Companies: Consequences Flashcards
When does the court lift the corporate veil?
When it is a scam
What is the statutory minimum for share capital of a limited public company?
£50,000
Can a company commence trading before the trading certificate is obtained?
No
Can an owner insure their companies assets?
No the company has to insure its own assets
Def: Allotment
An allotment of shares is when a company issued new shares in exchange for cash or otherwise
At what point does a person ratify the contract?
When they accept the benefit
Is a member bound by an alteration that requires them to purchase more shares, introduced after they are already a member?
No
Def: Entrenchment
A particular law is passed by a super majority and can only be modified later on by that super majority
Def: Quoted company
A company that has its equity share capital officially listed on a particular stock exchange
