https://www.taxtmi.com/caselaws?id=102155 Share-transfer restrictions must be expressly contained in a private company's articles of association or arise by necessary implication; they are construed strictly in favour of free transferability. The articles bound the company and members and regulated share transfers, but restricted transfers only on a member's death and admission of heirs or nominees. A private family agreement added pre-emption and family-branch restrictions on transfers by living members, contrary to the articles. Those additional restrictions were not binding on the company, shareholders or transferees, and a transfer complying with the articles was not invalid merely because it breached the private agreement. en-us Thu, 28 Nov 1991 00:00:00 +0530 Fri, 24 Oct 2025 19:45:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=102155 Share-transfer restrictions must be expressly contained in a private company's articles of association or arise by necessary implication; they are construed strictly in favour of free transferability. The articles bound the company and members and regulated share transfers, but restricted transfers only on a member's death and admission of heirs or nominees. A private family agreement added pre-emption and family-branch restrictions on transfers by living members, contrary to the articles. Those additional restrictions were not binding on the company, shareholders or transferees, and a transfer complying with the articles was not invalid merely because it breached the private agreement. Case-Laws Companies Law Thu, 28 Nov 1991 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=102155