Corporations Act 2001
On application by a company, a shareholder, a creditor or any other person whose interests have been or may be affected, the Court may make an order validating, or confirming the terms of, a purported issue of shares if: (a) the issue is or may be invalid for any reason; or (b) the terms of the issue are inconsistent with or not authorised by:
(i) this Act; or
(ii) another law of a State or Territory; or
(iii) the company ' s constitution (if any).
254E(2)
On lodgment of a copy of the order with ASIC, the order has effect from the time of the purported issue.
[ CCH Note: S 254E(2) will be amended by No 69 of 2020, s 3, Sch 1[565], by substituting " the Registrar " for " ASIC " , (effective 1 July 2026 or a day or days to be fixed by Proclamation).]
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