Section 1117 | Other interpretation

(1)In this Part, except where the context otherwise requires—

“security” includes securities not creating or evidencing a charge on assets, and

“share” includes stock, and any other interest of a member in a company.

(2)Subsection (1) does not affect the meaning of “share” in section 1054 (building society payments).

(3)For the purposes of this Part a distribution is treated as made out of assets of a company if the cost falls on the company.

(4)For the purposes of this Part consideration is treated as provided out of assets of a company if the cost falls on the company.

(5)References in this Part to issuing share capital as paid up also apply to the paying up of any issued share capital.

(6)If securities—

(a)are issued at a price less than the amount repayable on them, and

(b)are not listed on a recognised stock exchange,

then, for the purposes of this Part the principal secured is not taken to exceed the issue price, unless the securities are issued on terms reasonably comparable with the terms of issue of securities listed on a recognised stock exchange.

(7)For the purposes of this Part, if something done in respect of shares is done by reference to share holdings at a particular time, it is regarded as done—

(a)to the then holders of the shares, or

(b)to the personal representatives of any holder then dead.

(8)For the purposes of this Part, if something done in respect of securities is done by reference to holdings of securities at a particular time, it is regarded as done—

(a)to the then holders of the securities, or

(b)to the personal representatives of any holder then dead.