Maharashtra State BoardHSC Commerce 12th Board Exam
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Explain the following term/concept. Transmission of shares - Secretarial Practice

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Short Note

Explain the following term/concept.

Transmission of shares

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Solution

(a) Transmission of shares means the transfer of shares by operation of law, ie shares of a member is automatically transferred to another person.
(b) Transmission of shares happens on a specific event such as death, insolvency, or insanity of shareholders. There is only one party i.e. legal heir who initiate the process of transmission. The legal heir or official receiver need not pay any consideration for the shares. Original liability of the member continues in case of transmission.

Concept: Transmission of Shares
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APPEARS IN

Balbharati Secretarial Practice 12th Standard HSC Maharashtra State Board
Chapter 3 Issue of Shares
Exercises | Q 2. 1. | Page 65
SCERT Maharashtra Question Bank 12th Standard HSC Secretarial Practice Maharashtra State Board 2022
Chapter 3 Issue of Shares
Explain the following terms/concepts | Q 1
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