Board meeting for sale of asset

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This discussion clarifies whether a board meeting and resolution are always required when a private limited company sells a fixed asset. While not universally mandatory, the company's Memorandum of Association (MOA) and Articles of Association (AOA) may stipulate such requirements. Section 179(3) of the Companies Act, 2013, along with Rule 8 of the Companies (M.O.D & its Powers) Rules, 2014, are relevant to these decisions.

suuny

suuny (Querist)
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05 February 2021 Hi,
Does board meeting need to be held and board resolution need to be passed mandatorily for sale of any fixed asset of private limited company?

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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06 February 2021 Not mandatory, but subject to the provisions, if any , in the MOA /AOA of the company.
Inference :- Section 179(3) of Co's Act,2013 r.a.w rule 8 of Co's (M.O.D & its Powers) Rules,2014.

suuny

suuny (Querist)
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08 February 2021 Thanks Sir for the reply.

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