Section 378ZC Special user rights
- Chapter
- XXIA · Producer Companies
- Amendments
- 1
Inserted by Companies (Amendment) Act, 2020, s. 52, with effect from 11 February 2021378ZC. Special user rights.—
Inserted by Companies (Amendment) Act, 2020, s. 52, with effect from 11 February 2021(1) The producers, who are active Members may, if so provided in the articles, have special rights and the Producer Company may issue appropriate instruments to them in respect of such special rights.
Inserted by Companies (Amendment) Act, 2020, s. 52, with effect from 11 February 2021(2) The instruments of the Producer Company issued under sub-section (1) shall, after obtaining approval of the Board in that behalf, be transferable to any other active MemberDefined in section 2(55): member, in relation to a company, means the subscriber to the memorandum entered in the register of members, every other person who agrees in writing to become a member and is entered in the register of members, and every person holding shares whose name is entered as a beneficial owner in depository records. of that Producer Company.
Inserted by Companies (Amendment) Act, 2020, s. 52, with effect from 11 February 2021Explanation.—For the purposes of this section, the expression “special right” means any right relating to supply of additional produce by the active MemberDefined in section 2(55): member, in relation to a company, means the subscriber to the memorandum entered in the register of members, every other person who agrees in writing to become a member and is entered in the register of members, and every person holding shares whose name is entered as a beneficial owner in depository records. or any other right relating to his produce which may be conferred upon him by the Board.