CHAPTER IX

DTHER MATTERS RELATING TO SHARES

WE have dealt in Chapter V with the nature of shares, with
share-certificates and membership, in Chapter VI with
application and allotment, and in Chapter VIII with transfer
and transmission. There are various other matters directly
connected with shares, with which it is proposed to deal in
this chapter.

Assuming that a shareholder has paid the application and
allotment money due upon his shares, and that, as is generally
the case, the shares are not then fully paid, the matter of the
machinery for securing the due pavment of the balance
requires attention.

By the terms of the contract, i.e. the conditions of allot-
ment, the unpaid balance may be payable at fixed dates
Thus, if 2s. 6d. for a £1 share is paid on application, and 2s. 64
on allotment, the balance may be made payable by instal-
ments as follows: 5s. on June 1st, 5s. on July 1st, and 5s. on
October 1st. Or the unpaid balance may be payable by
certain instalments at not less than certain fixed intervals.
Thus, by the conditions of allotment, the balance of (say)
15s., due after the allotment money is paid, may be payable
by three instalments of 5s. each at intervals of not less than
(say) two months. Or again, there may be no conditions
as to the payment of the balance, in which case one or more
calls will be made as and when the money may be required.

Where the balance is by the terms of allotment payable at
fixed dates, it is the duty of the shareholder to pay each
instalment on the date fixed without a demand being made
for it. It is, however, customary for a reminder to be sent.
In the other cases mentioned, the directors (if, as is usual,
the power is vested in them) will resolve that the next instal-
ment of a fixed sum be called up, or that a call be made of Calls
whatever amount is required, as the case may be.

As to the liability of infants, see the notes at the .il
this Chapter.

A form of Resolution to make a call will be found in Chapter
XIV. and a form of Call Letter in Appendix F (Form 27).

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