Company Law – 3 Year L.L.B.

1. What is Corporate Veil? When can a Court order uplifting of Corporate veil.

2. Who is a promoter? What are the duties and liabilities of a promoter?

3. State the different kinds of meetings held in a Company? What is the procedure to call for
the meeting?

4. Discuss the provisions for prevention of oppression and mismanagement of the Company.

5. Various modes of winding up a Company.

6. Define Debenture and various kinds of Debentures

7. Discuss the advantages of incorporation of Company

8. Define prospectus. Explain the contents of prospectus.

9. Who is a Company Director? What are the powers and duties of a Director? How is he
appointed? What are his liabilities? Legal position of the Director? Removal of a
Director?

10. State different types of Companies.

11. What are the different classes of share capital? Explain the statutory restrictions and
general principles of allotment of shares.? What are the general principles in allotment of
Shares by a Public Ltd. Company?

12. What are Articles of Association? Discuss the contents and alteration of AOA. What are
the binding forces of Articles of Association.

13. Write a note on Memorandum of Association. Discuss the binding forces and
fundamental clauses of Memorandum of Association. Write a note on name clause of the
Memorandum of Association

14. Explain the doctrine of indoor management with exception.

15. What is Dividend? Discuss the law relating to declaration payment of Dividends by
Companies.

16. Explain the duties and powers of Tribunals with respect to reconstruction and
amalgamation of Companies

17. What is a Share? Explain the different kinds of Shares.

18. Who can be members of a Company? What are the different modes of becoming
members of a Company?
Write short notes on:
i. Independent Corporate existence
ii. Liquidator
iii. Buy back of Shares
iv. Certificate of incorporation.
v. Central Govt.’s power to prevent mismanagement of a Company

Problems:

1. A, B, C are the members of a Company holding all Shares of that Company. Then
transferred their shares to ‘X’, ‘Y’, ‘Z’. Whether the Company having the same
entity?

2. ‘A’ on the instruction of certain gentlemen prepared the necessary documents and
obtained the registration of a Company. He paid the registration fee and incurred
incidental expenses of registration. Afterwards, the Company refused to pay the
expenses to ‘A’. ‘A’ want to file a suit. Advise ‘A’

3. ‘M’ a person already holds office of Director in 15 Companies. He wants to become

Director of another Company. Advise him.

4. In a train accident, all 10 members if a Pvt. Company died. Does the Company cease
to exist because all the members have died?

5. The Articles of the Company contained a clause to the effect that ‘A’ should be the
Director and should not be removed until 2015. He was however removed much
earlier. He brings an action against the Company for the damages. Will he succeed.

6. The Directors of a Company by two resolutions resolved to make a call. But neither
resolution specified the date and amount of payment. Decide the validity of the call.

7. A Company was incorporated for manufacturing chemicals as its business. It donated

Rs. 10 Lakhs to a university and scientific institution for scientific and educational
research. Is it valid?

8. ‘A’ sold certain lands to ‘B’ on a condition that ‘B’ would never sell the land to
colored persons. ‘B’ sold the land to a Company consisting exclusively of Negro
persons. ‘A’ took action for the annulment of transfer on the grounds that property
had been passed to colored persons. Will he succeed?

9. ‘N’ a minor was registered as a Shareholder. After attaining majority, he continues to

receive dividends from the Company. Subsequently Company went to liquidation. ‘N’
denies all liabilities as a Shareholder. Decide

10. ‘K’ was bearer debenture holder of ‘S’ Company. He transferred the same to ‘R’. The
Company refused to pay the amount with interests to him. Whether ‘R’ can claim it?
Advise.
11. ‘M’ was a wealthy man having huge dividend and income. He formed four private
companies and all his income was credited in the accounts of four companies and to
get back his amount as a pretended loan for the purpose of tax evasion. Will Court
order for lifting the Companies Veil of those four Companies?

12. One Company called for the annual general meeting in December 1999 which was
postponed to March, 2000 and then held. Subsequent meetings was held in Feb 2001.
The Company contended that the meeting was held in that year. Is the contention of
the Company correct?

13. Certain Directors held a meeting of the Board. But they prevented some lawfully
constituted directors from attending the meeting. A Quorum was however present. Is
the Board meeting valid?

14. A Company has its registered address in Mumbai. Due to some unfavorable reasons,
it wishes to shift its address to Karnataka. Advise the Company.