Companies (Subsidiaries) (Jersey) Order 2003

Summary

This Order modifies how certain company law definitions apply in a narrow historical scenario: where shares were held by way of security as at 1 September 2002. It clarifies which party's rights count for the purposes of determining whether one company is a subsidiary, wholly owned subsidiary, or holding body of another under the Companies (Jersey) Law 1991.

• Security arrangements pre dating September 2002: If shares were held by way of security on 1 September 2002, Article 2A(7) of the Companies (Jersey) Law 1991 does not apply to the rights attached to those shares for as long as the security remains in force.
• Effect on rights attribution: While Article 2A(7) is disapplied, the rights attached to the secured shares are instead treated, for the purposes of Article 2 of the 1991 Law, as being held by the person currently providing the security (rather than the party holding the shares as security).

The Order is a narrow, largely historical interpretive provision with no ongoing filing, reporting, or compliance actions required of companies. It affects only the legal classification of subsidiary, wholly owned subsidiary, and holding body relationships in the specific pre existing security scenario it describes.

Applies to

companies, holding companies, subsidiaries incorporated under the Companies (Jersey) Law 1991

Related documents

• This document is made under Companies (Jersey) Law 1991