In which meeting the alteration can be approved?
The alteration must be approved by passing a Special resolution in general meeting. Alteration in the articles binds the members as original articles.
What are the number of limitations to alteration?
Explanation: 11 is the number of limitation to alteration.
In what circumstances can the articles of association not be altered?
A company registered under Section 8 of the Act cannot alter its articles except with the previous approval of the Central Government.
What is alteration article?
The Articles of Association may be changed by the shareholders passing a special resolution in a general meeting or by written resolution. A copy of the resolution and the new articles of association must be sent to Companies House within 15 days.
What are the restrictions on alteration of articles of association?
Articles can be altered only by a special resolution. Articles can never be altered by an ordinary resolution even if they provide for such a procedure. 2. Alteration can neither be beyond the provisions of the companies Act nor the memorandum of association.
What are the alteration in articles of association?
What are the limitations to alteration of articles of association?
Limitations on Alteration of Articles
- Not inconsistent with provisions of any act.
- Not illegal or against public policy.
- Not inconsistent with the order of a government or a court.
- Must be bonafide.
- Must not be fraudulent.
- Must not result in breach of contract.
- Must not increase liability of the members.
What is alteration of articles of association?
How can the company alter its articles of association?
Company can alter its Article by way of addition, deletion, modification, substitution, or in any other way, only if it wants. To alter the Article of association of Company By giving Notice of at least 7 days. At the Board meeting, the given resolutions in respect of alteration in AOA must be passed.
What is the alteration made in company?
The alteration does not mean only altering the existing articles. It may also include the addition or deletion of any articles. After that, a formal resolution is passed for this.