The memorandum of Association of a Company is its charter, prescribing the Company's name, registered offices, objects and capital also defining limitations and powers. Its sets forth the fundamental condition upon which alone the Company is allowed to be incorporated. Conditions which are also introduced alike for the benefit of creditors and the outsider public as well as for shareholders.
A company can not exercise any powers which are not either expressly stated in the Memorandum or as may be implied therefrom. A company must act within and not outside the scope of Memorandum. The Memorandum of Association is thus one of the most important documents which form the very foundation of the company.
Every Memorandum has the following clauses.
A company can not exercise any powers which are not either expressly stated in the Memorandum or as may be implied therefrom. A company must act within and not outside the scope of Memorandum. The Memorandum of Association is thus one of the most important documents which form the very foundation of the company.
Every Memorandum has the following clauses.
- Name Clause.
- Situation Clause.
- Object Clause.
- Liability Clause.
- Capital Clause.
- Association Clause.
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