20Limitations on members of company

20 Limitations on members of company

(1)  A member of a company must not sell or otherwise dispose of the shares held by that member.

(2)  A member of a company must not vote at a meeting of the shareholders of the company to allow the company to –

(a) offer shares in the company for subscription; or

(b) invite persons to subscribe for shares in the company; or

(c) allot or issue shares in the company on a basis other than to existing shareholders pro rata to their existing shareholding.

(3)  [Section 20 Subsection (3) amended by No. 78 of 2005, s. 32, Applied:01 Jan 2008] [Section 20 Subsection (3) amended by No. 78 of 2005, s. 32, Applied:01 Jan 2008] [Section 20 Subsection (3) amended by No. 115 of 2001, s. 8, Applied:17 Dec 2001] [Section 20 Subsection (3) amended by No. 115 of 2001, s. 8, Applied:17 Dec 2001] [Section 20 Subsection (3) substituted by No. 18 of 2001, s. 5, Applied:26 Apr 2001] A member of a company must not vote at a meeting of the shareholders of the company to allow the company to sell or otherwise dispose of a transmission system situated in Tasmania or a distribution network situated in Tasmania or any part of such a transmission system or distribution network that would have the result of significantly reducing the capacity of the network.

(4)  [Section 20 Subsection (4) amended by No. 20 of 2025, s. 5, Applied:27 Nov 2025] [Section 20 Subsection (4) omitted by No. 18 of 2001, s. 5, Applied:26 Apr 2001] [Section 20 Subsection (4) inserted by No. 115 of 2001, s. 8, Applied:17 Dec 2001] An Act that purports to repeal or amend this section is of no effect unless the proposal for the repeal or amendment has been approved by a majority of the electors voting in a referendum held under the .