(1) A bearer of a bearer share in a company registered under this Part may surrender the share to the company. The company must:

(a)

cancel the share; and

(b)

include the bearer's name in the company's register of members.

(2) The company is liable to compensate anyone who suffers a loss because the company includes the bearer's name in the company's register of members despite the fact that:

(a)

the share was not surrendered to the company; or

(b)

the company failed to cancel the share.

(3) Subject to this section, the constitution of a company registered under this Part may provide that the bearer of a bearer share in the company is taken to be a member of the company for all purposes or for specified purposes.

Note: A body must not issue bearer shares after it is registered as a company under this Part (see paragraph 254F(a)).