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Name of faculty:
Course No: MGT253 Course Title: Corporate Laws Class: BBA Hons Semester: 6th
Section: Q1808 Batch: 2008
Max. Marks:15 Date of Allotment : 30-8-10 Date of Submission: September 10, 2010

S.No Roll No Topi Objectives of Academic Topic Organizat Model*

c Activity ion
No.
Submission of
The objective of the CASE ANALYSIS on
Assignment is as follow: the topics: written report.
a) To imbibe the 1. Characteristic of
To all the habit of analysis. a Company. 5 marks for
b) Inculcate the 2. Lifting of written report.
students habit of corporate veil
interpretation and 3. Classification 10 marks for
decision making and formation home work
by doing practical of company based test.
analysis. 4. Promoters and Evaluation will
their role be on
15 cases are given to all parameters of:
the students related to Analytical
the above mentioned aspect
topics Case laws
Cases are mentioned in referred
the Annexure I Examples etc.

Signature of COS-F Signature of Course coordinators

 ANNEXURE-1

Case 1:
Mr Sajjul and his wife, who were the only two members of a their private company, were dead in
an accident. Does the company exist or die with them?

Case 2:
Mr Madan lal holds all the shares except one in a textile concern and is also its substantial
creditor. He gets the company’s yarn insured in his own name. Unfortunately the yarn gets
destroyed by fire and Mr madan lal claims the reimbursement of losses from the insurance
company. Is the insurance company liable to reimburse the loss and pay to Mr Madan?

Case: 3
A public limited company has only seven shareholders. All the shares were fully paid up. The
shares of one of the shareholders were sold in court auction and were purchased by another
shareholder of the company to the knowledge of all the shareholders. The company continued to
carry on business thereafter. What would be its consequences?

Case:4
A hindu undivided family, consisting of a father and five major sons and another family
consisting of father, five major sons and one minor son carried on banking business, as owners
thereof. Discuss if the organization requires registration under the companies act?

Case5:
Native Desire Company agreed with Mrs Chelsa an agent of a syndicate before its incorporation
that Native Company would grant a mining lease to the syndicate. The syndicate was
incorporated as Proway Company .Proway Company discovered coal where upon Native
company refused to grant the lease. Can the company enforce the preliminary agreement?

Case: 6
A partnership consisting of four firms was formed. Each firm had six partners. The partnership
was not registered under the companies act. The partnership sold certain goods valued at Rs
10,000 to Mr X. X refused to pay the money. Can the partnership recover by suit?

Case: 7
Mr Jenkin bought furniture and had it put into an office which he took for the company. He paid
the furniture dealer and claimed payment of that from the company which never became entitled
to commence business. Can he sue?

Case: 8
An agreement was made between K and B. B was acting on behalf of the proposed hotel
company. Wine supplied under the contract was used by the company which has “ratified” the
agreement after incorporation. The company went into liquidation before paying the debt.
Discuss who will be liable?
Case:9
The promoters of an ice manufacturing company entered into contract with Mr M for purchase of
the manufacturing machinery for the company. The company on its incorporation adopted the
contract and sent the communication of acceptance to M. Can company be sued for this contract?

Case: 10
Six of the seven signatures to the memorandum of association of a company were forged. The
memorandum was duly presented, registered and a certificate of incorporation was issued. The
existence of the company was subsequently challenged on the ground that the registration was
void. Discuss

Case:11
X, a solicitor on the instructions of promoters who became the directors of the company,
prepared the memorandum and the articles before its formation. X claims his costs and charges
from the company. The company refuses to pay on the ground that it was not in existence when
he was appointed. Will the contention of the company succeed?

Case: 12
The number of members in a public limited company got reduced to six on 6th September 2003.
The company incurs trade debts on 8th September 2003, 10th December 2003, 4th march 2004, 16th
march 2004 and 4th april 2004. How far the remaining six members liable for debts.

Case 13
A subsidiary was formed to split the profits of the company so that the incidence of bonus in the
hands of the parent company will be reduced. Is the existence of company valid in the eyes of
law?

Case: 14
The Bombay stock exchange has 200 members. It is not registered under the companies act. One
of the members has filed a suit declaring it illegal. Do you think the suit is maintainable?

Case: 15
The Memorandum and articles of association of a company were delivered to the registrar of
companies for registration on 6 January, 2003. On January 8, 2003 the registrar issued the
certificate of incorporation but it dated January 6, 2003. On that very day(January 6, 2003), the
company made allotment of its shares. The allotment was challenged on the ground that it was
made before the actual issue of the certificate of incorporation. How would you decide and why?