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Deed Of Gift Of Shares Template for England and Wales

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Key Requirements PROMPT example:

Deed Of Gift Of Shares

"I need a Deed of Gift of Shares to transfer 1,000 ordinary shares in my family business to my daughter as part of succession planning, with completion planned for March 2025, including appropriate tax warranties and confidentiality provisions."

Document background
The Deed of Gift of Shares is commonly used when shareholders wish to transfer their shares without receiving payment, typically in family succession planning, tax planning, or corporate restructuring scenarios. This deed must comply with English and Welsh law requirements and includes essential details such as the identity of the parties, share specifications, and company information. It serves as conclusive evidence of the transfer and helps ensure compliance with company law, tax regulations, and transfer requirements. The document is particularly important as it creates a clear audit trail and helps prevent future disputes about the nature of the transfer.
Suggested Sections

1. Parties: Details of the donor and recipient of the shares

2. Background: Context of the gift and details of the shares being transferred

3. Definitions: Key terms used in the deed

4. Gift: The formal declaration of the gift of shares

5. Warranties: Donor's confirmations regarding ownership and right to transfer

6. Execution: Formal execution blocks for parties and witnesses

Optional Sections

1. Tax Indemnity: Used when specific tax arrangements need to be documented between the parties

2. Further Assurance: Commitment by the parties to take additional steps if needed to perfect the transfer

3. Confidentiality: Provisions regarding confidentiality of the transfer and its terms

Suggested Schedules

1. Schedule 1: Share Details: Detailed description of shares being transferred including class, number, and nominal value

2. Schedule 2: Company Details: Details of the company whose shares are being transferred

3. Appendix A: Stock Transfer Form: Standard form J30 for transferring shares

4. Appendix B: Share Certificate: Copy of existing share certificate(s)

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions



















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Industries

Companies Act 2006: Primary legislation governing share transfers, documentation requirements, registration procedures, directors' powers, company articles, and share certificate requirements

Stock Transfer Act 1963: Legislation specifying requirements for stock transfer forms and legal formalities for the transfer of securities

Law of Property (Miscellaneous Provisions) Act 1989: Sets out requirements for deeds and execution formalities in England and Wales

Financial Services and Markets Act 2000: Contains regulatory requirements for share transfers in regulated companies and transfer restrictions for public companies

Stamp Duty Legislation: Covers stamp duty and stamp duty reserve tax regulations, including tax implications and exemptions for share transfers

Income Tax Act 2007 and Taxation of Chargeable Gains Act 1992: Governs tax implications including capital gains tax and income tax considerations for share transfers

Insolvency Act 1986: Addresses transactions defrauding creditors and validity of gifts in the context of insolvency

Mental Capacity Act 2005: Covers requirements regarding donor's capacity to make the gift and provisions for cases where donor lacks capacity

The Companies (Model Articles) Regulations 2008: Contains standard provisions regarding share transfers and potential restrictions on transfer in company articles

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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