ABSTRACT
The signifi cance here is in the judgment of Farwell J in his defi nition of a share. Farwell J defi ned a share as follows:
4.1.1 Main features The main features of a typical share are as follows:
(a) a right to dividends declared on the shares; (b) generally (unless it is a non-voting share) a right to vote at general
meetings; (c) on the liquidation of the company or on a reduction of capital, the right to
receive assets distributed to shareholders of that class; (d) an obligation to subscribe capital of a given amount which will sometimes be
the nominal value of the share if the share is issued at par and sometimes will be in excess of this if the share is issued at a premium (the issue of shares at par and at a premium is discussed below in section 4.8);
(e) rights of membership attached to the shares as defi ned in the company’s memorandum and articles (discussed above in relation to the s 33 membership contract in section 7.7); and
(f) a right to transfer the share in accordance with the articles of association (discussed below in section 4.4).
