Outline the classes of persons who may effectively demand for a poll during a general meeting ANSWER • The chairman of the meeting. • At least five members present in person or by proxy. • A member or members representing Open …
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What are the salient duties and powers of the Chairman of a general meeting of a company? Illustrate your answer with reference to decided cases
What are the salient duties and powers of the Chairman of a general meeting of a company? Illustrate your answer with reference to decided cases ANSWER Duties • Satisfy himself that the meeting is duly constituted. • Inform himself the Open …
Explain how the capital of a company may be: i) Altered; ii) Reduced; iii) Increased;
Explain how the capital of a company may be: i) Altered; ii) Reduced; iii) Increased; ANSWER Under the Companies Act, the capital of accompany can be altered in various ways namely: • Increase of capital • Sub-division of shares • Open …
Explain the remedies that are available to an investor who has been indiced to take shares by false statements made in a prospectus
Explain the remedies that are available to an investor who has been indiced to take shares by false statements made in a prospectus ANSWER The remedies available to a subscriber include: • Compensation for any loss or damage occasioned by Open …
In what circumstances may a company accept shares surrendered by a member?
In what circumstances may a company accept shares surrendered by a member? ANSWER As a general rule, surrender of shares is not authorised by law. This is a situation whereby a member gives up his shares to the company. It Open …
Y Ltd whose articles are similar to Table A, publish a weekly magazine. In one issue an article is critical of the policies of the city commission. A number of Commissioners who are also members of the company requisition a general meeting and secure the passing of an ordinary resolution ordering the company to publish in the next issue a withdrawal of the criticism. The directors of the company are adamant. The angry commissioners approach you for the purpose of filing an action to compel the directors to publish a withdrawal.
Y Ltd whose articles are similar to Table A, publish a weekly magazine. In one issue an article is critical of the policies of the city commission. A number of Commissioners who are also members of the company requisition a Open …
To what extent does the doctrine of constructive notice operate negatively?
To what extent does the doctrine of constructive notice operate negatively? ANSWER This doctrine is to the effect that persons who deal with the company are deemed to know the contents of its public documents, namely memorandum, articles special resolutions Open …
What courses are open to a secured creditor in liquidation?
What courses are open to a secured creditor in liquidation? ANSWER Course of action open to a secured creditor in liquidation • Value the security and prove the balance, if any. • Sell the security and prove the balance, if Open …
How does a creditor demonstrate that the company is unable to pay its debts?
How does a creditor demonstrate that the company is unable to pay its debts? ANSWER How the creditor can prove insolvency: • That a debt of KSh.1,000 or more remain unpaid three weeks after demand • Execution or other process Open …
What are the different types of Liquidation and who may commence proceedings?
What are the different types of Liquidation and who may commence proceedings? ANSWER Types of winding-up i) Compulsory winding up or winding up by the court. ii) Winding up subject to the supervision of the court. iii) Voluntary winding up. Open …