company law case study and answers

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Important caselaws on Company law

Leading Cases on Company Law

As the trend of asking questions have been changed by ICAI, I thought this might be useful. I compiled these decided case laws from various sources like RTP, study module, compilation of suggested answers. I am laying down only those which I feel important from examination point of view. These caselaws make the concept even clearer because example is a better teacher.

Cases on separate legal entity

Kandoli tea company Ltd(1886)

Facts Certain persons transferred their properties in the name of company on which tax was payable.

Petition Petitioners claimed exemption from such tax on the ground that the transfer was from them individually to themselves in another name.

Judgment Company is separate from its shareholders and this should be treated as transfer.

Saloman Vs. Saloman & Co. Ltd. (1895 - 99)

Facts- Saloman sold his business to a company named Saloman & Company Ltd., which he formed. Saloman took 20,000 shares. The price paid by the company to Saloman was 30,000, but instead of paying him, cash, the company gave him 20,000 fully paid shares of 1 each &10,000 in debentures. The company wound up & the assets of the company amounted to 6,000 only. Debts amounted to 10,000 due to Saloman & Secured by debentures and a further 7,000 due to unsecured creditors. The unsecured creditors claimed that as Saloman & Co. Ltd., was really the same person as Saloman, he could not owe money to himself and that they should be paid their 7,000 first.

1. A Company is a "legal person" or "legal entity" separate from and capable of surviving beyond the lives of, its members.

2. The company is not in law the agent of the subscribers or Trustee for them.

3. Saloman was entitled to 6,000 as the company was an entirely separate person from Saloman.

4. The unsecured creditors got nothing.

Lee Vs. Lee's Farming Co. Ltd. (1960)

Facts- Lee incorporated a company of which he was the managing director. In that capacity he appointed himself as a pilot of the company. While on the business of the company he was lost in a flying accident. His widow claimed compensation for personal injuries to her husband while in the course of his employment. It was argued that no compensation was due because L & lee's Air Farming Ltd. were the same person.

1.L was separate person from the company he formed and compensation was payable.

2. His widow recovered compensation under the Workmen's Compensation Act

3. A member of a company can contract with a company of which he is a shareholder.

4. The directors are not precluded from being an employee of the company for the purpose of workmen's compensation legislation.

MacauraVs. Northern Assurance Co. Ltd. (1925)

Facts- M was the holder of nearly all the shares except one of a timber company. He was also a substantial creditor of the company. He insured the company's timber in his own name. The timber was destroyed by fire & M claimed the loss from Insurance Company.

1.The Insurance Company was not held liable to him.

2.A shareholder cannot insure the company's property in his own name even if he is the owner of all or most of the company's shares.

Lifting of corporate veil

Gol ford Motor Co. Vs. Home (1933)

Facts- Home was appointed as a managing director of the plaintiff company on the condition that "he shall not at any time while he shall hold the office of a managing director or afterwards, solicit or entice away the customers of the company." His employment was determined under an agreement.

Shortly afterwards he opened a business in the name of a company which solicited the plaintiffs customers.

Judgment-It was held that the company was a mere cloack or shaw for the purpose of enabling the defendant to commit a breach of his covenant against solicitation. The court will refuse to uphold the separate existence of the company where it is formed for a fraudulent purpose or to avoid legal obligations.

Daimler Co. Ltd. Vs. Continental Tyre & Rubber Co. Ltd. (1916)

Facts- In a company incorporated in England for the purpose of selling tyres manufactured in Germany by a German Company, all the shares except one was held by the German subjects residing in Germany. The remaining one was held by a British. Thus the real control of English Company was in German hands. Question arose whether the company had become an enemy company due to war&should be barred from maintaining the action.

1.A Company incorporated in United Kingdom is a legal entity, a creation of law with the status & capacity which the law confers.

2.It is not a natural person with mind or conscience. It can neither be loyal nor disloyal. It can be neither friend nor enemy. But it can assume enemy character when persons in defacto control of its affairs are residents in any enemy country or whenever resident, are acting under the control of enemies.

3.Held that company was an enemy company for the purpose of trading and therefore it was, barred from maintaining the action.

Workmen employed in associated rubber industries

Facts A subsidiary company was formed wholly by the holding company with no assets of its own except those transferred to it by the holding company, with no business or income of its own except receiving dividend from shares transferred to it by the holding company.

Judgment Court held that the company was formed as a devide to reduce the profitsof the holding company and thereby reduce the bonus to workmen.

F.G.Films Ltd., case

Facts An American company produced a film in India actually in the name of British company wherein 90% of the share capital was held by the chairman of the American company which financed the production of the film.

Judgement The contention of the sensor board of films refusing to register the film on the ground that British company has acted merely as an agent of British company was correct.

COI is conclusive evidence that all the requirements have been complied with

Moosa Goola Arif Vs Ibrahim Goola Arif

Facts Company registered on the basis of MOA&AOA signed by two persons and a guardian on behalf of 5 minor members. Guardian signed separately for each of 5 memebers. The ROC however registered the company and issued under his hand a certificate of incorporation.

Petition Plaintiff contended that COI should be declared as void.

Judgment The court held the certificate to be conclusive for all purposes.

Jubilee Cotton Mills Ltd.,

Facts The ROC issued a COI on Jan 8thbut dated it Jan 6thwhich was the date he received application. On Jan 6ththe company made an allotment of shares to Lewis

Judgment Court held that certificate was conclusive evidence of incorporation on Jan 6thand that the allotment was not void on the ground that it was made before the company was incorporated.

Decided case on objects clause of MOA

Crowns bank case

Facts A companys objects clause enabled it to act as a bank and further to invest in securities and to underwrite issue of securities. The company abandoned its banking business and confined itself to investment activities.

Judgment Court held that the company was not entitled to do.

Doctrine of ultravires

Ashbury railways carriage & Iron Co Ltd Vs Riche

Facts A railway company was formed with an object of selling railway wagons. The directors entered into a contract with Richie to finance the construction of railway line. The shareholders later rejected the contract as ultravires.

Judgment The court held that the contract was ultravires and therefore null and void.

Doctrine of indoor management / Turquand rule

Royal British Bank Vs. Turquand (1856)

Facts- The Directors of a company borrowed a sum of money from the plaintiff. The company's articles provided that the directors might borrow on bonds such sums as may from time to time be authorised by a resolution passed at a general meeting of the company. The shareholders claimed that there had been no such resolution authorising the loan and, therefore, it was taken without their authority. The company was however held bound by the loan. Once it was found that the directors could borrow subject to a resolution, the plaintiff had a right to infer that the necessary resolution must have been passed.

1.Persons dealing with the company are bound to read the registered documents and to see that the proposed dealing is not inconsistent therewith.

2.Outsiders are bound to know the external position of the company, but are not bound to know its indoor management.

3.Company may ratify the ultra vires borrowing by the directors if it is taken bonafide for the benefit of the company.

Exception to Turquand rule

Ruben Vs. Great Fingall Consolidated (1906)

Facts- The plaintiff was the transferee of a share certificate issued under the seal of a defendant company. The certificate was issued by the company's secretary, who had affixed the seal of the company & forged the signatures of two directors.

1.It is quite true that persons dealing with limited liability companies are not bound to enquire into their indoor management and will not be affected by irregularities of which they have no notice. But the doctrine of indoor management, which is well established, applies to irregularities which otherwise might affect a genuine transaction. It can't apply to a forgery.

2.Plaintiffs suit for damages did not succeeded because turquand's rule did not apply where the document was forged.

Anand Biharilal Vs Dinshaw and Co.,

Facts The plaintiff accepted a transfer of the companys property from its accountant.

Judgment The court held that since it is beyond the scope of an accountants authority, it was held void.

The offer in prospectus should be made to public (atleast to 50 persons)

Nash Vs Lynde

Facts Some copies of documents marked strictly confidential and containing particulars of a proposed issue of shares, were sent by the managing director to his relatives and friends. Thus the document was passed on privately through a small circle of friends of directors.

Judgment The court held that there was no issue to public, and it doesnot amount to prospectus as it was not offered to public.

Who can sue on a false and misleading prospectus

Only primary market allotees

Peek Vs Gurney

Facts A fraudulent prospectus was issued by the directors. Peek received a copy of it and did not took any shares. After several months Peek bought few shares from the stock exchange.

Judgment His action against the directors for fraudulent prospectus was rejected as he took the shares throughthe secondary market.

Misc. Case laws

Needle Industries Ltd. Vs. Needle Industries ly (India) Holding Ltd. (1981)

Facts-The articles of a private company contained a clause that when the directors decided to increase the capital of the company by the issue of shares the same should be offered to the shareholders, and if they failed to take, may be offered to others. The company was a wholly owned subsidiary of an English Company. The Govt, of India adopted a policy of diluting foreign holdings. The company accordingly issued shares to its employees and relatives reducing the foreign holding to 60%. The company became a deemed public company because more than 28% of its share capital was held by a body corporate.

1.A deemed public company is neither a private company nor a public company but a company in a third category.

2.If the power of appointing additional directors is delegated to the Board by the articles, the Board can appoint additional directors without taking this item on the agenda of its meeting.

Gramophone Ltd. Vs. tanley (1908)

1."Even a resolution of a numerical majority, at a general meeting cannot impose its will upon the directors. When the articles have confided to them the control of the company's affairs."

2.A company will be regarded as an Indian Company even if it is incorporated in India by promoters of foreign nationality.

T.R. PRATT Ltd. Vs. Sasson & Co. Ltd. (1936)

Facts- There were three companies, namely, 'S\ 'MT' & 'P' Company. S company had been financing P Company for a number of years and all transactions of loans were entered into through the agency of MT Company which held almost all the shares of P Company. The Directors of MT Company were also the Directors of P Company and this fact was known to S Company. An equitable mortgage was created on the property of 'P' Company for a loan granted by S to MT Company. In the winding up of P Company, it was held that the official liquidator was entitled to avoid the equitable mortgage as S Company had the knowledge of the facts through its directors.

1.Just as in case of agency, a notice to agent will amount to a notice to the principal, in the same way a notice to director will be deemed as a notice to the company.

2.Money having borrowed and used for the benefit of the principal, i.e. company in either paying off debts or for its legitimate business, the company could not repudiate its liability on the ground that the agents i.e., directors had no authority from the company to borrow.

3. "Under the law an incorporated company is a distinct entity, and although all the shares may be practically controlled by one person, in law a company is a distinct entity and it is not permissible or relevant to enquire whether the directors belonged to the same family or whether it is compendiously described as one man company.

EwingVs. Butter Cut Margarine Company Ltd. (1917)

Facts- The plaintiff was an incorporated firm carrying on substantial business under the trade name of Butter Cap Dairy Company. The defendant company was registered to trade in similar commodities and selected the name bonafide believing that there was no other company in existence with a similar name. The plaintiff alleged that the name of the company would lead to confusion and was detrimental to the plaintiffs business.

Judgment-Plaintiff was entitled to restrain the ly registered company from carrying on business on the ground that the public might reasonably think that the registered company was connected with his business.

Mackinnon Mackenzee & Co. Re, (1967)

Facts- A Company desired to shift its registered office from the State of West Bengal to Bombay. The Company's petition was resisted by the state on the grounds of loss of revenue.

Judgment- Held that there is no statutory right of the state, as a state, to intervene in an application made u/s 17 for alteration of the place of the registered office of a company. To hold that the possibility of the loss of revenue is not only relevant, but of persuasive force in regard to the change is to rob the company of the statutory power conferred on it by Sec. 17. The question of loss of revenue to one state would have to be considered in the total conspectus of revenue for the Republic of India and no parochial consideration should be allowed to turn the scale in regard to change of registered office from one state to another within India.

Scientific Poultry Breeder's Association, Re (1933)

Facts- Memorandum of the company prohibited payment of any remuneration to the directors. When the business of the company increased it was found that the directors could not pay sufficient attention unless some remuneration was paid to them.

Judgment-Company was allowed amendment to enable it to pay remuneration to its managers, which was formerly forbidden, being necessary for efficient management.

Re Cyclists Touring Club. (1907)

Facts- The Company's business was to promote, assist & protect cyclists on the public roads. The company by altering the object clause desired to include among the persons to be assisted all tourists including motorists.

1.The club not allowed to undertake protection of motorists also, as cyclists had to be protected against motorists.

2.It was impossible to combine the two business as one of the objects of the company was to protect cyclists against motorists.

Peveril Gold Mines Ltd. Re (1898)

Facts- The articles provided that no winding up petition could be presented without the consent of two directors or unless a resolution to wind up was passed at a general meeting or the petitioner held one-fifth of the share capital. None of these conditions was fulfilled.

1.Restriction was invalid & the petition could be presented.

