{
  "url": "https://openlegislation.uk/financial-services-act-1986-single-property-schemes-exemption-regulations-1989/regulation-16",
  "json_url": "https://openlegislation.uk/financial-services-act-1986-single-property-schemes-exemption-regulations-1989/regulation-16.json",
  "legislation": "uksi/1989/28",
  "legislation_title": "The Financial Services Act 1986 (Single Property Schemes) (Exemption) Regulations 1989",
  "legislation_url": "https://openlegislation.uk/financial-services-act-1986-single-property-schemes-exemption-regulations-1989",
  "path": "regulation/16",
  "kind": "regulation",
  "number": "16",
  "heading": "Trust based schemes: valuation of non-cash consideration",
  "text": "(1) Except as provided in paragraphs (2) and (3), the terms of a trust based scheme must prohibit the issue of units in the scheme otherwise than for cash unless–\n(a) the consideration for the units has been valued in accordance with regulation 17;\n(b) a report with respect to its valuation has been made to the operator by a person appointed by him in accordance with that regulation during the period of six months immediately preceding the issue of the units; and\n(c) a copy of the report has been sent to the potential participant.\n(2) Paragraph (1) shall not apply with respect to the issue of units in connection with a proposed merger of the scheme with another scheme.\n(3) Paragraph (1) shall not apply with respect to an issue of units as consideration, or partly as consideration, for the acquisition of the first property subject to the scheme.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/uksi/1989/28/regulation/16",
    "retrieved_at": "2026-10-29T15:51:28.444916+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}