Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) This section deals with the situation in which a * scheme gives rise to an * interest that will or may convert into an * equity interest in a company.
(2) The life of the interest ends no later than the time when it converts into that * equity interest.
(3) The possibility of the conversion is to be disregarded in working out the length of the life of the interest arising from the * scheme for the purposes of section 974 - 35 if it is uncertain:
(a) whether the interest will ever convert; or
(b) when the interest will convert.
Note: Section 974 - 40 deals with the situation in which a party to the scheme may exercise a right or option to convert the interest.
(4) This section does not limit subsection 974 - 35(2).