June 14, 1935 (17th Parliament, 6th Session)

LIB

Charles Edward Bothwell

Liberal

Mr. BOTHWELL:

Those words "deemed in all the circumstances of the case adequate consideration" may not mean dollars at all, but that is what the Shareholders of tlft company will expect is going into the company- dollars or dollars' worth. I think that the Secretary of State will know that in the past the courts have refused to go back of what the directors have said was adequate consideration. If they the directors say that a lot bought for a thousand dollars and turned in to the company at ten thousand dollars, was at an adequate consideration the court then says the directors having decided that, we will not interfere.

Topic:   COMPANIES ACT, 1934, AMENDMENT CONTINUATION OF DEBATE ON THE MOTION OF MR. CAHAN FOR SECOND READING
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