Transfer of Shares 20. (1) Subject to subsections (3) to (5), no transfer of common shares of the company that were issued to Her Majesty in right of Canada or to an approved telecommunications common carrier is, until entry thereof has been duly made in the register of transfers or in a branch register of transfers of the company, valid for any purpose whatever, except as exhibiting the rights of the parties to the transfer toward each other, and if absolute, of rendering any transferee jointly and severally liable with the transferor to the company and to its creditors. (2) Subject to subsections (3) to (5), no transfer of common shares of the company that were issued to Her Majesty in right of Canada or to an approved telecommunications common carrier shall be entered in the register of transfers or in a branch register of transfers of the company unless, (a) in the case of any such shares held by Her Majesty in right of Canada, the transfer is to a corporation declared by statute to be an agent of Her Majesty in right of Canada; and (b) in the case of any such shares held by an approved telecommunications common carrier, the transfer is to another approved telecommunications common carrier and has been approved by order of the Governor in Council. (3) The Board of Directors may, by by-law made with the approval of the Governor in Council, authorize any approved telecommunications common carrier named in the by-law to transfer common shares of the company held by it, up to a number of such shares specified in the by-law, to persons who fulfil the statutory conditions. (4) Where the Board of Directors makes a by-law pursuant to subsection (3), the Board shall thereby provide that the approved telecommunications common carrier named in the by-law shall, prior to transferring any such shares to persons who fulfil the statutory conditions offer a number of common shares of the company equal to the number of those shares specified in the by-law pro rata, or on any other basis agreed on by the approved telecommunications common carriers at a price that is not greater than what the fair market value of those shares would be if they were shares of the company issued to persons who fulfilled the statutory conditions. (5) Any sale of shares that results from an offer under subsection (4) shall be deemed to have been approved by the Governor in Council under paragraph (2)(b). (6) If, when a reasonable time specified in a by-law referred to in subsection (3) has elapsed after the making of an offer under subsection (4), all or any of the common shares of the company offered to approved telecommunications common carriers pursuant to that subsection have not been purchased by them, (a) the offer in respect of the shares that have not been purchased shall be deemed to be withdrawn; and (b) a number of common shares of the company issued to the approved telecommunications common carrier named in the by-law, equal to the number of such shares that were so offered and not purchased, shall be deemed for the purposes of this section and sections 18 and 19 to be common shares of the company that were issued to persons who fulfilled the statutory conditions. R.S., c. T-4, s. 20.