2.Sec. 439 of the Companies Act, 1956 confers the right on a shareholder to petition for winding up of the company in certain circumstances.

This right can't be excluded or limited by the articles.

3.Each member is entitled to say that there shall be no breach of the Articles and he is entitled to an injunction to prevent breach.

Hulton Vs. Scarborough Cliff Hotel Co. (1865)

Facts- A resolution passed at a general meeting of a company altered the articles by inserting the power to issue shares with preferential dividend. The memorandum contained no such power.

The alteration was inoperative.

Erlanger Vs. Sombrero Phosphate Co. (1878)

Facts- Erlanger was the head of a syndicate who purchased an Island containing mines of Phosphate for 55,000 pounds Then formed a company to buy this Island. A contract was made between X a nominee of the syndicate and the company for its purchase at 1,10,000 pounds. A prospectus was then issued. Many persons took shares. The company failed & the liquidator sued the promoter for the refund of the profit.

1.Promoters stand in a fiduciary position. They have in their hands the creation & moulding of the company.

2.The promoters is in the situation a kin to that of a trustee of the company, & his dealings with it must be open and fair.

3.Promoter is guilty of breach of trust if he sells property to the company without informing the company that the property belongs to him or he may commit a breach of trust by accepting a bonus or commission from a person who sells property to the company.

Published by

Vinay Raja (student-IPCC) Category Corporate Law   Report

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Concentrate Questions and Answers Company Law: Law Q&A Revision and Study Guide (3rd edn)  

The Concentrate Questions and Answers series offers the best preparation for tackling exam questions and coursework. Each book includes: typical questions; suggested answers with commentary; illustrative diagrams; guidance on how to develop your answer; key debates; suggestions for further reading; and advice on exams and coursework. Concentrate Q&A Company Law offers expert advice on what to expect from your company law exam and coursework, how best to prepare, and guidance on what examiners are really looking for. Written by an experienced examiner, it provides: reminders of points to consider; indications of key debates for each topic; exam-length suggested answers; clear commentary with each answer; diagram answer plans; cautionary points; tips to make your answer stand out from the crowd; and annotated further reading suggestions at the end of every chapter. The book should help you to: identify typical company law exam questions; structure and write a first-class answer; avoid common mistakes; show the examiner what you know; develop and demonstrate your understanding; identify connections between topics; and find relevant and helpful further reading. As well as separate chapters on exam skills and preparing coursework, it covers: companies and corporate personality; the corporate constitution; shares and shareholders; directors’ duties; company management and governance; minority shareholder remedies; corporate liability (contracts, torts, and crimes); share capital; loan capital; and corporate insolvency. The book is suitable for undergraduate students taking a module in company law on the LLB and GDL, and undergraduate students studying aspects of company law on other degreecourses.

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• Guide to the online resources  
• Table of cases  
• Table of legislation  
• 1. Exam Skills for Success in Company Law  
• 2. Companies and Corporate Personality  
• 3. The Corporate Constitution  
• 4. Shares and Shareholders  
• 5. Directors’ Duties  
• 6. Company Management and Governance  
• 7. Minority Shareholder Remedies  
• 8. Corporate Liability: Contracts, Torts, and Crimes  
• 9. Share Capital  
• 10. Loan Capital  
• 11. Corporate Insolvency  
• 12. Mixed Topic Questions  
• 13. Skills for Success in Coursework Assessments  

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Home » LectureKart Shop Page » The Ultimate CS Executive Company Law Case Study Collection with Solutions by CS Midhas Purohit

The Ultimate CS Executive Company Law Case Study Collection with Solutions by CS Midhas Purohit

The Ultimate Collection of CS Executive Company Law Case Study based Questions with Solutions. A comprehensive collection of 100 case study based questions and suggested answers. Prepared by India’s best Teacher for Company Law CS Midhas Purohit.

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100 Company Law Case Study Questions with Solutions for CS Executive. Just for INR 299. Order Your Copy Now.

This Q&A Compiler is applicable for upcoming 2022 attempt of CS Executive conducted by ICSI

The Ultimate Collection of CS Executive Company Law Case Study with Solutions. A comprehensive collection of 100 case study questions and suggested answers. Prepared by India’s best Teacher for Company Law CS Midhas Purohit.

This book is published by Pareeksha Knowledge Hub Publication

Topics covered in this amazing Q&A Collection

• Share and Share Capital
• Members and Shareholders
• An overview of Inter-Corporate Loans Investments, Guarantees and Security Related Party Transactions
• Distribution of profits – Dividend
• Accounts, Audit and Auditors
• An overview of Corporate Reorganization
• Board Constitution and its Powers
• Appointment and Remuneration of Key Managerial Personnel
• Board Constitution and its Powers, Appointment and Remuneration of Key Managerial Personnel, Meetings of Boards and its Committees
• Meetings of Boards and its Committees
• Debt Capital and Deposits
• Legal Framework Governing Company Secretaries
• Distribution of Profits-Dividends
• Miscellaneous
• Distribution of Profits- Dividends
• Meetings of Board and its Committees
• General Meetings
• An Overview of Corporate Reorganization, General Meetings
• Secretarial Standards Board
• Transparency and Disclosures, Directors
• Introduction to Company Law
• Registers and Records, Transparency and Disclosures
• Debt Capital and Deposits & Accounts, Audit and Auditors
• Distribution of Profits- Dividend
• Meetings of the Board and its Committees
• An overview of Inter-Corporate Loans, Investments, Guarantees and Security, Related Party Transactions
• Corporate Social Responsibility

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How to study company law

This resource will help you to develop strategies for learning and remembering the course content and demonstrate a four-step technique for writing case study answers.

Company Law is a challenging course for students because it involves:

• difficult legal terminology
• complex and detailed content
• a particular writing style

In this tutorial

• Writing a legal scenario
• Learning a legal language
• Managing the reading

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Top 40 Most Popular Case Studies of 2021

Two cases about Hertz claimed top spots in 2021's Top 40 Most Popular Case Studies

Two cases on the uses of debt and equity at Hertz claimed top spots in the CRDT’s (Case Research and Development Team) 2021 top 40 review of cases.

Hertz (A) took the top spot. The case details the financial structure of the rental car company through the end of 2019. Hertz (B), which ranked third in CRDT’s list, describes the company’s struggles during the early part of the COVID pandemic and its eventual need to enter Chapter 11 bankruptcy. 

The success of the Hertz cases was unprecedented for the top 40 list. Usually, cases take a number of years to gain popularity, but the Hertz cases claimed top spots in their first year of release. Hertz (A) also became the first ‘cooked’ case to top the annual review, as all of the other winners had been web-based ‘raw’ cases.

Besides introducing students to the complicated financing required to maintain an enormous fleet of cars, the Hertz cases also expanded the diversity of case protagonists. Kathyrn Marinello was the CEO of Hertz during this period and the CFO, Jamere Jackson is black.

Sandwiched between the two Hertz cases, Coffee 2016, a perennial best seller, finished second. “Glory, Glory, Man United!” a case about an English football team’s IPO made a surprise move to number four.  Cases on search fund boards, the future of malls,  Norway’s Sovereign Wealth fund, Prodigy Finance, the Mayo Clinic, and Cadbury rounded out the top ten.

Other year-end data for 2021 showed:

• Online “raw” case usage remained steady as compared to 2020 with over 35K users from 170 countries and all 50 U.S. states interacting with 196 cases.
• Fifty four percent of raw case users came from outside the U.S..
• The Yale School of Management (SOM) case study directory pages received over 160K page views from 177 countries with approximately a third originating in India followed by the U.S. and the Philippines.
• Twenty-six of the cases in the list are raw cases.
• A third of the cases feature a woman protagonist.
• Orders for Yale SOM case studies increased by almost 50% compared to 2020.
• The top 40 cases were supervised by 19 different Yale SOM faculty members, several supervising multiple cases.

CRDT compiled the Top 40 list by combining data from its case store, Google Analytics, and other measures of interest and adoption.

All of this year’s Top 40 cases are available for purchase from the Yale Management Media store .

And the Top 40 cases studies of 2021 are:

1.   Hertz Global Holdings (A): Uses of Debt and Equity

2.   Coffee 2016

3.   Hertz Global Holdings (B): Uses of Debt and Equity 2020

4.   Glory, Glory Man United!

5.   Search Fund Company Boards: How CEOs Can Build Boards to Help Them Thrive

6.   The Future of Malls: Was Decline Inevitable?

7.   Strategy for Norway's Pension Fund Global

8.   Prodigy Finance

9.   Design at Mayo

10. Cadbury

11. City Hospital Emergency Room

13. Volkswagen

14. Marina Bay Sands

15. Shake Shack IPO

16. Mastercard

17. Netflix

18. Ant Financial

19. AXA: Creating the New CR Metrics

20. IBM Corporate Service Corps

21. Business Leadership in South Africa's 1994 Reforms

22. Alternative Meat Industry

23. Children's Premier

24. Khalil Tawil and Umi (A)

25. Palm Oil 2016

26. Teach For All: Designing a Global Network

27. What's Next? Search Fund Entrepreneurs Reflect on Life After Exit

28. Searching for a Search Fund Structure: A Student Takes a Tour of Various Options

30. Project Sammaan

31. Commonfund ESG

32. Polaroid

33. Connecticut Green Bank 2018: After the Raid

34. FieldFresh Foods

35. The Alibaba Group

36. 360 State Street: Real Options

37. Herman Miller

38. AgBiome

39. Nathan Cummings Foundation

40. Toyota 2010

Famous Cases under Company Law

Landmark cases under company law, salomon v salomon & co. ltd[1], royal british bank v turquand[2], cyrus investments pvt. ltd. & anr. v. tata sons ltd.& ors[3], tata consultancy services limited v. cyrus investments pvt. ltd.[4], ak bindal vs union of india[5], sri gopal jalan & co. v. calcutta stock exchange association ltd[6], seth mohan lal v. grain chambers ltd[7], shanti prasad jain v. kalinga tubes ltd[8], recent cases under companies act, 2013.

• https://www.lawyersclubindia.com/articles/landmark-judgments-of-corporate-law-13988.asp
• https://www.mondaq.com/india/shareholders/1077784/some-recent-trends-in-oppression-mismanagement-cases-under-the-companies-act-2013
• https://www.studocu.com/in/document/guru-nanak-dev-university/bachelor-of-law/sp-jain-vs-kaliga-ltd-case-law-of-company-law/16610619
• UKHL 1, AC 22
• 6 E&B 327
• 2017 SCC OnLine NCLAT 261
• 2017 SCC Online SC 272
• (2003) 5 SCC 163
• 1964 AIR 250
• 1968 AIR 772
• AIR 1965 SC 1535
• 2021 SCC OnLine NCLAT 123
• Company Appeal (AT) No. 25 of 2018
• Civil Appeal No. 9340 of 2019
• Company Appeal (AT) 389 of 2018
• Company Appeal (AT) 190 of 2019

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Company law case studies for CA/CS/CMA examinations

“Unlock insights into Company Law with these CA/CS/CMA case studies. Explore scenarios like subsidiary acquisition, pre-incorporation contracts, and conversion into a private company. Prepare effectively for examinations with real-world applications and strategic solutions.”

