Statement : Four students decided to draft documents to incorporate a limited liability company in Germany. They want to formalise their relationship such as member of a pop band. Three of them periodically play music in pubs and bars; the fourth one helps the others in looking for the available pubs/bars, in contracting the fees with the owners, in setting up musical instruments and all the technological supports to play. They are known as "The Watchers". So, all of them effectively contributed to the band's success: the three musicians, writing new songs and playing their music; the fourth one, acting as the agent of the others.

Question : The articles of association already drafted contain many clauses: make a synthetic report on pros and cons, make some comments about the clauses, and do it in light of the actual relationship between those guys as well as of the (desirably positive) development of their musical activities

Clauses :

2- All managing directors can be awarded sole power of representation and relieved from the restrictions of sec. 181 of the German Civil Code. Shareholders decide with simple majority about the granting or the withdrawal of the sole power of representation and the relief from the restrictions

of sec. 181 of the German Civil Code.

3- All shareholders have a right to participate in the shareholders' meeting.