(1)A registered society’s registered rules bind the society and all its members and all persons claiming through them to the same extent as if—
(a)each member had subscribed the member’s name and affixed the member’s seal to the rules, and
(b)there were contained in the rules a covenant on the part of each member and any person claiming through the member to observe the rules (subject to the provisions of this Act).
(2)But a member of a registered society is not bound by an amendment of the society’s rules registered after the person became a member if and so far as the amendment—
(a)requires the member to take or subscribe for more shares than the number held by the member at the date of registration of the amendment,
(b)requires the member to pay upon the shares held by the member at that date any sum exceeding the amount unpaid upon them at that date, or
(c)in any other way increases the liability of that member to contribute to the share or loan capital of the society,
unless the member consents in writing to the amendment.
(3)In its application to Scotland, subsection (1) has effect as if the words “and affixed the member’s seal” were omitted.