  Q 1 Masons (Pvt.) Ltd. is a private limited company as per the articles of association of the company. However, a  public company acquired shares in Masons (Pvt.) Ltd. Thereby making the  company, Masons (Pvt.) Ltd., a subsidiary of that public company. State the impact of such acquisition of shares by a public company on Masons (Pvt.) Ltd

Q 2 Based on the information given in the memorandum of association, Smart Ltd. Was incorporated and the certificate of incorporation was issued by the Registrar of Companies, New Delhi. The memorandum of association was duly signed, except that X, Y and Z signed it on behalf of five minors. Examine the validity of the certificate of incorporation issued by the Registrar of Companies [hint : certificate is valid, moosa goolam ariff vs ebrahim goolam ariff]

Q 3 Good Homes Ltd. was registered as a public company with 205 members as follows :

No. of members

Board of directors of the company takes a decision to convert the company into a private company. Being a legal advisor, the Board of directors seeks your advice about the steps to be taken for conversion of the company into a private company including reduction in the number of members, if necessary, as per the Companies Act, 2013. Advise the Board. [hint : no reduction required]

Q 4 A group of persons, called promoters have submitted an application to the Registrar of Companies, New Delhi for getting a company incorporated as a public company. Pending the Registrar’s decision of granting certificate of incorporation, the promoters enter into certain contracts for the purchase of some assets for the proposed company. Explain the legal position of promoters’ liability and the liability of the proposed company after  its incorporation,  in this regard. [hint : pre incorporation contracts]

Q 5 Kamal, the promoter of Desire Ltd., has incurred 1 lakh for formation of the company.The company refuses to pay all the expenses so incurred by Kamal since the company does not have any provision in the Articles of Association for such payment. Advise Kamal regarding the remedy available to him for his claim

Q 6 ABC Ltd. is a company incorporated under the Companies Act, 2013. The paid-up share capital of the company is held as under :

Explaining the provisions of the Companies Act, 2013, state whether the said company be called a ‘Government company’ and also state whether the employees of a Government company can claim their salaries from the Government of India [hint : govt co, can’t claim from GOI]

BOOKS OF ACCOUNT AND AUDIT

Q 1 Mr shyam is a small shareholder of ABC LIMITED and after that he was appointed as the small shareholder director ABC LIMITED and as on 1 aug 2016 went to company to inspect the books of accounts but accounts manager object that he can’t inspect because it is prejudicial to the interest of company if Mr shaym would be allowed to inspect. Explain as per provisions of companies act 2013 whether Mr shyam has a power to inspect ? [ hint : sec 209(3) of co act 2013, director has a power to inspect ]

Q 2 District court pass an order to recasting the books of accounts of the pasco india limited on the application filled by the income tax department and company raised objection that district court doesn’t have a power to pass such type of order, clarify as per provisions of companies act? [ hint : district court doesn’t have a power to recast the account, NCLT have a power to recast ]

Q 3 Board of director of ITC LTD has approved the financial statement on which Mr sumit has signed as chairman, for which is no authorization has been received by the BOD for signed, ROC issued the show cause notice to the company why penalty under sec 134(8) shall not to be imposed. Explain the action of ROC is tenable under law ? [ hint : yes, penalty can be imposed ]

Q 4 financial statement of ITC LTD specified that net worth of the company for the FY ended 31 march 2016 600 crore, company wants to spend in the financial year 16-17 in Corporate Social Responsibility Policy, information in regards of profits of all preceding 3 financial years are as under :-

BOD didn’t specified in board report about the amount and details of expenditure in CSR policy explain as per provisions of companies act, 2013 [ hint : Rs 2.5 crore and required to disclose otherwise liable to impose penalty ]

Q 5 Prism Ltd. has accepted Rs10 lakh as advance towards the supply of goods to certain parties. As per the agreement, the company will supply the goods after two years from the date of deposit. Later on, internal auditors qualified their report on the ground that the company has violated the provisions of the Companies Act, 2013. Directors explained that this is required to complete the order. Examining the relevant provisions of the Companies Act, 2013 state whether the explanation given by the directors is justified [ hint: not justified, consider as deposit otherwise punishable with fine which shall not be less than one crore rupees but which may extend to ten crore rupees ]

Q 6 Karnataka bank limited engaged in the business of banking provides a loan to the one of its director i.e. mukesh, amount Rs 20 crore as on 10 sep 2016 for it statutory auditor made an objection that it is violated the provision of companies act and BOD REQUIRED to give explanation on it. Explain as per provisions of companies act 2013 [hint: banking company can give a loan to director, sec 185]

Q7 on examination of books of accounts of DLF LTD Statutory auditor specify in the audit report that there is likely an amount of Rs 1 crore but BOD has not provided any explanations in the board report about the such fraud, BOD contented that it is not actual figure it is an expected figure. Explain as per provisions of companies act 2013 [hint: mandatory to explain]

Q8 Mr krishnamurty, statutory auditor of the coca cola (india) pvt ltd, has attend the EGM of the company, for which company didn’t made any notice to the auditor, company has made objection that mandatory to issue notice only in case of annual general meeting. Explain as per provisions of companies act 2013 statutory auditor can attend meeting without receiving a notice? [hint: can attend]

Q 1   ABC pvt ltd has equity paid up share capital amount of Rs 40 lacs and preference paid up share capital Rs 30 lacs and the turnover for the period ended 31 march 2016 Rs 2.5 crore

Explain whether there is a mandatory to convert in to public company or private company ? and time required for conversion ? [ hint: yes and in 6 months i.e. 30 sep 2016 ]

Q 2 ABC pvt ltd has equity paid up share capital amount of Rs 40 lacs and preference paid up share capital Rs 30 lacs and the turnover for the period ended 31 march 2016 Rs 2.5 crore

If within 6 months conversion will not be made whether company liable to struck off, explain the consequences? [ hint: no, One Person Company or any officer of the One Person Company shall be punishable with fine which may extend to ten thousand rupees and with a further fine which may extend to one thousand rupees for every day ]

Q 1 jaypee industries ltd made a public issue amount of Rs 100 crore and received an application money amount Rs 10 crore as on 1 jan 2016 and company unable to made allotment, due to strike made by the employees of merchant bankers, upto 31 jan and company made an refund  2 april 2016.CFO contended that required to show the amount in the as a deposit. Explain as  per provisions of companies act 2013 [ hint : considered as deposits ]

Q 2 pioneer Ltd. has accepted Rs10 lakh as advance towards sale of land . As per the agreement, the company will transfer the possession of land after two years from the date of deposit. Later on, internal auditors qualified their report on the ground that the company has violated the provisions of the Companies Act, 2013. Directors explained that this is required to complete the order. Examining the relevant provisions of the Companies Act, 2013 state whether the explanation given by the directors is justified [ hint: not consider as deposit ]

Q3 pioneer Ltd. , is an eligible company, has accepted Rs10 lakh as deposit for a term 24 months from member as on 1 april 2016 financial statements provided the following information for the year ended 31 march 2016 as as under

Examine the validity of amount of deposit took by the company ? [hint: deposit up to 9.5 lacs is valid]

Q 1 Mr suresh applied for 4,000 shares in a company i.e. JAR aluminum ltd but no allotment was made to him. Subsequently 4,000 shares were transferred to him without his request and his name was entered in the register of members. He knew it but took no steps for rectification of the register of members. The  company went into  liquidation and he was held liable  as a contributory, explain [ hint : liable for contribution ]

APPLICATION OF COMPANY LAW TO DIFFERENT SECTORS

Q 1 Section 129 (1) states that the financial statements shall give a true and fair view of the state of affairs of the company or companies, comply with the accounting standards notified under section 133 but ICICI bank denies to follow that such provisions shall not apply on it. explain ? [ hint: view of icici bank is correct ]

DEBT CAPITAL

Q 1 SAHARA investment limited issued a debenture on private placement basis amount if Rs 100 crore on  which 5% issued to the promoter i.e. subrata roy sahara with a specific rights of voting in general meeting, one of the shareholder objected that such type of issue against the law, company contended that objection is valid if such type of issue made to outsider, explain the validity of objection [ hint : no company shall issue any debentures carrying any voting rights ]

Q 2 Alok, the Managing Director of Yellow Ltd., borrowed a large sum of money and misappropriated the same. Later, when the lender demanded his money, the company refused to repay, contending that the money borrowed by Managing Director was misappropriated by him and the company is not liable for repayment. Decide, giving reasons, whether the lender would succeed in recovering the money from the company

Q 3 Board of directors of Joy Ltd., by a resolution passed at its meeting, decide to provide a loan of 50 crore to Happy Ltd. The paid-up share capital of Joy Ltd. on the date of resolution was 100 crore and the aggregate balance in the free reserves and securities premium account stood at 40 crore. Examining the provisions of the Companies Act, 2013, decide whether the Board’s resolution to provide a loan of 50 crore to Happy Ltd. is   valid [hint: valid ]

Q 4 Board of directors of Prince Ltd. decides to go for the issue of secured debentures of Rs100 each, to the extent of Rs 10 crore. Further, as the company is going for the issue of secured debentures, it is required to create a debenture redemption reserve. The Board seeks your advice on the conditions to be fulfilled and compliance of the provisions of the Companies Act, 2013. Advise the Board

Q 5 Manohar Motors Ltd. has a paid-up share capital of Rs 10 crore and free reserves of Rs 5 crore. The Board of directors want to borrow a sum of Rs 20 crore for its long-term capital requirements from the market.

Discuss whether they can do so and if yes, what are the requirements under the Companies Act, 2013 which they have to comply with

Q 6 Board of directors of sultan Ltd., by a resolution passed at its meeting, decide to provide a loan of 50 crore to jayshree Ltd. Information in regards of sultan limited are as under for the year ended 31 march 2017

Examining the provisions of the Companies Act, 2013, decide whether the Board’s resolution to provide a loan of 50 crore to jayshree Ltd. is valid [hint: valid]

Q 7 Manohar Motors Ltd. provides Information for the year ended 31 march 2017

company decide to take a loan amount of Rs 90 crore from ICICI BANK. Examining the validity of the provisions of the Companies Act, 2013 [ hint : upto 80 crore BOD pass a resolution, for excess required to pass special resolution ]

Q 8 jaypee industries ltd made a public issue amount of Rs 100 crore and received an application money amount Rs 10 crore as on 1 jan 2016 and company unable to made allotment, due to strike made by the employees of merchant bankers, upto 31 jan and company made an refund 2 april 2016.CFO contended that required to show the amount in the as a deposit. Explain as per provisions of companies act 2013 [ hint : considered as deposits ]

Q 9 pioneer Ltd. has accepted Rs10 lakh as advance towards sale of land . As per the agreement, the company will transfer the possession of land after two years from the date of deposit. Later on, internal auditors qualified their report on the ground that the company has violated the provisions of the Companies Act, 2013. Directors explained that this is required to complete the order. Examining the relevant provisions of the Companies Act, 2013 state whether the explanation given by the directors is justified [ hint: not consider as deposit ]

Q 10 pioneer Ltd. , is an eligible company, has accepted Rs10 lakh as deposit for a term 24 months from member as on 1 april 2016 financial statements provided the following information for the year ended 31 march 2016 as as under

Q11 PQR pvt Ltd. has accepted Rs10 lakh as deposit for a term 24 months from member as on 1 april 2016 financial statements provided the following information for the year ended 31 march 2016 as as under

Examine the validity of amount of deposit took by the company ? [hint: deposit up to 95 lacs is valid]

Q 12 Ajay Ltd. had given a loan of Rs 10 crore to Binoy Ltd. and created a charge on the assets of the company. But Binoy Ltd. failed to register the charge within the stipulated time. Can Ajay Ltd. register the charge with the Registrar of Companies ? If yes, what shall be the procedure ? [ hint: can register it ]

SMALL SHAREHOLDER DIRECTOR

Q 1 Infosys ltd has listed the BSE has total number of registered shareholder are 36 thousands out of which 1244 are such shareholder who acquire the equity shares 1800 each per person nominal value per share Rs10, having market value 120 per share in BSE, ROC objected that company is required to appoint a small shareholder director, explain as per provision of companies act, 2013, there is mandatory to appoint small shareholder director ?

Q 2 Infosys ltd has listed the BSE has total number of registered shareholder are 36 thousands out of which 1244 are such shareholder who acquire the preference shares 1800 each per person nominal value per share Rs10, having market value 120 per share in BSE, ROC objected that company is required to appoint a small shareholder director, explain as per provision of companies act, 2013, there is mandatory to oppoint small shareholder director and company objected mandatory to appoint, when small shareholder, who acquired equity share of the company exceeded 1000. Explain

Q 3 Infosys ltd has listed the BSE has total number of registered shareholder are 36 thousands out of which 1244 are such shareholder who acquire the preference shares 1800 each per person nominal value per share Rs10, having market value 120 per share in BSE, all small shareholder made a notice to company for appointment of Mr A as a small shareholder director, who didn’t purchased any share in the company, whether Mr A can appoint as a small share holder director

APPOINTMENT OF DIRECTOR

Q 4 wipro ltd has no provision in AOA for the appointment of director 5 subscriber become the director of a company but another 2 didn’t want to become a director Mr rohan the company secretary of the company specify that subscribers to the memorandum who are individuals shall be deemed to be the first directors of the company until the directors are duly appointed, it is mandatory that all subscriber shall be consider as director. Clarify contention of Mr rohan is correct as per provision of companies act 2013

Q 5 Mr ram file the application for the allotment of DIN as on 1 july 2016 in meanwhile TCS limited has passed a resolution in the extra ordinary general meeting as on 27 july 2016 for Mr ram appointed as director on the basis of application number generated after filing of application. ROC made an objection for such appointment that on the basis of application number no individual can be appointed as a director as per sec 152(2) appointment of director, whether contention of ROC tenable as per law? Clarify

Q 6 bharat electronics LIMITED which is wholly owned by the central govt in which half director in the BOD are rotational director ROC OBJECTED that minimum 2/3 of total director require to be rotational.Mr B, CS in practice, objected that provision of sec 152(6) shall not apply to government company. Clarify

