CORPORATIONS ACT 2001 - SECT 254P No liability companies--calls on shares

CORPORATIONS ACT 2001 - SECT 254P

Making calls

  (1)   A call on a share in a no liability company is not effective unless it is made payable at least 14 days after the call is made.

Notice of call

  (2)   At least 7 days before a call on shares in a no liability company becomes payable, the company must give the holders of the shares notice of:

  (a)   the amount of the call; and

  (b)   the day when it is payable; and

  (c)   details for making the payment.

If the notice is not given, the call is not payable.

  (3)   A call does not have any effect on a forfeited share that is held by or in trust for the company under subsection   254Q(6). However, when the share is re - issued or sold by the company, the share may be credited as paid up to the amount determined by the company in accordance with its constitution or by resolution.