Duty of LLP as to issue of certificates etc on transfer776

1

An LLP must, within two months after the date on which a transfer of any of its debentures or debenture stock is lodged with the LLP, complete and have ready for delivery—

a

the debentures transferred, or

b

the certificates of the debenture stock transferred.

2

For this purpose a “transfer” means—

a

a transfer duly stamped and otherwise valid, or

b

an exempt transfer within the Stock Transfer Act 1982 (c. 41),

but does not include a transfer that the LLP is for any reason entitled to refuse to register and does not register.

3

Subsection (1) does not apply—

a

if the conditions of issue of the debentures or debenture stock provide otherwise, or

b

in the case of a transfer to a financial institution (see section 778).

4

If default is made in complying with subsection (1) an offence is committed by every member of the LLP who is in default.

5

A person guilty of an offence under this section is liable on summary conviction to a fine not exceeding level 3 on the standard scale and, for continued contravention, a daily default fine not exceeding one-tenth of level 3 on the standard scale.