Document ID: chunk:federal_register_of_legislation:C2004A04707:front:0:p34
Version: federal_register_of_legislation:C2004A04707
Segment Type: other
Provision Reference: 
Character Range: 87276–90029

to the original prospectus and that was issued after the application form was issued, and a current application form that relates to the original prospectus.

  "(4) Option 1 requires the corporation to:

  (a) treat the application as having been withdrawn; and

     (b) at the same time as it gives the person the notice, or as soon as practicable afterwards, pay to the person, in accordance with the requirements (if any) of the regulations:

        (i) any money the person has paid to the corporation on account of the securities; and

      (ii) any interest that has accrued in respect of that money.

  "(5) Option 2 requires the corporation to:

    (a) at the same time as it gives the person the notice, or as soon as practicable afterwards, issue the securities to the person pursuant to the application; and

    (b) if, since the application form used to make the application was issued, a material adverse change (as defined in subsection (6)) has occurred in relation to the securities—give the person a reasonable opportunity to return the securities to the corporation and obtain a payment as mentioned in paragraph (c); and

    (c) if paragraph (b) applies and the person takes advantage of that opportunity and returns the securities—pay to the person, in accordance with the requirements (if any) of the regulations:

SCHEDULE 2—continued

        (i) any money the person has paid to the corporation on account of the securities; and

      (ii) any interest that has accrued in respect of that money.

"(6) For the purposes of subsection (5), a material adverse change occurs in relation to securities of a corporation if a change occurs, or a new matter arises, that is likely to have a material adverse effect on the value of the securities.

"(7) The corporation may cancel securities returned to it under subsection (5). If the securities are shares, their cancellation is not a reduction of share capital within the meaning of this Law.

"(8) The corporation must act in accordance with the option specified in the notice.

  "(9) In this section:

'application form' means a form of application for the issue of securities;

'prospectus to which the form relates', in relation to an application form that has been issued, means the prospectus referred to in section 1020 in relation to the form.

Inclusion of documents in prospectus by reference

  "1024F.(1) If a prospectus relating to securities of a corporation:

     (a) refers to a document lodged under this Law, under a corresponding law or under a corresponding previous law, being a document in existence at or before the lodgment of the prospectus; and

  (b) includes a summary of the document or of a part of it; and

     (c) includes a statement to the