Article 22 - Transfer of Shares

(1) The articles of association of an Investment Club must provide that no transfer of its Shares takes effect until:
a. the Investment Club's Members have approved it by Special Resolution (or, if the articles of association so provide, by Ordinary Resolution); and
b. the QFC Authority has confirmed in writing that it does not object (or is taken, under Article 22(3) below to have no objection).
(2) An Investment Club must not register a transfer of its Shares unless:
a. the transferor has executed a written instrument of transfer; and
b. the transfer has been effected in accordance with the Rules.
(3) After the transfer is approved by resolution (as provided in Article 22(1)), the Investment Club must notify the QFC Authority in the prescribed form and pay the prescribed fee (if any). The QFC Authority must inform the Investment Club, within 30 days of the notification, whether the QFC Authority objects to the transfer. If the QFC Authority has not objected within 30 days of receiving the notice of the transfer, the QFC Authority is taken to have no objection.
(4) An Investment Club may refuse to register the transfer of a Share to a person that is not already a Member (even if the transfer has been approved by resolution in accordance with Article 22(1)) if the transfer contravenes these Regulations, the Rules or the Investment Club's articles of association. If an Investment Club refuses to register a transfer of Shares, the Investment Club must notify the transferor and transferee of the refusal within 21 days.
(5) Nothing in this Article affects the power of an Investment Club to register as a Member a person to whom the right to a Share of the Investment Club has been transmitted by operation of law.
(6) A transfer of a Share of a deceased Member of an Investment Club by the Member's personal representative is as valid as if the representative had been a Member when the instrument of transfer was executed.
Derived (as from 20th December 2016).