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Company Law - Sample MOA

Avatar 37a3bd7bc7328f0ead2c0f6f635dddf60615e676e6b4ddf964144012e529de45 asked

Sample MOA format for private Limited company and MOA Clauses as per Companies Act, 2013

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Avatar 37a3bd7bc7328f0ead2c0f6f635dddf60615e676e6b4ddf964144012e529de45 answered

Memorandum of Association (MOA of Private Limited Company) Contents of Memorandum of Association (MOA of Private Limited Company) Name Clause: The name of the Company must be stated with the last word ‘Limited’ in case of public companies and with the last two words ‘Private Limited’ in case of private companies. The Companies Act provides that a company should not be registered with an undesirable name. The question of desirability, or otherwise, of a name can only be decided from the facts and circumstances of each case. Situation Clause: The Memorandum of Association must mention the State in which the registered office of the company will be located. That is, the domicile of the company should be stated for the determination of jurisdiction of the Court, as well as of the Registrar. Within a particular domicile, there must be a registered office, intimation of which must be given either at the time of registration of within 30 days from the date of registration provided the company does not commence business earlier than this period of 30 days. Object Clause: Any number of lawful objects can be stated and included in this objects clause, whether the company engages in all those activities or not. From legal view-point, this clause is ascribed the highest importance. Any activity which offends the objects clause and is not expressly stated in the Memorandum of Association would be considered ultra vires, i.e beyond the powers of the company. Liability Clause: A company limited by shares or by guarantee must state that liability of its members is limited. This clause mainly affects the members. A company cannot increase the liability o a member without his / her written consent. Capital Clause: The MOA of the company having a share capital is required to show the amount of share capital with which the company is going to be registered, and the division thereof into shares of a fixed value. Association and Subscription Clause: An association clause signifying the desire of subscribers to form themselves into a body corporate should be appended in all cases at the foot of the Memorandum. The subscription clause provides that each subscriber is to take at least one share in the company and is required to state the number of shares taken by him along with his signature.

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