Section 259F — Corporations Act 2001 (Cth)

(1) If a company contravenes section 259A or subsection 259B(1):

(a) the contravention does not affect the validity of the acquisition or security or of any contract or transaction connected with it; and

(b) the company is not guilty of an offence.

(2) Any person who is involved in a company’s contravention of section 259A or subsection 259B(1) contravenes this subsection.

Note 1: Subsection (2) is a civil penalty provision (see section 1317E).

Note 2: Section 79 defines involved.

(3) A person commits an offence if they are involved in a company’s contravention of section 259A or subsection 259B(1) and the involvement is dishonest.

Related sections

• s 259C — Issuing or transferring shares to controlled entity
• s 259D — Company controlling entity that holds shares in it
• s 259E — When a company controls an entity
• s 260A — Financial assistance by a company for acquiring shares in the company or a holding company
• s 260B — Shareholder approval
• s 260C — Exempted financial assistance

Research how courts apply s 259F

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