Section 34 — Canada Business Corporations Act: Acquisition of corporation’s own shares

Subject to subsection (2) and to its articles, a corporation may purchase or otherwise acquire shares issued by it. A corporation shall not make any payment to purchase or otherwise acquire shares issued by it if there are reasonable grounds for believing that the corporation is, or would after the payment be, unable to pay its liabilities as they become due; or the realizable value of the corporation’s assets would after the payment be less than the aggregate of its liabilities and stated capital of all classes.