Part 6Shares and debentures
Issue of shares
50Consent to issue of shares
The issue by a company of a share that—
- increases a liability of a person to the company; or
- imposes a new liability on a person to the company—
When a company wants to give you a share that makes you owe more money to the company or creates a new debt for you, they need your permission first. You or someone you've chosen in writing must agree in writing to accept the share before the company can give it to you. If they don't get your written agreement, then giving you the share doesn't count - it's as if it never happened. This rule is there to protect you from suddenly owing money to a company without knowing about it.
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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM320167.
The issue by a company of a share that—