transfer of shares / choses in action (1 Viewer)

[Spirits]

Hey, has anyone here done equity?

Are shares considered to be "choses in action"? Would the assignment of shares come under s12 conveyancing act, or some other legislation?

cheers

 

[amaccas]

i should remember this but i don't. see Meaghre Gummow & Lehane Equity Doctrines and remedies - it should provide the answer.

 

[hfis]

Under s 1070A(1) of the Corporations Act 2001, shares are regarded as personal property - the share's wealth being represented by the proportionate interest in the net assets of the corporation. Shares may be transferred, sold or left in a person's will. Furthermore, the High Court in Pilmer v The Duke Group (2001) 19 ACLC 1172 has indicated that: "Once issued, a share comprises a collection of rights and obligations relating to an interest in a company of an economic and proprietary character, but not comprising a debt." Despite this, there is still some discussion about the exact nature of this proprietary interest (see H Bird, 'A Critique of the Proprietary Nature of Share Rights in Australian Publicly Listed Companies' (1998) 22 Melbourne University Law Review 131).

R Price, L Griggs, Property Law in Principle (1st ed, 2005), 328-9.