Agreement for Formation of a New Company to Exploit an Invention or Creation

Agreement for sale of invention The agreement for sale of patents as mentioned in this agreement should be properly drafted in consultation with the patents agents so that the said agreement may contain a complete specification of the invention which will be filed with the office of the Registrar of patents. Consideration for sale The amount invested in the sale of invention can be partly paid in cash and partly by allotment of shares or fully by cash or fully…

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Company’s duty to register its charges – Company Registration in Bangalore

Every company is obligated for creating a charge within or outside India,on its property or asserts or any of its undertakings, whether tangible or otherwise,and situated in or outside India,to register the particulars of the charge signed by the company and the charge-holder together with the instruments ,if any,creating such charge ,with the registrar within thirty days of its creation. Form and Manner for Register a company The application for registration of charge shall be submitted to the registrar for…

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Definition of relevant issues of the company – Company Registration in Bangalore

Extracts relevant to new terms/definition  of Companies Act,2013 The JJ Irani committee was an Expert Committee  set up by the Ministry of Company Affairs which mentioned in Order dated 2nd December ,2004,to advise the Government to the new Company Registration  Law.The committee had the benefit of participation by several experts in various disciplines .It took a comprehensive view in developing a perspective on changes necessary in the companies Act,1956 in context of the economic and business registration environment.One of the…

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Rectification of Register – Company Registration in Bangalore

Section 111 of Companies Act, 1956 Section 111(4) of the 1956 Act corresponds to sub-section (1) of s. 59 of the 2013 Act. As stated earlier, s. 111(4) was applicable only to private companies, however, section 59 is applicable to public companies as well. The notes below are in the context of s. 111(4) of the 1956 Act, and are relevant in the context of s. 59(1) of the 2013 Act. Please note that the case law below may also…

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Liabilities of an Auditor – Company Registration in Bangalore

Factors that count towards liabilities Picking up the points from the cases considered above and others, NEILL LJ has listed the following factors to be considered in fixing this liabilities: The factors to be considered in determining whether the maker or giver owed a duty of care to the recipient not to be negligent in the statement or advice include the purpose for which the statement is made, the purpose for which the statement is communicated, the relation between the…

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Rights and Duties of the Auditors – Company Registration in Bangalore

Rights and Duties of the Auditor – Introduction Section 143(1) which specifies rights and duties of auditors and auditing standards is applicable to all the companies alike, whether public or private. Sub-section (1) of section 128 provides that the books of account should give a true and fair view of the state of affairs of the company or its branch, as the case may be, and explain its transactions. The books should be kept on accrual basis and according to…

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Loans and Investments by Company – Company Registration in Bangalore

Loans and Investments by Company Section 186 of the 2013 Act is substantially similar to the provisions of section 372 A of the 1956 Act. One of the significant additions to the section is sub-section (1) of section 186 of the 2013 Act. Under sub-section (1) of section 186 of the 2013 Act, a company has been restrained from making loans and investment through not more than two layers of investment companies. This restraint is subject to exception contained in…

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Appointment of Auditors – Company Registration in Bangalore

Scope of Section The Act seeks to ensure that the appointment of an auditor is not in the hands of the directors. That is why it is vested in the general body of shareholders. The directors may appoint the first auditors and may also fill a casual vacancy. Lest the power to fill a casual vacancy. Lest the power to fill a causal vacancy be abused by forcing a vacancy to come into existence, it is enacted that a vacancy…

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Alterations Corresponding to the Companies Act – Company Registration in Bangalore

Alterations of Memorandum of the Company[Section 13(1) of Companies Act,2013] A Company may,in general,alter its memorandum ,by passing a special resolution and complying with other conditions as provided below.It is most important to note that this is subject to section 61 of the 2013 Act,which lays down the limitations and conditions by which a limited company may take alterations of its share capital. This Corresponds broadly to section 17 of the 1956 Act,which also provided for a special resolution to…

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Number of Directorship of the Private Company-Company Registration in Bangalore

Introduction Section 275 of the 1956 Act prohibited a director from holding the office of a director in more than fifteen companies. Initially the limit specified was twenty which was subsequently reduced to fifteen by the Companies (Amendment) Act, 2000. The number of directorship had to be calculated in terms of section 278 of the companies Act, 1956. Section 276 of the 1956 Act contained provisions relating to making of choice where a director held office as a director in…

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