DISQUALIFICATION OF DIRECTOR

Q 7 bharat electronics LIMITED which is wholly owned by the central govt in the company when Mr ram has a director financial statements or annual returns for any continuous period of three financial years i.e. 12-13, 13-14 and 14-15 Mr ram are going to be appointed as director in reliance industries limited for it resolution has been passed in 30 sep 2015.ROC objected that appointment against the provisions of sec 164(2)? Clarify

Q 8 reliance industries ltd, in the company when Mr ram has a director financial statements or annual returns for any continuous period of three financial years i.e. 12-13, 13-14 and 14-15 Mr ram are going to be appointed as director in IRCTC limited for it resolution has been passed in 30 sep 2015.ROC objected that appointment against the provisions of sec 164(2)? Clarify

Q 9 Reliance Clothing India Private Limited is a subsidiary of reliance industries limited has made an additional ground of disqualification of director that director should be post graduate, small shareholder are going to appoint a representative, i.e. Mr harish , of small shareholder in BOD but who is only a graduate, whether he can be appointed as director ? clarify as per provisions of companies act 2013

SECRETARIAL AUDIT

Q 10 ABC LTD listed in the BSE having the equity paid capital Rs 30 crore and preference paid up capital Rs25 crore.it has not annexed the secretarial audit report with board report because of non conduct of such audit. ROC objected that mandatory to conduct and file the secretarial audit. Explain as per provision of companies act 2013

AUDIT COMMITTEE

Q 11 ABC LTD having the equity paid capital Rs 6 crore and preference paid up capital Rs 3 crore as on 31 march 2016 audited financial statement and first quarter for the FY 16-17 ended 30 june 2016 unaudited financial statement provides that equity paid capital Rs 6 crore and preference paid up capital Rs 4 crore (incl 1 cr through private placement basis).whether BOD of the company are mandatory to constitute the audit committee. Explain with reasons

CONTRIBUTION TO POLITICAL PARTY

Q 12 reliance jio telecommunication ltd contributed to own formed the People’s Electoral Trust and claim deduction 1 crore in FY 16-17 on the basis of information of last preceding financial year profit are as under 13-14 Rs 10 crore, 14-15 Rs 20 cr and 15-16 Rs 20 cr. ROC objected on the basis of information that company can’t claim deduction for own formed electoral trust, explain as per provision of companies act 2013

RELATED PARTY TRANSACTION

Q 13 Infosys (india) LTD having made a sale to Infosys china, NR narayanmurti, who is the promoter of Infosys india,has acquired the equity share 2%, amount of Rs 31 crore in the financial year 16-17 without confirmation in general meeting and turnover of the Infosys (india) ltd for the FY 16-17 300 CRORE. Whether it is covered under related party transaction u/s 188? Explain

Q 14 rohit murty, son of NR narayanmurti, who is the promoter of Infosys india,appointed as chief financial officer in the financial year 16-17 for a salary amount of Rs 2.6 lacs month, whether rohit murty can be appointed as CFO with such remuneration, explain as per provision of companies act 2013

Q 1 Due to inadequacy of profits, the Board of directors of Rise Ltd. decided not to recommend any dividend for the financial year ended 31stMarch, 2015.Certain shareholders of the company complained to the Company Law Board/Tribunal regarding mismanagement of the affairs of the company, since the Board of the company did not recommend any dividend. Explaining the provisions of the Companies Act, 2013,examine whether the contention of the shareholders is tenable. [ hint : not consider mismanagement ]

Q 2 BOD OF reliance industries ltd has passed a resolution to declare an interim dividend during the financial year 16-17 as on 30 sep 2016 @ 120% of the face value of the share i.e. Rs 10 but before payment of dividend BOD rescind the such resolution i.e. 16 oct 2016, on it shareholders made an objection that after passing a resolution of dividend it is a debt against the company, company can’t rescind after that. Explain [ hint : VAZIR SULTAN TOBACCO CO. LTD vs CIT 1981, not a debt to the company ]

Q 3 RR METALS limited has no profits in the financial year for the year ended 31march 2017, for declaring a dividend company made a public issue amount of Rs 1 crore out of which 70 lacs has been utilised for the payment of dividend for such financial year, statutory auditor made an objection it is not tenable in law, clarify as per provisions of companies act 2013 [ hint: it is not tenable in law as per sec 123(1) ]

Q 4 RR METALS limited has no profits in the financial year for the year ended 31march 2017, for declaring a dividend company intended to utilize the amount of general reserve, information are as under

Company declared the dividend for the FY 2015-16- 50%, 14-15 70% & 13-14 90%. Advise the company maximum amount can be utilised for payment of dividend to equity shareholder as per provisions of companies act, 2013[ hint : Rs 140 lacs ]

Q 5 In Evergreen Ltd., the Board of directors declared an interim dividend but could not distribute the dividend due to objections of audit committee that the accounts considered by the Board were false; and true financial results were inflated by not incorporating outstanding liabilities and over-valuation of inventories. A shareholder filed a suit for non-payment of dividend. One of the directors contended that he never attended the Board meeting where the issue relating to payment of interim dividend was declared on the basis of false accounts. Discuss about the validity of contention of the director [ hint : VAZIR SULTAN TOBACCO CO. LTD vs CIT 1981, not a debt to the company ]

GENERAL MEETING

Q 1 Infosys ltd has not hold its AGM for the financial year ended 31 march 2017, one of the member of the company who holds 15% voting power in the company has filled the petition in front of company law tribunal in regards of holding a AGM, RESPONDENT  i.e. Infosys objected that member doesn’t have a power to compel only the ROC has the power. Explain as per provision of companies act 2013 [hint : sec 97 : any member can filled to hold AGM]

Q 2 Infosys ltd has not hold its AGM for the financial year ended 31 march 2017, one of the member of the company who holds 1% voting power in the company has filled the petition in front of company law tribunal in regards of holding a AGM, RESPONDENT i.e. Infosys objected that member holding below 10% voting power can’t enforce. Explain as per provision of companies act 2013 [hint : sec 97 : any member can filled to hold AGM]

Q 3 Infosys ltd has not hold its AGM for the financial year ended 31 march 2017, one of the creditor of the company has filled the petition in front of company law tribunal in regards of holding a AGM, RESPONDENT i.e. Infosys objected that creditor can’t Explain as per provision of companies act 2013 [hint : sec 97 : any member can filled to hold AGM]

Q 4   AOA  of Infosys ltd specify that power to call AGM are on the BOD of the company and member holds 10% or more voting power in the company, one of the member filled petition to tribunal for call AGM and tribunal pass order, company challenge that only authorized person who specified in the AOA can only call AGM, YOU are the legal advisor advise on such matter. [hint : sec 97 : notwithstanding anything contained in this Act or the articles of the company, any member can filled to hold AGM]

Q 5 Infosys ltd has not hold its AGM for the financial year ended 31 march 2017, one of the member of the company who holds 1% voting power in the company has filled the petition in front of company law tribunal in regards of holding a AGM, RESPONDENT i.e. Infosys hold AGM as per direction of tribunal, ROC objected that meeting for the financial year 16-17 has not been held by the company. Explain as per provision of companies act 2013 [hint : sec 97(3): Agm As Per direction of the tribunal deemed to be an annual general meeting of the company]

Q 6 Bright Products Ltd. wishes to sell one of its undertakings for which it decides to call an extra-ordinary general meeting (EGM) and to pass a resolution thereat. State the material facts to be set out in the explanatory statement to be annexed to the notice of the EGM on this special business to be transacted at the meeting. [hint : matter to be stated in explanatory statement in case of selling of undertaking]

Q 7 Pioneer Fisheries Ltd. has borrowed an amount of Rs 50 crore from a financial institution. The annual general meeting of the company was held on 1st September, 2015.Examining the provisions of the Companies Act, 2013, state as to who will sign and certify the annual return while filing the same with the Registrar of Companies after the annual general meeting. [hint : signed by a director and the company secretary, or where there is no company secretary, by a company secretary in practice ]

Q 8 Pioneer Fisheries pvt. Ltd. has turnover for the financial year ended 15-16 Rs 1.2 cr. The annual general meeting of the company was held on 1st September, 2016.Examining the provisions of the Companies Act, 2013, state as to who will sign and certify the annual return while filing the same with the Registrar of Companies after the annual general meeting [hint: incase of small company, shall be signed by the company secretary, or where there is no company secretary, by the director of the company]

Inspection and investigation

Q 1 Sudarsan Trading Co. Ltd. is a company mainly transacting non-banking financial business, the Joint Director, Inspection issue notice of examination of books of accounts of the company and the mail which has interchanged between the director group of the company, because it is relevant, company objected on examination of letter, explain as per provisions of companies act 2013 [hint : C.V. Karuppunni And Ors. vs Joint Director, contention of company is correct]

Q 2 Sudarsan Trading Co. Ltd. is a company mainly transacting non-banking financial business, the Joint Director, Inspection issue notice that “you are hereby required personally to attend at the office of the Regional Director 14th may 2016 at 11 am to produce either personally or through an authorized representative the books of account or other documents specified overleaf and not to depart until you receive my permission to do so”, company object that it is not open for department to call books of accounts in his office, explain ? [hint: it is within power of department to call records in his office]

Q 3 Search and seizure conducted by the inspecting officer in pioneer company limited with the permission of central govt but for seizure conducted without the permission of special court, such company made an objection that serach conducted by the inspecting officer is against the law, explain as per provisions of companies act 2013 [ hint : seizure may be conducted after obtaining an order from the Special Court ]

Q 4 Inspecting officer i.e. Mr ravinder seize the books of accounts after conducting the search as on 1 july 2016 in the amtee properties limited and such books of accounts had not been returned by Mr ravinder upto 31 dec 2016, company made an objected that it is holding more than authorized period as specified by the law, whether contention of company is correct [ hint: sec 209(2): inspector shall return the books and papers seized in any case not later than 180 days after such seizure]

Q 5 144 members holding 9% paid up share capital of the ABC limited has apply to the tribunal of investigate the affairs of the company, company object that minimum holder of 10% paid up share capital shall required to apply for investigate the affairs of the company, explain whether the contention [ hint: sec 213: member can apply to tribunal ]

Q 6 Investigating officer i.e. Mr ravinder appoints to examine the affairs of the ABC limited, wants to examine the papers related to group of suppliers, which are in under possession of Mr sohan Sharma, who is the former employee of the company, whether Mr ravinder succeed to examine the documents explain? [ hint : sec 217 : can examine the documents ]

Q 7 During the pendency of the investigating process the company pass the special resolution to winding up the company, for which company deny to provide the some documents because of process of winding up has been initiated, whether investigating officer can examine the documents after commencement of winding up process?

MEMBERSHIP IN A COMPANY

Q 1 Mr. sohan is the one of the subscriber of the MOA, of the interior investment ltd, out of the 7 subscriber but his name is not mentioned in the register of member of the company at the time of declaring the dividend company had not declared the dividend after arguing that Mr is not the registered shareholder of the company, explain as per provisions of the companies act 2013 [ hint: subscriber is the member, mandatory to distribute the dividend ]

Q 2 Mrs  sujata holds 52% equity  share capital in the DEF ltd, which is registered under ROC  Mumbai, remaining shareholding acquire by the 48 shareholders, every member holds 1% share in the company and 20 member resides delhi and decides to registers of member required to be maintained in delhi Mrs sujata object that it is against the law to maintain the register other than place of registered office, explain [ hint: after passing a special resolution can maintain any other place in india, where more than 1/10 member resides, proviso of sec 94(1) ]

Q 3 icici bank lend a loan to NTPC ltd amount of Rs 150 crore, after making a public issue share certificate has been allotted by the company and for which representatives of icici bank went to such company for examination of register of member nut the company made objection only security holder has as right to inspect, whether contention of company is as per law, clarify as per provisions of companies act 2013[ hint: any other person can inspect the register on payment of the requisite fee ]

Q 4 Satish, outsider, who is not a member of dayal Ltd., wants to inspect the register of deposits maintained by the company as required under the provisions of the Companies Act, 2013. The company refused to provide the register for inspection without assigning any reason. Referring to the provisions of the Act, examine the validity of the company’s refusal [ hint : any other person can inspect the register on payment of the requisite fee ]

Q 5 Mr suresh applied for 4,000 shares in a company i.e. JAR aluminum ltd but no allotment was made to him. Subsequently 4,000 shares were transferred to him without his request and his name was entered in the register of members. He knew it but took no steps for rectification of the register of members. The company went into liquidation and he was held liable as a contributory, explain [ hint : liable for contribution ]

Q 6 Satish, legal heirs, son of deceased member i.e. Mr sagar of dayal Ltd. wants to inspect the register of deposits maintained by the company as required under the provisions of the Companies Act, 2013. The company refused to provide the register for inspection without assigning any reason. Referring to the provisions of the Act, examine the validity of the company’s refusal [ hint: shares transmitted to satish, he become member, he can inspect the register ]

Q 1 Reliance industries limited has listed in Bombay stock exchange and its subsidiary Reliance Jio Infocomm Limited which has a paid share capital 4 crore as on the 31 march 2017 for the financial year 16-17, explain as per provision of companies act 2013 whether for Reliance Jio Infocomm Limited is a mandatory to file financial statements in XBRL taxonomy [ hint : yes ]

Q 2 Reliance industries limited has listed in Bombay stock exchange and its associate Reliance Industrial Infrastructure Limited which has a paid share capital 4 crore as on the 31 march 2017 for the financial year 16-17, explain as per provision of companies act 2013 whether for Reliance Industrial Infrastructure Limited is a mandatory to file financial statements in XBRL taxonomy [ hint: no ]

Q 3 In relation to filing of financial statements of a company in XBRL mode and by usingthe XBRL taxonomy, decide whether the following companies are required to file the financial  statements in the said mode :

(i) Grand , the subsidiary company of Tiny Ltd. which is listed at Kolkata Stock Exchange. [ hint : yes ]

(ii) Prime, a company which has paid-up share capital of Rs 100 crore. [ hint : yes ]

(iii) Crafty , a company which has a turnover of Rs 400 crore. [ hint : yes ]

(iv) Comfort , a non-banking financial company [ hint: no ]

For Any Query/ Solutions Contact : CA Amit Aggarwal Ashwini Commerce Paradise U-87, Ground Floor, Near Laxmi Nagar Metro Gate 3, Shakarpur, Delhi 92 9643547868, 9210617186

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Name: CA AMIT AGGARWAL

Qualification: ca in practice, company: ashwini commerce paradise limited, location: new delhi, in, member since: 27 apr 2017 | total posts: 2, my published posts, join taxguru’s network for latest updates on income tax, gst, company law, corporate laws and other related subjects..

