97Certain transfers by companies under Land Titles Act 1980 not to constitute reduction of share capital

97 Certain transfers by companies under Land Titles Act 1980 not to constitute reduction of share capital

[Section 97 Substituted by No. 66 of 2000, s. 6, Applied:14 Nov 2000]

(1)  Where –

(a) land under the Land Titles Act 1980 is comprised in a strata plan registered under the Strata Titles Act 1998 ; and

(b) at the time of registration of the plan, the proprietor of that land was a company which had previously granted a right of a kind referred to in section 195(13) of the Corporations Law –

the transfer by the company of any lot described on the strata plan in exchange for, or in satisfaction of, a right of the kind referred to in section 195(13) of the Corporations Law does not of itself constitute, and is to be taken never to have constituted, a reduction of the share capital of the company.

(2)  Subsection (1) does not apply to a transfer made on or after the commencement of section 6 of the Corporations (Tasmania) Amendment Act 2000.