
Defendants to fraud-type claims by a company cannot rely on their own wrongdoing to escape liability for fraud.
The words ‘in the public interest’ are in the whistleblowing law, but it is open for workers to claim that a disclosure about a breach of their own contract is in the public interest.
Analysis from The Lawyer
The Law Society recently published guidance to assist solicitors draw up Shariah-compliant wills, causing outrage in some quarters. Gateley’s Haroon Rashid explains the facts.