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14 Comments

Help me with the Debt capital question no.1(SAHARA)

Mr suresh applied for 4,000 shares in a company i.e. JAR aluminum ltd but no allotment was made to him. Subsequently 4,000 shares were transferred to him without his request and his name was entered in the register of members. He knew it but took no steps for rectification of the register of members. The company went into liquidation and he was held liable as a contributory, explain

I need all answers

Q 3 Good Homes Ltd. was registered as a public company with 205 members as follows : No. of members Directors and their relatives 45 Employees 12 Ex-employees 08 (shares were allotted when they were employees) Others 140 Total number of members 205 Board of directors of the company takes a decision to convert the company into a private company. Being a legal advisor, the Board of directors seeks your advice about the steps to be taken for conversion of the company into a private company including reduction in the number of members, if necessary, as per the Companies Act, 2013. Advise the Board.[hint : no reduction required] i want this answer..

Read more at: https://taxguru.in/chartered-accountant/company-law-case-studies-cacscma-examinations.html Copyright © Taxguru.in

financial statement of ITC LTD specified that net worth of the company for the FY ended 31 march 2016 600 crore, company wants to spend in the financial year 16-17 in Corporate Social Responsibility Policy, information in regards of profits of all preceding 3 financial years are as under :- 15-16Rs 100 crore14-15Rs 160 crore13-14Rs 120 crore BOD didn’t specified in board report about the amount and details of expenditure in CSR policy explain as per provisions of companies act, 2013 [hint : Rs 2.5 crore and required to disclose otherwise liable to impose penalty ]

Please share the answers.

Kindly provide solutions for all the case studies

wipro ltd has no provision in AOA for the appointment of director 5 subscriber become the director of a company but another 2 didn’t want to become a director Mr rohan the company secretary of the company specify that subscribers to the memorandum who are individuals shall be deemed to be the first directors of the company until the directors are duly appointed, it is mandatory that all subscriber shall be consider as director. Clarify contention of Mr rohan is correct as per provision of companies act 2013 I want solution of this.

I need solutions.

I want this answer asap

I need solution also

I want solution of this case study

here is only questions i need the answer also.

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Company Law Mains Question Answer Series 1: Important Questions for Judiciary Exams | Part – I

Legal bites presents the company law important question-answer series. the questions listed here will help students study for various competitive and university exams..

Legal Bites presents the Company Law Important Question-Answer Series. The questions listed here will help students study for various Competitive and University Exams. Candidates can use Legal Bites' list of questions to help them determine the most important and often asked questions and practice their aptitude and knowledge.

Answering questions is a continuous process that is an inevitable component of any test preparation, as we all know. A well-written response displays not just a candidate's knowledge but also his or her ability to tailor the content to the question's requirements.

It is vital to prepare for this exam to pass it thoroughly. To attain mastery over the subjects studied, applicants only need to keep practising these questions in the months coming up to the examinations. Following it, the candidate's confidence level, as well as their scores, will vastly improve.

Define 'Memorandum of Association' of company. Discuss different clauses (contents) of the Memorandum of Association. Make a distinction between a Memorandum of Association and Article of Association. [BJS 2021]

Who do you understand by the 'doctrine of indoor management'? Explain the exceptions of this doctrine. [BJS 2021]

Who can appoint a Director in the company? Explain the Conditions precedent to such an appointment. Discuss the duties of directors. [BJS 2021]

What do you understand by Winding Up of a Company? Write a detailed note on the Voluntary Winding up of a Company. [BJS 2017]

Define 'Prospectus' and explain in brief its contents. What is the difference between 'prospectus' and 'statements in lieu of prospects'? [BJS 2017]

What do you mean by Mis-statement in Prospectus? Discuss the liability for misstatements in the prospectus. [BJS 2011]

'A director stands in a fiduciary relationship with his company.' Discuss. [BJS 1980]

C, the promoter of a Company, entered into a contract with D to buy a plot of land for the company. After incorporation, the company refused to buy the land. Advice D about his rights against C and the Company. [BJS 1984]

What is a charge? State its kinds, registration and penalty for default.

Question 10

Differentiate between Share Warrant and Share Certificate.

Company Law – Notes, Case Laws, And Study Material Test Series for Competitions

Admin Legal Bites

Legal Bites Study Materials correspond to what is taught in law schools and what is tested in competitive exams. It pledges to offer a competitive advantage, prepare for tests, and save a lot of money.

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Top 40 Company Law Interview Questions and Answers (2024)

Are you gearing up for a challenging and rewarding career in company law? Acing your next interview is crucial, and preparing for the right questions can make all the difference. But with so much information out there, it can be hard to find the most relevant and up-to-date insights.

This blog post presents a curated selection of 40 essential company law interview questions for 2024, along with elaborative and insightful answers. We’ve gone beyond the typical questions to focus on advanced scenarios, real-time challenges, and emerging trends, preparing you for the level of depth and complexity you might encounter in your interview.

Whether you’re a seasoned professional or a motivated newcomer, this resource will equip you with the knowledge and confidence to showcase your expertise and impress potential employers. So, dust off your legal acumen, sharpen your communication skills, and get ready to dominate your next company law interview!

Introduction to Company Law

Company law, also known as corporate law, forms the backbone of the legal framework governing businesses. It’s a dynamic and multifaceted field that plays a crucial role in ensuring companies’ smooth operation, ethical conduct, and accountability. Let’s embark on a journey to understand its significance and explore the exciting career opportunities it offers.

Significance of Company Law:

• Protecting Stakeholders: Company law safeguards the interests of various stakeholders, including shareholders, creditors, employees, and the public. It establishes clear rules on capital structure, governance, financial reporting, and mergers & acquisitions, ensuring transparency and fairness.
• Promoting Economic Growth: By providing a stable and predictable legal environment, company law fosters business confidence and encourages investment, contributing significantly to economic growth and stability.
• Regulating Business Conduct: This area of law sets ethical standards for companies, deterring harmful practices like insider trading and market manipulation. It ensures responsible corporate behavior and protects the integrity of the marketplace.

Job Roles and Responsibilities:

The diverse landscape of company law offers a spectrum of career paths:

• Corporate Lawyer: Advising companies on matters like mergers & acquisitions, financing, compliance, and litigation.
• In-house counsel: Representing a specific company, providing legal advice on strategic business decisions and day-to-day operations.
• Investment Banker: Structured and executed deals, ensuring adherence to legal regulations and mitigating risks.
• Compliance Officer: Implementing and overseeing corporate governance policies, ensuring compliance with laws and regulations.
• Securities Lawyer: Handling matters related to public offerings, securities regulations, and investor protection.

Companies that Hire:

Company law professionals are sought after by various organizations:

• Law firms: Specializing in corporate law or representing diverse industries.
• Multinational corporations: Requiring legal expertise for global operations and complex transactions.
• Investment banks and financial institutions: Navigating intricate financial deals and complying with regulatory requirements.
• Government agencies: Drafting and enforcing laws, and ensuring fair market practices.
• Non-profit organizations: Addressing legal issues related to corporate governance and social responsibility.

Let’s now look at the key topics to focus in the next section.

Key Topics to Focus

Understanding the various facets of company law is crucial for a successful interview. Here’s a breakdown of key topics you should focus on –

• Short title, extent, commencement and application: Grasp the scope and applicability of the Companies Act, 2013.
• Definitions: Master essential terms like “company,” “director,” “share capital,” and “debenture.”
• Formation of company: Understand the processes involved in incorporating a company, including choosing a name, drafting MOA and AOA, and obtaining registration.
• Alteration of memorandum and articles: Know the procedures and restrictions for changing these fundamental documents.
• Service of documents: Be familiar with the proper methods for serving legal documents on a company.

Prospectus and Allotment of Securities:

• Public offer and private placement: Differentiate between these methods of issuing securities and understand their regulations.
• Issue of application forms for securities: Know the requirements and procedures for issuing application forms.
• Civil liability for misstatements in prospectus: Be aware of the potential consequences of providing inaccurate information in a prospectus.
• Allotment of securities by company: Understand the process of allocating securities to investors based on their applications.

Share Capital and Debentures:

• Kinds of share capital: Know the different types of shares (e.g., equity, preference) and their rights.
• Transfer and transmission of securities: Understand the legal processes involved in transferring ownership of shares or debentures.
• Power of company to purchase its own securities: Be aware of the rules and restrictions surrounding buybacks.
• Debentures: Understand the nature and characteristics of debentures, a form of corporate debt.

Management and Administration:

• Register of members: Know the importance of maintaining an accurate record of shareholders.
• Annual general meeting: Understand the requirements and procedures for conducting AGMs.
• Voting rights: Be familiar with the different types of voting rights attached to various shares.
• Declaration and Payment of Dividend: Understand the process of declaring and distributing dividends to shareholders.

Accounts of Companies:

• Books of account: Know the types of financial records companies are required to maintain.
• Financial statement: Understand the components and preparation of financial statements.
• Internal Audit: Be aware of the role and importance of internal audit in ensuring financial compliance.

Appointment and Qualifications of Directors:

• Duties of directors: Understand the fiduciary duties and responsibilities of directors towards the company and its stakeholders.
• Meetings of Board: Know the requirements and procedures for conducting board meetings.
• Restrictions on powers of Board: Be aware of any limitations on the board’s authority.
• Related party transactions: Understand the regulations and disclosures required for transactions between a company and its related parties.

Investigation, Inquiry and Inspection:

• Power to call for information: Know the authorities vested with the power to investigate company affairs.
• Investigation into affairs of company: Understand the grounds and procedures for conducting such investigations.
• Protection of employees during investigation: Be aware of the safeguards for employees during investigative processes.

Compromises, Arrangements and Amalgamations:

• Merger and amalgamation of companies: Understand the different types of mergers and the legal framework governing them.
• Power to acquire shares of shareholders dissenting from scheme: Know the procedures for dealing with dissenting shareholders in merger/amalgamation plans.

Prevention of Oppression and Mismanagement:

• Application to Tribunal for relief: Understand the avenues available to aggrieved shareholders seeking relief from oppression or mismanagement.

Voluntary winding up of company:

• Circumstances in which company may be wound up voluntarily: Know the different scenarios that can trigger voluntary winding up.
• Meetings of creditors: Understand the role and importance of creditor meetings in the winding-up process.

Remember, this is just a starting point. It’s crucial to delve deeper into each topic, understand the underlying legal principles, and stay updated with any recent amendments to the Companies Act. Let’s now move on to interview questions.

Basics Company Law Interview Questions

1. Tell me about yourself, beyond just your academic achievements. Describe a challenge you overcame outside of academics and what you learned from it.

Don’t just recount your GPA or extracurricular activities. Share a personal story where you faced difficulty, like overcoming stage fright during a presentation, resolving a conflict within a team project, or learning a new skill despite initial setbacks. Highlight the skills you used (e.g., communication, leadership, problem-solving) and the key takeaways (e.g., increased resilience, adaptability, empathy).

