Registered Companies

Abstract

After reading this chapter you will know about:

• 1 the nature and effect of the Memorandum and Articles of Association

• 2 the contractual capacity of the company and the liability of directors for ultra vires contracts and contracts beyond their authority

• 3 the nature of share capital of the company and the regulations relating to the raising and maintenance of capital for the protection of the company’s creditors

• 4 the different types of shares which can be issued and the controls on variation of shareholders’ rights

• 5 the appointment, retirement rotation and disqualification of directors and the duties owed by the directors to the company and the enforcement of these duties

• 6 the common law and statutory rules protecting minority shareholders from the abusive use of majority power