Report No. 110
27.10. Recommendation as to section 170.-
It appears to us that instead of driving the reader to deriving the meaning of 'stock' from the illustrations under section 170 or to other sources, the Act should expressly mention the word 'shares' in the body of the main section. The layman is more frequently concerned with 'share' than with stock. We, therefore, recommend that section 170 should be suitably amended, so as to add an express mention of 'shares'. The following is a suggested re-draft of the section for the purpose:
Revised section 170
"170. In the absence of any direction, in the will, where there is a specific bequest of stock in a joint stock company or shares in a company with limited liabilities,
(a) if any call or other payment is due from the testator at the time his death in respect of the stock or shares, such call or payment shall, as between the testator's estate and the legatee, be borne by the estate; but
(b) if any call or other payment becomes due in respect of such stock or shares after the testator's death, the same shall, as between the testator's estate and the legatee, be borne by the legatee, if he accepts the bequest".
[Illustrations as at present]