2. Why are you particularly interested in this company and this specific role? Don’t just say “growth opportunities.” Be specific.

Go beyond generic statements. Research the company’s mission, values, recent projects, and industry impact. Connect your personal values and aspirations to the company’s culture and the role’s specific responsibilities. Show genuine enthusiasm and understanding of why this specific role aligns with your long-term career goals.

3. Imagine you’re tasked with launching a social media campaign to attract new users to a product you’re unfamiliar with. How would you approach it?

Don’t just say you’d “learn about the product and target audience.” Showcase your strategic thinking, research skills, and creative problem-solving. Talk about researching similar campaigns, identifying key demographics, crafting engaging content, and utilizing relevant data analysis to measure success.

4. Describe a situation where you had to persuade someone with a different viewpoint. What communication strategies did you use, and what was the outcome?

This goes beyond “teamwork.” Focus on a specific instance where you actively convinced someone to see your perspective. Describe how you listened attentively, identified common ground, presented your arguments logically and respectfully, and ultimately achieved a positive outcome.

5. You stumble upon an error in a project you’re working on. How do you handle the situation?

Don’t just say you’d “fix it and apologize.” Emphasize your honesty, proactiveness, and problem-solving skills. Explain how you’d immediately inform the relevant parties, analyze the root cause, propose solutions, and take steps to prevent similar errors in the future.

6. During a group project, a team member isn’t pulling their weight. How do you address the situation?

Don’t just say you’d “complain to the leader.” Showcase your conflict resolution skills and ability to work effectively in teams. Describe how you’d communicate directly with the member, offer support or suggest alternative tasks, and ultimately escalate the issue constructively and professionally if necessary.

7. Briefly explain the concept of “artificial intelligence” to someone with no prior knowledge. Use simple terms and everyday examples.

This assesses your communication clarity and ability to explain complex concepts in a way that’s easily understandable. Avoid technical jargon and focus on relatable analogies or real-world applications of AI, like voice assistants or chatbots.

8. You’re given a task with limited resources and a tight deadline. Describe your approach to prioritizing tasks and managing your time effectively.

Don’t just say you’d “work hard.” Talk about your time management strategies, like breaking down tasks, creating a schedule, utilizing tools effectively, and communicating clearly with stakeholders. Illustrate your prioritization skills by explaining how you’d weigh urgency, importance, and potential impact when allocating your time.

9. What are your proudest personal achievements, and how do they translate into skills relevant for this role?

Don’t just list awards or accolades. Choose achievements that showcase specific skills the interviewer is looking for. For example, winning a debate competition demonstrates communication and persuasion skills, while organizing a community event highlights leadership and organizational abilities.

10. Your salary expectations are higher than the advertised range. Justify your reasoning.

Research average salaries for the role and location. Highlight your unique skills and qualifications that add value to the company. Be prepared to negotiate but remain respectful and professional. Focus on the value you bring and your career aspirations, not just financial needs.

11. Do you have any questions for me about the company culture, team structure, or career development opportunities?

Asking insightful questions demonstrates genuine interest and initiative. Go beyond generic inquiries and research the company beforehand. Ask about specific aspects of the culture, team dynamics, learning and development programs, or career progression opportunities that would help you thrive in the role.

12. In addition to the required skills, what other qualities do you think are crucial for success in this role?

Go beyond just listing the qualities mentioned in the job description. Show you’ve thought critically about the specific demands of the role and the company culture. Consider qualities like adaptability, resilience, initiative, a growth mindset, or cultural fit. Briefly explain why these qualities are important and how you possess them.

13. If you weren’t interviewing for this position, what other types of roles would you be interested in?

Don’t say you’ll take any job you can get. This question helps the interviewer understand your broader career aspirations and potential fit within the company. Mention roles that share similar skills or interests, even if they’re in different departments. Briefly explain why these roles appeal to you and how your skills align with them.

14. Describe a situation where you had to deal with ambiguity or uncertainty. How did you navigate it?

Highlight your problem-solving skills, ability to handle pressure, and resourcefulness. Share a specific instance where you encountered unexpected challenges, incomplete information, or unclear instructions. Explain how you gathered information, analyzed options, made decisions, and ultimately adapted to the situation.

15. What are your biggest weaknesses? How are you working to improve them?

Don’t just say you’re a perfectionist (it’s a cliche!). Choose a genuine weakness that doesn’t directly contradict the required skills. Focus on self-awareness and a growth mindset. Explain how you’ve identified the weakness, taken steps to improve (e.g., seeking feedback, attending workshops), and measured your progress.

Company Law Interview Questions – Advanced

1. Describe a complex cross-border transaction you advised on, highlighting the legal challenges you faced and the innovative solutions you implemented.

Don’t just state the transaction type. Discuss specific challenges like conflicting regulations, cultural nuances, or due diligence complexities. Explain how you leveraged your network, conducted in-depth research, and proposed creative solutions like escrow agreements or alternative dispute resolution mechanisms. Quantify the impact of your solutions and emphasize the successful outcome.

2. A class action lawsuit alleges securities fraud against your client. How would you approach this situation from a legal and strategic perspective?

Go beyond standard litigation steps. Discuss immediate actions like document preservation and internal investigations. Analyze the merits of the lawsuit, potential defenses, and settlement options. Highlight your communication strategies with stakeholders and ability to balance legal defense with protecting the client’s reputation.

3. Explain a situation where you identified a material risk in a proposed M&A deal and advised your client accordingly. How did this impact the deal dynamics and what was the outcome?

Showcase your risk assessment skills. Describe the identified risk (e.g., intellectual property infringement, environmental liabilities) and how you presented it to the client, considering both legal and commercial implications. Discuss the impact on deal negotiations, potential adjustments made, and the final outcome (deal completion, termination, revised terms).

4. How do you stay up-to-date with the ever-evolving regulatory landscape and advise clients on compliance strategies?

Don’t just say you read legal journals. Showcase your proactive approach. Mention specific resources you utilize (e.g., industry publications, regulatory agency updates, legal conferences) and how you translate this knowledge into actionable advice for clients. Discuss your experience in developing and implementing compliance programs tailored to specific industries and regulations.

5. Your client, a public company, faces potential accounting irregularities. How would you guide them through this situation, considering legal, financial, and reputational ramifications?

This requires multi-faceted expertise. Discuss immediate steps like internal investigations, external auditor involvement, and communication with relevant authorities. Emphasize your ability to manage crisis situations, advise on disclosure obligations, and collaborate with other professionals (e.g., forensic accountants, crisis communication specialists) to protect the client’s interests.

6. Imagine you’re advising a start-up on innovative legal structures for their business model. Explain your approach to navigating uncharted territory while ensuring legal compliance and minimizing risk.

Showcase your adaptability and understanding of emerging technologies. Discuss your research on similar models, analysis of relevant legal precedents, and potential regulatory hurdles. Explain how you would collaborate with the start-up team to develop creative solutions that balance innovation with legal certainty and risk mitigation strategies.

7. Describe a challenging negotiation you’ve participated in on behalf of your client. What strategies did you use to achieve a favorable outcome for them?

Go beyond basic negotiation tactics. Discuss the specific context (e.g., M&A negotiations, contract disputes), your preparation strategies, and the negotiation techniques you employed (e.g., BATNA analysis, active listening, building rapport). Highlight your ability to identify the other party’s interests, create win-win solutions, and achieve your client’s objectives.

8. How do you build and maintain strong relationships with your clients based on trust and value creation?

Don’t just say you’re “client-focused.” Provide concrete examples. Explain how you go beyond legal advice to understand your clients’ businesses, anticipate their needs, and offer proactive solutions. Discuss your communication style, responsiveness, and commitment to exceeding expectations, ultimately building long-term partnerships.

9. Describe a time you disagreed with a senior partner or client’s approach to a legal issue. How did you voice your concerns while maintaining respect and professionalism?

Showcase your ability to navigate difficult conversations. Explain the situation, the differing perspectives, and how you presented your analysis and reasoning respectfully. Highlight your focus on the best outcome for the client while maintaining open communication and building trust with senior colleagues.

10. How do you stay current with developments in legal technology and its potential impact on your practice?

Don’t just say you use legal research databases. Discuss specific technologies you’re exploring (e.g., AI-powered contract review, eDiscovery tools) and how they impact your efficiency and service delivery. Highlight your willingness to embrace new technologies and adapt your practice to stay ahead of the curve.

11. A shareholder activist group is targeting your client, alleging corporate governance failures. How would you advise the client on managing this situation and mitigating reputational damage?

Showcase your crisis management and communication skills. Discuss analyzing the activist group’s claims, assessing potential legal actions, and developing a comprehensive response strategy. Highlight your ability to engage with stakeholders transparently, address concerns proactively, and protect the client’s reputation through effective communication and potential legal measures.

12. Explain your experience in advising clients on environmental, social, and governance (ESG) issues, which are increasingly gaining importance for companies.

Demonstrate your understanding of evolving legal and stakeholder expectations. Discuss your experience in areas like climate change disclosure, sustainable business practices, and human rights due diligence. Mention specific projects where you advised clients on navigating ESG risks and opportunities, aligning with industry best practices, and mitigating potential legal liabilities.

13. How do you handle ethical dilemmas or potential conflicts of interest that may arise in your practice?

Emphasize your commitment to ethical conduct. Describe a situation where you encountered a potential conflict, how you identified it, and the steps you took to address it transparently and ethically. Discuss your familiarity with professional codes of conduct and your unwavering commitment to upholding ethical standards even in challenging situations.

14. Describe a time you had to manage a large and complex legal team working on a high-stakes case. How did you ensure effective collaboration, communication, and efficient project management?

Showcase your leadership and teamwork skills. Explain how you delegated tasks effectively, fostered collaboration among diverse team members, and maintained clear communication channels. Discuss your use of project management tools and strategies to ensure deadlines were met, quality standards were maintained, and the team functioned cohesively towards a successful outcome.

15. Beyond technical legal expertise, what soft skills do you consider crucial for success in company law, and how do you demonstrate them in your work?

Go beyond generic soft skills. Highlight specific skills like critical thinking, problem-solving, commercial awareness, and emotional intelligence. Provide examples of how you use these skills in your practice, such as tailoring legal advice to clients’ business needs, navigating complex negotiations, or managing challenging client relationships effectively.

16. Share your experience in pro bono legal work or other activities that demonstrate your commitment to social responsibility and giving back to the community.

Showcase your values and commitment beyond legal expertise. Describe specific pro bono projects you’ve undertaken, the impact you made, and the skills you developed through these experiences. This demonstrates your social responsibility and engagement with the broader community, potentially enhancing your appeal to certain employers.

17. How do you measure your success as a company law professional? What metrics or achievements do you consider most important?

Go beyond billable hours or case wins. Focus on metrics that demonstrate value creation for clients, such as successful deal closures, risk mitigation strategies implemented, positive legal precedents set, or client satisfaction ratings. This reflects your commitment to exceeding expectations and delivering impactful results for your clients.

18. Imagine you’re tasked with mentoring a junior associate in your firm. How would you approach their development, focusing on both legal skills and professional growth?

Showcase your mentorship skills and commitment to professional development. Describe your approach to guiding a junior associate, including assigning challenging tasks, providing constructive feedback, and offering opportunities for learning and growth. Discuss your focus on developing not just legal expertise but also essential soft skills and professional values for long-term success.

19. The legal industry is undergoing significant changes due to technology advancements. How do you see these changes impacting the future of company law, and how are you preparing yourself to adapt?

Demonstrate your forward-thinking perspective. Discuss your understanding of emerging legal technologies like AI and blockchain, and their potential impact on legal practice areas like due diligence, contract review, and dispute resolution. Highlight your willingness to embrace new technologies, upskill yourself, and adapt your practice to stay relevant in the evolving legal landscape.

20. What are your salary expectations for this role? How do you justify your desired compensation based on your experience and qualifications?

Research average salaries for similar roles and your level of experience. Be confident but realistic in your expectations. Quantify your achievements and value proposition, highlighting how your skills and experience directly benefit the company. Emphasize your commitment to growth and your potential to contribute significantly to their success.

21. Explain your experience in drafting and negotiating complex commercial contracts, highlighting specific provisions you have negotiated successfully that significantly benefited your client.

Provide concrete examples of contracts you’ve worked on, outlining the key terms negotiated and the challenges faced.  Showcase your attention to detail, ability to understand both sides’ needs, and skill in crafting provisions that protect your client’s interests while achieving a win-win outcome.

22. Walk me through a time you identified an opportunity to streamline a legal process within your firm or for a client, resulting in improved efficiency and cost savings.

Highlight your problem-solving and innovation skills. Describe the process you analyzed, the inefficiencies identified, and the solutions you proposed. Quantify the impact of your efforts, including time saved, costs reduced, or improved accuracy.

