Section 259A — Corporations Act 2001 (Cth)

A company must not acquire shares (or units of shares) in itself except:

(a) in buying back shares under section 257A; or

(b) in acquiring an interest (other than a legal interest) in fully‑paid shares in the company if no consideration is given for the acquisition by the company or an entity it controls; or

(c) under a court order; or

(d) in circumstances covered by subsection 259B(2) or (3).

Note: For the criminal liability of a person dishonestly involved in a contravention of this section, see subsection 259F(3). Section 79 defines involved.

Related sections

• s 258E — Other share cancellations
• s 258F — Reductions because of lost capital
• s 258G — Application of this Part to MCI mutual entities
• s 259B — Taking security over own shares or shares in holding company
• s 259C — Issuing or transferring shares to controlled entity
• s 259D — Company controlling entity that holds shares in it

Research how courts apply s 259A

BriefBridge searches Australian caselaw by meaning — every answer cited to the paragraph.