Corporate LawsPresented ByJaspreet SinghNitin BankaKhalid Mohammad

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Negotiable Instrument Act 1881The instrument is freely transferable by delivery and by endorsement and delivery if it is payable to order; andA person taking the instrument bonafide for value gets an absolute title to the instrument notwithstanding any defect in the title of the transferor or any other prior party.PROMISSORY NOTE (SEC 4)It is a written unconditional undertaking by the maker to pay a certain sum of money to the Bearer of instrument. BILL OF EXCHANGE (SEC 5)It is a written unconditional order by the maker , directing a certain person to pay a certain sum of money or to the order of certain person or to the bearer of the instrument

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CHEQUE (SEC 6)A cheque is a bill of exchange, drawn on a specified banker and payable on demand.It cannot be drawn on any person other than a bank;It cannot be drawn payable so many days after date or after sight as is the case with a bill of exchange. It is always payable on demandENDORSEMENTSSec. 15 of NI Act says Where the maker or holder of a negotiable instrument signs the same, otherwise than as such maker, for the purpose of negotiation, on the back or face thereof, or on a slip of paper annexed thereto. He is said to endorse the same, and is called the endorser

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CROSSING (SEC 123 - 131 )Crossing is a direction by the drawer to his banker to make payment of a cheque drawn by him. In general crossing, payment can be made through any bank, while in special crossing; it can be made only through a specified banker. However in any case, payment can be made through a bank account onlyCriminal action u/s.138Bank can file a Criminal Complaint u/s.138 of Negotiable Instruments Act, 1881, for punishment to the drawer of the cheque for having committed an offence alongwith claim for compensation.

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Limited Liability Partnership Act 2008 (LLP)LLP is a body corporate formed and incorporated under the LLP Act which is a distinct legal entity separate from that of its partners. It has perpetual succession. Any change in the partners will not affect the existence, rights or liabilities of the LLPEvery partner of the LLP is an agent of the LLP but not of the other partnersThe LLP is a new edition for conducting a business or profession and is an option that would facilitate professionals to come together in bigger number and form LLPs. Due to flexibility in structure and operation, LLP could be the preferred mode for venture capital. The LLP Act provides for establishment of foreign LLPs and permit them to carry out business activities in India

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CODE OF BANKS COMMITMENT TO CUSTOMERSConceptObjectivesApplicabilityCommitmentsInformationAdvertising, Marketing and SalesPrivacy And ConfidentialityCollection Of Dues And Repossession Of SecurityComplaints, Grievances and Feedback.Products and Services.Protecting Accounts of CustomersMonitoring

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Getting HelpReview of CodeLockersClosure of Deposit accountTransfer of account

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Meaning and Definition of a Company Section 3(1)(i) of the Companies Act, 1956 defines a company as: a company formed and registered under this Act or an existing Company.

Existing Company means a company formed and registered under any of the earlier Company Laws.

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Characteristics Of A CompanySeparate legal entityLimited liabilityPerpetual successionCommon sealTransferability of sharesSeparate propertyCapacity to sue

Borrowing PowersA company is empowered to borrow money, if-The object clause permits the company to borrow money; OrIt is a trading company (since a trading company has an implied power to borrow money.)

No borrowing until certificate of commencement of business is received (Sec. 149)

Restriction on Powers of a company to borrow (Sec 292)Borrowing of money by issue of debentures

Borrowing of money otherwise than by issue of debentures

Statutory limits on Borrowing (Sec 293)

The Companies (Amendment) Bill , 2006Amendment of section 253

"Provided that no company shall appoint or reappoint any individual as director of the company unless he has been allotted a Director Identification Number under section 266B.

Insertion of new sections 266A, 266B, 266C, 266D, 266E, 266F and 266G

Insert new sections 610B, 610C, 610D and 610E

The Ministry of Company Affairs on the recommendations of Department of Information technology is implementing an e-Governance initiative through a project named as "MCA-21". This project will provide the public, corporate entities and others an easy and secure online access to the corporate information, including filing of documents and public access to the information required to be in the public domain under the statute, at any time and from anywhere.

Sec 211(B/S & P/L account)True & Fair ViewComply with accounting standards recommended under the ICAI act 1949.

Boards Report(sec 217)State of companys affairsOther disclosuresDirectors responsibility statement

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