23. How do you stay informed about legal developments in specific industry sectors relevant to your clients’ businesses?

Go beyond just legal journals. Mention industry publications, conferences, and networking events you attend. If applicable, highlight your involvement in industry associations or working groups. This demonstrates your deep understanding of clients’ industries and ability to provide tailored legal advice.

24. Share your experience in managing challenging client expectations, particularly when desired outcomes may not be achievable due to legal or practical constraints.

Showcase your communication and diplomacy skills. Describe a specific situation where you had to manage client expectations, outlining the challenges, your communication approach, and the steps you took to maintain trust and a positive relationship.

25. Describe your approach to staying informed about developments in legal ethics and professional responsibility, and how you apply these principles in your daily practice.

Demonstrate your commitment to ethical conduct. Mention relevant ethics courses or training you’ve completed, and discuss specific situations where you applied ethical principles to navigate challenging decisions. This highlights your professionalism and integrity, key qualities sought after by employers.

Step by Step Guide: Company Law Study Resources

• Company Law by M P Jain
• Golwalker’s Manual of Company Law and Practice by G T Gadhia
• Company Law by B B Lall
• Vivadha & Singhania’s Guide to Company Law by H P Singhania and T K Vishwanatha
• Company Law by N D Kapoor
• Ministry of Corporate Affairs (MCA): https://www.mca.gov.in/content/mca/global/en/home.html (official government website with latest notifications, acts, forms etc.)
• Securities and Exchange Board of India (SEBI): https://www.sebi.gov.in/ (regulatory body for Indian securities market)
• Stock Exchange Board of India (NSE): https://www.nseindia.com/ (leading stock exchange in India)
• Bombay Stock Exchange (BSE): https://www.bseindia.com/ (another leading stock exchange in India)
• VSkills Company Law Certification: https://www.vskills.in/certification/legal

Online Courses:

• VSkills Company Law Certification Course: https://www.vskills.in/certification/legal (This course covers various aspects of company law and prepares you for the Vskills certification exam.)
• Coursera: https://www.coursera.org/ (various company law courses offered by different universities and institutions)
• Udemy: https://www.udemy.com/ (various company law courses offered by different instructors)
• UpGrad: https://www.upgrad.com/ (offers a specialized online program in company law in collaboration with IIT Kharagpur)

Other Resources:

• Bare Acts: https://lawmin.gov.in/acts-rules (access to official versions of company law acts and regulations)
• Legal Journals: https://www.manupatrafast.com/?t=desktop (legal news and analysis)
• Bar Council of India: https://www.barcouncilofindia.org/ (official website of the Indian Bar Council)
• Institutes of Company Secretaries of India (ICSI): https://www.icsi.edu/ (professional body for company secretaries)

VSkills Certification:

The Vskills Company Law Certification is a government-recognized certification that validates your knowledge and skills in company law. Here are some details about the exam:

• Exam Duration: 60 minutes
• Number of questions: 50
• Passing marks: 50% (25 out of 50)
• Exam Mode: Online
• Eligibility: No specific eligibility criteria

The Vskills website provides detailed syllabus, sample questions, and other resources to help you prepare for the exam.

Expert Corner

These tips can be useful in achieving your goal to be a company lawyer at the earliest –

Preparation Tips:

• Research the company and role: Familiarize yourself with the company’s mission, values, products, and recent news. Understand the specific requirements and responsibilities of the role you’re applying for. This helps you tailor your answers and demonstrate genuine interest.
• Review common interview questions: Prepare answers to frequently asked questions, including behavioral, technical, and situational ones. Practice your responses out loud to ensure clarity and conciseness.
• Anticipate specific questions: Based on the role and company, try to predict specific questions they might ask. Prepare tailored answers showcasing your relevant skills and experience.
• Gather relevant materials: Have your resume, portfolio, references, and any other requested materials readily available and organized.
• Plan your attire: Dress professionally and appropriately for the company culture. First impressions matter!
• Practice mock interviews: Simulate the interview experience with a friend, family member, or career counselor. This helps you refine your answers, manage nerves, and build confidence.

Behavioral Interview Tips:

• Follow the STAR method: Structure your answers using the Situation, Task, Action, Result framework. Clearly describe the situation, the task you were given, the specific actions you took, and the achieved results (quantify whenever possible).
• Focus on achievements and impact: Highlight your accomplishments and how you contributed to success in previous roles. Use strong action verbs and specific examples to showcase your skills and problem-solving abilities.
• Be honest and authentic: Share genuine experiences and avoid fabricating stories. Be transparent about your strengths and weaknesses, and demonstrate your willingness to learn and grow.
• Connect your skills to the role: Relate your experiences and achievements to the specific requirements of the position. Explain how your skills and qualifications align with the company’s needs.
• Ask thoughtful questions: Prepare insightful questions about the company, role, and team. This demonstrates your engagement and genuine interest in the opportunity.
• Show enthusiasm and positive attitude: Project a positive and energetic demeanor throughout the interview. Express your passion for the field and your desire to contribute to the company’s success.

Final Words Remember, your interview performance culminates your preparation, skills, and genuine enthusiasm. By researching the company, practising your answers, and showcasing your strengths authentically, you can leave a lasting impression and confidently navigate the interview process. Good luck, and remember, your potential shines through – own it!

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Company Law Case Study

Case study assignments are a detailed investigation done on specific individuals or organizations using disciplinary knowledge of a particular subject. Marketing, nursing and case study assignments are the most common case study writing tasks encountered by students. For a law student, writing a company Law case study assignment is like the firsthand account of a real legal dispute that needs legal attention. This type of company law case study and answers help law students for legal services later. There are some tips given below to help students with company law case study assignments .

Company Law Case Studies With Solutions?

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Myassignmenthelp.com offers you a library of samples of company   law dissertation   & case studies with answers. These samples are written by experts having their Masters and PhDs degrees in Law from reputed universities. Students who have little or no understanding of company law or company law case study writing can surely rely on these samples to craft impressive write-ups. They can further clear all their queries regarding the subject through these company law case   study help . Since these answers are precisely written, they can help gain a better understanding of the subject and hence score top grades in not just assign tasks but also in exams. So, a bright academic career is just a few clicks away. All that students have to do is, connect with our experts, share their case study requirements, and leave the rest to us.

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Questions Related to Company Law Case Study and Answers

It has been a general consciousness among career counselors that all the legal practice areas are not equally worthwhile. It has been found that some areas of legal practice are vulnerable to economic fluctuations. legislations has been found that intellectual property law, business laws, and environmental laws are the most preferred areas of law students.

Company law case study assignments mainly help to govern the areas such as sales, commercials, transactions, bankruptcies, mortgages, and contracts. It also involves disputes between two legal entities related to such issues. In company law case study assignments , a student of law school is given such situations of a dispute to come up with possible legal situations.  Such legal case studies are exciting and at the same time challenging for most of the law students.

Areas of Company Law Case Study Assignments

There are various areas of company law case study like banking laws, bankruptcy laws, consumer credit laws, contract laws, mortgages, and sale laws.

• Banking laws

Banks are economic institutions that are regulated by legal status. Banking laws have to operate both at the state level and federal levels. It helps to control insurance amounts for deposits, interest rates, and negotiable instruments.

• Bankruptcy laws

This law provides the reduction or elimination of dischargeable debts. It also can provide a timeline for the repayment of some non-dischargeable debts.

• Consumer credit laws

Dispute that occurs between credit card companies and consumers are dealt with under such laws.

• Contract laws

Contract law is the legal agreement between two persons that create certain obligations that are enforceable by law. It is quite common to find out a dispute from a breach of contract.

Mortgage includes the transfer of landed property as the security for loans taken by banks or any other financial organization.

Sale laws help to govern the leasing of goods and transactions for sale. It has been found that most of the disputes are related to the terms of the sale agreement.

Get Some Free Company Law Case Studies Solutions With PDF:

Master of International Business (MIB) University of Wollongong, Australia

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Tips for Company Law Case Study Assignments

Company law case study assignments provide a fictional dispute between two organizations. A law student needs to place that dispute in a particular legal context. Law students need to find legal precedents to that event and need to provide different legal options in accordance with the legal structure of the organization. Some crucial tips are given by our experienced company law case study writers that help a student effectively to develop their company law case study assignments.

If you require assistance, then you can take help from the online company law case study service of MyAssignmenthelp.com. There are examples have been given below for company law case studies along with solutions.

Company law case studies examples

• Legal agreement example:

Mr. A has developed a shopping mall in Sydney at the request of Mr. B, who is a municipal corporater. Mr. C has developed an agreement to pay AUD 2, 50,000. Mr. A accepted the agreement of Mr. C. Is it an agreement or a contract? Give justification of your answer.

This given case scenario is under the consideration. That means the promises executes the work at the desire or under the promisor’s direction. In this case, Mr. A has developed a shopping mall in Sydney in accordance with the request of Mr. B, who is a municipal corporater. An agreement has been made by Mr. C to pay AUD 2, 50,000 and Mr. A has accepted the proposal of Mr. C.

• Case: Morgan vs. Chapel:

In this case, Mr. Morgan has developed a market under the direction of the municipal corporate. The market was allotted to various individuals; Mr. Chapel was one of them. Mr. Chapel has made an agreement that he will pay commission to Mr. Morgan for the land allotment in the market. However, after this agreement Mr. Chapel was not able to pay money to Mr. Morgan. For this reason, Mr. Morgan filed a case against Mr. Chapel.

It has been found from the case study that, Mr. A had developed a shopping mall in Sydney due to the request of corporate C. Mr. C agreed to pay AUD 2, 50,000 to A. In the above case C is stranger between A and B. Hence; there is no valid consideration between A and C. Therefore, it can be stated that there is no valid lawful consideration.  

• Consumer law example:

Mr. Wayne has recently returned a leased vehicle (car) to GM. However, they have charged him for not returning the manual and the service history of the car. Mr. Wayne is not willing to provide anything back to the company, as Mr. Wayne claims that he has not received any manual and the service history of the car from its supplier (the person who gives the car lease). Provide legal advice to Mr. Wayne.

• Case brief:

There is a dispute between Mr. Wayne and the GM, for not gratifying the legal obligations under the lease agreement between the two parties.

• Legal rationale:
• In the lease agreement between Mr. Wayne and GM, the former is responsible for paying for any damage or loss caused done to the company property.
• However, Mr. Wayne has claimed that he had not violated any law, as he did not receive any manual or service history from the supplier. Mr. Wayne has a written evidence of them.
• Under the consumer law, Mr. Wayne has the right to protect his consumer interests.
• Legal advice:
• Wayne should write a letter to the GM and state that he is not able to submit any service history or car manual since he has not received car manual or service history from the suppliers. He also needs to mention that he has written evidence for that.
• Wayne must have to write a letter to the supplier and state that if the case goes up to the court of law, then he is under law to involve the supplier as the primary party responsible for the dispute.
• Contract law example:

A smartphone company ABC has asked a software company XYZ to develop software for them. XYZ Company has provided a total estimate of AUD 20,000 for total work of 30 days.Both the companies agreed that ABC would provide 20% of the total payment to XYZ before starting of the work,50% after the initial stage and 30% after completion.

After ten days of work, XYZ has written a letter to ABC that the project will require more time as the head software developer has left the organization. After 15 days of work, XYZ has given another letter to ABC and mentioned that they would only provide the source code, and they would provide an assistant developer to complete the rest of the work. 

ABC vs. XYZ due to an alleged breach of contract

In the opinion of XYZ, there is a breach of contract. However, in accordance to ABC, the software company was not able to deliver the order within 30 days, as it is promised.

XYZ should give back all the money to ABC. Otherwise, ABC can sue XYZ.

Sample Question And Solution Of Company Law Case Study

Mlj 701-case analysis of re-saunders.

Write a Case analysis of Re: Saunders.

Procedural history

This case had been brought before the Supreme Court of Northern territory by the applicant against the decision of the Law Society to not grant him the right to practice as a local lawyer in the Supreme Court. The student had been prosecuted before the Court of Summary Jurisdiction in relation to the offense of not disclosing his income to Centrelink which would have reduced the amount of money that was to be received by him. The application has been made by the applicant to the Supreme Court with respect to the provisions of the Legal Profession Act to be admitted as a local lawyer. Upon the consideration of the application under the provisions of Section 32 the admission board referred the matter to be resolved before the court in relation to whether the applicant is a fit proper person who can be admitted [at 1].

Introduction: 

Information technology (IT) law provides the framework for the process of storing, collecting, and disseminating electronic information in the concept in the field of the global market. Attorneys practicing in this field of law represents business and the individual from the entire industry sector. They directly benefit to build the structure of the IT transaction in a way, which directly minimizes the economic benefit.

