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प्रश्न
Justify the following statement.
The doctrine of Indoor Management protects outsiders who are unaware of the correctness of internal proceedings of a company.
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उत्तर
(1) In order to maintain business secrecy, it is obligatory on the part of the company management and its officers that certain information which is important and confidential should not be leaked or known to the outsiders. Therefore, directors and mockers of the company must act in accordance with the information they get from the Memorandum of Association and Articles of Association.
(2) The doctrine indoor management explains that the third parties or persons entering into a contract with the company are not bound to inquire whether the company or its officers have followed the internal proceedings mentioned in the Articles of the company or not. It is presumed that the company acts as per the provisions made in its Memorandum of Association and Articles of Association. Thus, the doctrine of indoor management safeguards the interest of outsiders who deal with the company in good faith and without manacled interest.
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संबंधित प्रश्न
Select the correct answer from the option given below and rewrite the sentence.
_______is a primary document of the company which contains the aims and objectives of the company.
Select the correct answer from the option given below and rewrite the sentence.
_________ contains rules and regulations for internal management of the company
Write a word or a term or a phrase which can substitute the following statement:
Document which contains, Name Clause, Registered Office Clause, Capital Clause, etc.
Write a word or a term or a phrase which can substitute the following statement:
Document which establishes company’s relationship with outsiders.
Write a word or a term or a phrase which can substitute the following statement:
Document which establishes relationship between a company and its members.
Write a word or a term or a phrase which can substitute the following statement:
Document issued by public company inviting public to subscribe to its shares.
State whether the following statement is True or False:
Memorandum establishes the relationship between the Company and Members.
State whether the following statement is True or False:
Memorandum need not have a Liability Clause.
State whether the following statement is True or False:
Articles of Association is subordinate to Memorandum.
State whether the following statement is True or False:
Every subscriber who signs the Memorandum must also sign the Articles.
State whether the following statement is True or False:
Entrenched Articles cannot be easily altered.
State whether the following statement is True or False:
Only public companies can issue Prospectus.
State whether the following statement is True or False:
Every company has to issue shelf prospectus every time it offers shares to the public.
Find the odd one.
Find the odd one.
Complete the sentence.
Any act done by the company which goes beyond the powers of Memorandum of Association will be calledas _________
Explain the following term/concept.
Liability clauses
Distinguish between the following:
Memorandum of association and articles of association.
