Section 716 Payment to be approved by special resolution

(1)

The payment out of capital must be approved by a special resolution of the company.

(2)

The resolution must be passed on, or within the week immediately following, the date on which the directors make the statement required by section 714.

(3)

A resolution under this section is subject to—

section 717 (exercise of voting rights), and
section 718 (disclosure of directors' statement and auditors' report).

Notes on Part 18

Modifications

C1: Pts. 1-39 modified (31.12.2020) by Regulation (EC) No. 2157/2001, Art. AAA1(3) (as inserted by The European Public Limited-Liability Company (Amendment etc.) (EU Exit) Regulations 2018 (S.I. 2018/1298), regs. 1, 97 (with regs. 140-145) (as amended by S.I. 2020/523, regs. 1(2), 5(a)-(f)); 2020 c. 1, Sch. 5 para. 1(1))
C2: Pts. 1-39 (except for Pt. 7 and ss. 662-669), 45-47 extended (12.5.2011) by The Companies Act 2006 (Consequential Amendments and Transitional Provisions) Order 2011 (S.I. 2011/1265), art. 5(1), Sch. 1 para. 2