TRANSFER AND TRANSMISSION OF SHARES 8g
whom the probate has been granted, is to be recommended.
The same applies to administrators.
In the event of the sale by the executors of part of the
holding—they being entitled to sell the holding under s. 64
of the Act—the balance certificates should be made out
in the name of the deceased, the names of the executors
being given in the margin of the certificate. Where execu-
tors have been noted in their representative capacity,
dividend warrants should be made out to (say) ‘John Brown
one of the executors of A. Smith, deceased.” John Brown
would indorse the warrant. If sent to a bank the warrant
would be payable to (say) ‘Coutts & Co. A/c A. Smith,
deceased’ (or as per instructions).

It is usually desirable, whenever possible, to compel the
registration in their personal capacity of persons claiming
by transmission. The best method of so doing is to with-
hold. dividends, but this can only be done when the articles
authorise it. An article in some such form as follows will
serve the purpose: If within a year and day from the death
of a shareholder his executors or administrators have not
[themselves been registered as the holders of his shares, or
have not] transferred his shares, the directors may withhold
payment of all dividends that may be payable in respect of
such shares until such time as the executors or administrators
shall [themselves have been so registered, or shall] have
transferred the shares, when the said dividends shall be
payable to the [executors or administrators, or the] trans
feree of the shares [as the case may be].

In the case of the devolution of title to shares on the Bankruptcy.
bankruptcy of a shareholder, the trustee in bankruptcy is
the representative of the bankrupt, and the company should
require as evidence either an office copy of his appointment
or a copy of the Gazette containing notice thereof. If the
shares are partly paid, the trustee may exercise the right of
disclaimer conferred by s. 54 of the Bankruptcy Act 1914;
but if the shares were charged, the disclaimer does net destroy
the interest of the person entitled to the charge he
Lansdell (1921), 1 Ch. 420].

In the case of lunacy, the property of the lunatic can enly Lunacy.
be dealt with under an order of the Court, and this or ‘r,
or an office copy of it, should be produced to the c_-
and a careful note made of the powers confer;ed
curator.

If a company holding shares in another company goes into Liquidation.
liquidation, the latter companv should require evidence of the