Assignment Question

An important step to the formation of a company is to prepare a document called the Articles of Association. It has been stated in Section 46 (2) of the Companies Act 2015 as, "A Company must adopt Articles of Association under which the internal management of a Company is governed."

Therefore, you are required to write an essay highlighting the following:

1.Explain the objectives and importance of Articles of Association.

2.Critically evaluate any five (5) items this document includes and their relevance to the operation of companies. (Hint: for selecting any five of these items, refer to schedule 2 of the Companies Act 2015. Also refer to Appendix A as shown below).

• APPOINTMENT AND REMOVAL OF DIRECTORS
• DIRECTORS' MEETINGS
• POWERS AND DUTIES OF DIRECTORS
• WRITTEN RESOLUTIONS
• SHARES

3.Critically evaluate the rules applied in respect to adopting new Articles of Association or modifying existing Articles of Association as per the Companies Act of Fiji 2015.

4.Conclude by stating the benefits and drawbacks of using this document and its usefulness (if any) to govern the operations of a company.