13 October 2011
if the articles have set the minimum no. of directors more than the statutory minimum, and later on if the no. of directors fell below the no. mentioned in articles, then what is the provision?
13 October 2011
but wot about the contracts entered by the co. during 3 months??
and will the law not supercede over the articles? i.e. irrespective of articles , as the directors have not fallen below the statutory minimum the co. remains legal.
14 October 2011
that means articles will overrule law....
i mean if articles decide no. of directors above the limit prescribed under the act, then co. must follow the articles otherwise it will become a defunct co.
14 October 2011
aoa is not against law.... it is permitted by act that aoa can increase the minimum no. of directors..... but my query is that if co. doesnot comply with articles but also doesnot violates law,then also will it become illegal.
for eg. abc pvt. ltd. as per aoa min no. of directors = 4 as per act = 2 actual no. of directors = 3 co. continues the business for 3 months
now what will be the result? 1. will the co. declared as defunct? 2. those contracts entered into by co. during this period , will co. liable to them?
CAclubindia
