Document ID: chunk:federal_register_of_legislation:C2004A04501:schedule:2:p16
Version: federal_register_of_legislation:C2004A04501
Segment Type: schedule
Provision Reference: sch 2 (pt 16/22)
Character Range: 474901–477675

if the transfer has no connection with the transaction.

   Note: The transfer may have no connection with the transaction because of the operation of the provisions of the SCH business rules referred to in subsection 954P(1).

"(2) The authority that the person is taken, by subsection (1), to have given:

    (a)     is revoked if, before the transaction is entered into, the authority to enter into the transaction is revoked or otherwise ceases to have effect; and

  (b)     cannot otherwise be revoked; and

    (c)     if the person dies after the transaction is entered into—continues in force, despite the person's death, as if the person were still alive (but cannot be revoked).

Effect of proper SCH transfer

"1109C.(1) A proper SCH transfer of quoted securities is valid and effective for the purposes of any law or instrument governing or relating to the securities.

"(2) A proper SCH transfer of quoted rights is valid and effective for the purposes of any law or instrument governing or relating to the rights or the marketable securities to which they relate.

Effect of proper SCH transfer on transferee

"1109D.(1) If a proper SCH transfer of quoted securities takes effect at a particular time:

     (a)   the transferee is taken to have agreed at that time to accept the securities subject to the terms and conditions on which the transferor held them immediately before that time, being the terms and conditions applicable as between the issuing body in relation to, and the holder for the time being of, the securities; and

     (b)   if the securities are shares—the transferee is also taken to have agreed at that time to become a member of the issuing body and to be bound by the issuing body's constitution.

"(2) If a proper SCH transfer of quoted rights relating to marketable securities takes effect at a particular time:

  (a) the transferee is taken:

         (i) to have applied at that time to the issuing body in relation to the securities for the allotment to him, her or it of the marketable securities; and

         (ii) to have agreed at that time to accept the marketable securities subject to the terms and conditions on which the issuing body offers them for subscription; and

    (b) if the marketable securities are shares—the transferee is also taken to have agreed, at that time, to become a member of the

     issuing body and to be bound, on being registered as the holder of the shares, by the issuing body's constitution.

Warranties by member organisation whose identification code is included in transfer document

"1109E.(1) This section applies if the transfer document for a proper SCH transfer of quoted securities or quoted rights includes a member organisation's identification code as the identification