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Ans:  Case study assignments provide a detailed investigation of a specific organization using the legal knowledge of the subject. Company law case studies help in governing areas such as sales, bankruptcies, transactions, mortgages and other commercial contracts. It also analyses legal disputes between two legal entities. When it comes to a company law case study, a student might have to study similar situations and come up with possible legal situations.

 Q. 2. How Do You Analyze A Company Case Study? 

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Business Law Case Studies with Solutions

• Post author: myspeakhr
• Post category: Case Study
• Reading time: 5 mins read

Discussed here is the Business Law Case Studies with Solutions. Business Law is also known as Legal Aspects of Business, Commercial Law etc. Here we have given short case studies along with solutions in business law. These simple case law in commercial law contains cases related to Contract Act 1872, Sale of goods Act and Consumer protection Act with solutions. All the 3 Acts discussed here is majorly used in business transactions. These short case studies on commercial law with answers will be helpful for students of MBA, BBA, B.com and Law. These case studies and solutions are explained in very simple words without much difficult legal terms for the benefit of the students.

Below is the Business Law Case Studies with Solutions.

I. Indian Contract Act Case Studies

1. case study on basic contract act.

“A gives an offer in the newspaper for the sale of his HP laptop for Rs. 15000. He also stated that Those who are willing to purchase can send a message to his mobile.”” In this simple case consider the following situation and discuss the solution:

a) B was interested to purchase the laptop and sent a message stating that he wish to purchase for 12000. Was it an acceptance is given by B-

No it was not an acceptance It can be termed as counter offer. If feasible A has to give acceptance.

b) B was interested to purchase the same but he asked C to message on behalf of B. and C messaged as follows

“My friend B is interested to purchase your laptop for 15000”  . Here is this a valid Acceptance? is A binded by the acceptance.

No this is not a valid acceptance. The acceptance needs to be given by the accept-or itself. Hence A is not binded by the action of C.

c)  B who is much interested in purchasing the laptop had called Mr.A and given the acceptance through his phone. Is A obliged for acceptance given by B.

The acceptance must the given by the mode prescribed by the offer-or only. Hence in the given case the acceptance given by B through telephone is not an acceptance.

2. Case study on Valid Contract

Mr. X invited Mr. Y his business partner for X’s sisters marriage. Y accepted the invitation in this ground X booked a table in a costly hotel where the marriage takes place. Due to some reason Y could not attend the function. What type of contact is this. Is this a valid contract. Justify your answer.

This is not a valid contract on the following basis:

a. This is a social agreement. The agreement is not created with an intention to create legal relationship rather to create a social relationship.

b. There is no consideration involved in the contract hence it is not a valid contract.

II. Consumer Protection Act Case Studies

3. case study on who is a consumer.

a. Mr. A bought a printer from an electronics store for using it at home. The TV was defective. Is Mr. A a consumer?

Yes Mr. A is a consumer as he purchased the printer for his own use.

b. Balu is a distributor for computer accessories. He bought 100 pen-drives for selling to other computer vendors. Is Balu a consumer?

Balu is not a consumer as he has obtained accessories for resale.

4. Case study on Restrictive and Unfair trade practices

Mr. X went to a electronic shop to purchase a TV for his newly built house. He asked the information about Samsung 40 inches LED TV to the shop keeper. The shop keeper being a dealer of other brands misguide the customer stating that Samsung had planned to stop the production of 40 Inch LED TV’s. The shopkeeper made the customer believed the same and advice him to purchase some other brand.

The act of Shop keeper is Restrictive trade practice or Unfair trade practices?

The act of shopkeeper is a unfair trade practice as he had mislead the customer with a motive to increase his sale.

III. Sale of Goods Act 1930 Case studies

5. case study on sale or agreement to sell.

On 1st March 2017, Alex agreed to sell his car to Beny for Rs. 80,000. It was agreed between themselves that the ownership of the car will transfer to B on 31st March 2017. when the car is gets registered in Beny`s name. Justify whether it is sale or agreement to sell.

It is an agreement to sell and it will become sale on 31st March when the car is registered in the name of Beny.

6. Case study on Warranty

Anay purchased a second hand typewriter from Balu. Anay used it for sometime and also spend some money on its repairs. The typewriter turned out to be stolen one and as such Anay had to return it to the true owner chand. Is it a breach of Warranty or not. What remedy will Anay get?.

It is a breach of warranty. It is a implied warranty as to quite possession. It was held that Anay could recover damages from Balu amounting to the price paid and the cost of repair.

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LexisNexis Questions and Answers: Constitutional Law, 5th edition

A clear and systematic approach to successfully analysing and answering constitutional law assignments and exams

Published: 05 February, 2024

LexisNexis Questions and Answers: Constitutional Law provides a sound understanding of Australian constitutional law and gives a clear and systematic approach to analysing and answering problem and exam questions in this complex area. Each chapter commences with a summary of the relevant law and key issues. All questions are followed by a suggested answer plan, a sample answer and comments on how the answer might be assessed by an examiner. The author also offers advice on the common errors to avoid when answering each question. It includes a separate chapter of hypothetical fact situations that incorporate multiple constitutional issues in a single problem question. The fifth edition has been revised and updated throughout and includes new chapters on the states and territories and first nations peoples and the constitution.

• Summaries of relevant law and key issues in each chapter • Questions with answer guide, suggested answer, examiners comments and common errors to avoid • Helps students revise key areas before attempting problem questions • Assists students with effective exam study preparation

Related Titles

• Hanks et al, Constitutional Law in Australia , 4th ed • Harvey et al, LexisNexis Study Guide: Constitutional Law , 5th ed • Price, LexisNexis Case Summaries, Constitutional Law , 7th ed, 2024 • Trone, Lumb, Moens & Trone The Constitution of the Commonwealth of Australia Annotated , 10th ed, 2021

• Ch 1. Introduction to the Commonwealth Constitution
• Ch 2. Constitutional Concepts
• Ch 3. The High Court and Separation of Judicial Power
• Ch 4. Commonwealth Executive
• Ch 5. Commonwealth Parliament
• Ch 6. Taxation and Grants Powers
• Ch 7. Duties of Excise
• Ch 8. Trade and Commerce Power
• Ch 9. Freedom of Interstate Trade
• Ch 10. Corporations Power
• Ch 11. External Affairs Power
• Ch 12. Defence Power
• Ch 13. Inconsistency of Laws
• Ch 14. Intergovernmental Immunities
• Ch 15. Individual Rights and the Commonwealth Constitution
• Ch 16. Implied Rights and Freedoms
• Ch 17. First Nations
• Ch 18. States and Territories
• Ch 19. Revision Problems

Featured Authors

Ben Gussen is a tenured constitutional jurist at the Swinburne Law School. He is a member of the legal profession in Australia and New Zealand. He is also the founding coordinator of the International Association of Constitutional Law (IACL) research group on the constitutional status of cities.

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Home » za » questions » LPL4802 Law of Damages Assignment Answers

QUESTION 1: NATURE AND ASSESSMENT OF NON-PATRIMONIAL LOSS

(INJURY TO PERSONALITY)

Study the case on Syce and Another v Minister of Police (1119/2022) [2024] ZASCA 30 and answer the questions below. Your answer must be presented in an essay format. It will be marked according to the rubric annexed with this question paper. You must attach the rubric immediately after your answer, and not at the end of the exam.

a) Discuss the law that applies to unlawful detention in terms of section 59 of the Criminal Procedure Act 51 of 1977, as amended. Provide relevant authority to enlighten your discussion. (15 marks) b) Explain fully with the aid of authority, the principles (as highlighted in this case) that the court must follow to determine general damages in respect of unlawful detention. (10 marks)

[25 marks] QUESTION 2: ONCE AND FOR ALL RULE AND CAUSES OF ACTION

The ‘once and for all rule’ is a manifestly popular principle that guides our courts in assessing damages that arise from the breach of contract, delict and other causes of action. Despite heavy criticism from other scholars for its application, there are valid reasons for its support.

a) With the aid of valid legal sources, explain the importance of this principle in assessing damages in the South African legal system. (10 marks)

DAMAGES FOR NON-PATRIMONIAL LOSS

b) Explain the view that punitive damages are not part of South African law of damages. Provide authority to support your answer. (8 marks)

INJURY TO PERSONALITY

c) Briefly explain the concept satisfaction as part of the South African law of damages. Provide authority to support your answer. (7 marks)

[25 marks] QUESTION 3 CONTRACTUAL DAMAGES

3.1 Read the facts below and answer the questions that follow.

Solarum, a manufacturer of solar panels, sold solar panels to Fikile Construction. Fikile Construction was hired to install solar panels in newly developed townhouses. Fikile Construction contended that the solar panels that were sold to them were defective. They further contended that by the time they had realised that the solar panels were defective; they had already installed the defective solar panels on the roofs of fifteen (15) townhouses. They then had to remove the solar panels from the roofs of these fifteen (15) townhouses and reinstall new solar panels supplied by another manufacturer, Esolar, which cost R1 350 000. They paid transport costs of R18 000. The removal of the defective solar panels and the reinstallation of the new solar panels on the roofs of the fifteen (15) townhouses took them four (4) weeks to complete and cost them R400 000 in labour. Fikile Construction argued that the replacement of the solar panels that were bought from Esolar manufacturers were more expensive than the ones that they had agreed on in their contract with Solarum.

(a) If Solarum were to argue that Fikile Construction had a duty to “mitigate their loss”, explain in detail what this argument would be. (5 marks)

(b) With reference to the fundamental principle of damages for the breach of contract, explain in detail, how Fikile Construction’s damages would be determined in this case. (5 marks)

(c) Using the “contemplation rule”, provide your own assessment of Fikile

Construction’s total claim of damages. (5 marks) 3.2 Read the facts below and answer the questions that follow.

Witbank Coalfield was contracted to deliver coal on 22 January 2024 to Bloemfontein Coal Distributers. Bloemfontein Coal Distributers was contracted to Exxaro and had to dispatch the coal to Exxaro in Johannesburg. Witbank Coalfield was aware of the contract between Bloemfontein Coal Distributers and Exxaro. However, Witbank Coalfield failed to deliver the coal on 22 January 2024. Bloemfontein Coal Distributers had to purchase coal at a higher price from another company in Johannesburg to fulfill the terms of their contract with Exxaro. Bloemfontein Coal Distributers further claim that they were inconvenienced by Witbank Coalfield’s actions in this regard.

(a) Discuss in detail, how the “market price rule” would be used to determine Bloemfontein Coal Distributers’ claim for damages against Witbank Coalfield. (5 marks)

(b) Can Bloemfontein Coal Distributers claim general damages of inconvenience?

Refer to relevant case law in support of your answer. (5 marks)

[25 marks] QUESTION 4 DRAFTING (NATURE AND ASSESSMENT OF PATRIMONIAL LOSS)

Read the facts below and answer the questions that follow.

Centurion was subjected to heavy rainfall resulting in numerous potholes. Municipal workers of the City of Tshwane were instructed to repair all potholes on walkways in the area to prevent further damage which could be detrimental to pedestrians. The Municipal workers were busy repairing one of the walkways that were damaged by the heavy storms. During their lunchbreak, the workers walked to a nearby cafe to buy food. They left the big cavity in the walkway unattended and did not cordon it off or put up any signs warning the pedestrians of the hazard.

Dr Mary Motsepe, who works at a nearby hospital embarked on her customary lunch hour jog along the walkway. Mary is nearsighted but leaves her spectacles in her office because she perspires profusely during her jog. While sprinting the final stretch of her jog, Mary notices the cavity in the walkway too late. She slips and falls into the cavity. She breaks her arm, fractures two ribs and sustains a severe concussion. Mary was admitted to hospital where she was treated for a period of 2 months due to the severity of her injuries. Mary is traumatized by the incident and is now reluctant to jog outdoors.

a) Draft the particulars of claim that Dr Motsepe must lodge in the High Court, where she claims both general and special damages. In your answer, provide very clear heads of damage and describe them fully, in terms of the applicable Uniform Rules of Court that govern pleadings of this nature.

You are reminded to number your paragraphs logically and consecutively, with sub paragraphs where applicable. [25 marks]

Answers to Above Questions on Law of Damages

Answer 1: Section 59 of the criminal procedure act 51 of 1977 is related with the issue of unlawful detention whereby it offers the power of arrest without a warrant. It provides police officers with the authority to arrest an individual without a warrant. Subsection one and two provides specific grounds for such arrest and section 59 includes the requirement for reasonable grounds for arrest. In relation to the case of Syce and Another v Minister of Police (1119/2022) [2024] ZASCA 30, the main focus area of court to look after is on evaluating whether the arrest of the plaintiff met the requirements of section 59.

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