378ZC Companies Act 2013 - Special user rights

Section 378ZC of Indian Companies Act 2013 "Special user rights"

(1) The producers, who are active Members may, if so provided in the articles, have special rights and the Producer Company may issue appropriate instruments to them in respect of such special rights.

(2) The instruments of the Producer Company issued under sub-section (1) shall, after obtaining approval of the Board in that behalf, be transferable to any other active Member of that Producer Company.

Explanation.--For the purposes of this section, the expression "special right" means any right relating to supply of additional produce by the active Member or any other right relating to his produce which may be conferred upon him by the Board.]
------------------

1. Ins. by Act 29 of 2020, s. 52 (w.e.f. 11-2-2021).