The Board of Directors Alfa Company borrowed a sum of money from a plaintiff. The Articles...
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The Board of Directors Alfa Company borrowed a sum of money from a plaintiff. The Articles of Association stated that the B.O.D's could borrow money provided they are authorized by a resolution in the general meeting of the company. The shareholders claimed that the fund were taken without any such resolution, Alfa Company was liable for the loan. As the plaintiff found that the company could borrow funds based on the resolution, they had enough grounds to believe that resolution was passed. On the basis of the above, discuss: a) The importance of resolutions in the management of the (2.5 Marks) company. b) As per the Commercial Company Law, does the situation support the plaintiff? (2.5 Marks) c) As per the Commercial Company Law, does the situation shareholders of the Afla support Company? (2.5 Marks) d) Are the role of Directors supported by such a situation in Oman Company Law? (2.5 Marks) The Board of Directors Alfa Company borrowed a sum of money from a plaintiff. The Articles of Association stated that the B.O.D's could borrow money provided they are authorized by a resolution in the general meeting of the company. The shareholders claimed that the fund were taken without any such resolution, Alfa Company was liable for the loan. As the plaintiff found that the company could borrow funds based on the resolution, they had enough grounds to believe that resolution was passed. On the basis of the above, discuss: a) The importance of resolutions in the management of the (2.5 Marks) company. b) As per the Commercial Company Law, does the situation support the plaintiff? (2.5 Marks) c) As per the Commercial Company Law, does the situation shareholders of the Afla support Company? (2.5 Marks) d) Are the role of Directors supported by such a situation in Oman Company Law? (2.5 Marks)
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Resolution in a company is a proposal made to the directors or shareholders of the company during a ... View the full answer
Related Book For
Principles Of Managerial Finance
ISBN: 978-0136119463
13th Edition
Authors: Lawrence J. Gitman, Chad J. Zutter
Posted Date:
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