Transmission of shares

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

29 April 2013 Respected members,

We are well aware that the fully paid up shares can be transferred/ transmitted to a minor, provided the name of the guardian and not that of the minor is entered in the Register of members.

My query is Can a minor ( through guardian ) transfer those shares.

Regards,
Shinod K P

Guest

Guest (Expert)

30 April 2013 A minor can not transfer his shares. If, transferee is a minor, transfer of shares is to be effected in accordance with the provisions of the Articles of Association of the company, where shares to be transferred are fully paid-up, there is no problem for companies to register the same. In favor of minors through guardian.

Querist : Anonymous

Querist : Anonymous (Querist)

30 April 2013 Dear Madam,

Thank you for your fast response.. I ve a doubt.

Should the minor hold shares ( acquired by transmission ) until he/ she attains majority.

I feel it can be transferred through the guardian.

Shinod K P

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Guest

Guest (Expert)

30 April 2013 Any contract/ agreement/ act adversely affecting minor or infringing his rights / benefits is null and void since he is not competent to enter into contract and hence it is not permitted.