Marginal note:Contents of certificate
184. (1) Every share certificate for an investment share of a cooperative that is authorized to issue shares of more than one class or series must clearly state
(a) the rights, privileges, restrictions and conditions attached to the shares of each class and series that exist when the share certificate is issued; or
(b) that the class or series of shares that it represents has rights, privileges, restrictions or conditions attached to it and that the cooperative will provide a shareholder, on demand and without charge, with a full copy of the text of
(i) any rights, privileges, restrictions and conditions attached to each class authorized to be issued, and to each series, that have been fixed by the directors, and
(ii) the authority of the directors to fix the rights, privileges, restrictions and conditions of subsequent series.
Marginal note:Copy of information
(2) If a share certificate for an investment share contains the statement referred to in paragraph (1)(b), the cooperative must provide the shareholder, on demand and without charge, with a copy of
(a) the rights, privileges, restrictions and conditions attached to each class or series of investment shares authorized to be issued; and
(b) the authority of the directors to fix the rights, privileges, restrictions and conditions of subsequent series of investment shares in the same class.
Marginal note:Fractional shares
185. (1) A cooperative may issue a certificate for a fractional investment share or may instead issue a scrip certificate in bearer form that entitles the holder to receive a certificate for a full investment share in exchange for sufficient scrip certificates equalling a full investment share.
(2) The directors may attach conditions to scrip certificates issued by the cooperative, including conditions that
(a) the scrip certificates become void or, in Quebec, null if not exchanged for an investment share representing a full investment share before a specified date; and
(b) any investment shares for which the scrip certificates are exchangeable may, despite any pre-emptive right, be issued by the cooperative to any person and the proceeds distributed rateably to the holders of the scrip certificates.
Marginal note:Voting rights
(3) A holder of a fractional investment share is not entitled to exercise voting rights or to receive a dividend in respect of the investment share unless
(a) the fractional share results from a consolidation of investment shares; or
(b) the articles of the cooperative provide otherwise.
Marginal note:Exercise of voting rights
(4) A holder of a scrip certificate is not entitled to exercise voting rights or to receive a dividend in respect of the scrip certificate.
- 1998, c. 1, s. 185;
- 2011, c. 21, s. 90(E).
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