Company Law
Company law deals with the structure, management, administration, and conduct of affairs of companies. A company is given legal entity status by incorporating under the company law. To improve the status, rights, duties & obligations of companies, the law needs to be amended regularly.
The Companies Act, 2013 as well as 2017 the amendment to it and the ordinance that was promulgated on November 2nd, 2018 had some significant changes to the corporate legal framework of India. Some of the vast changes made have been further pointed out.
A company is a legal entity that is separate from the people who make it. This independent identity allows a company to live beyond its founders and into the hands of a successor. People may build a company but once registered, a company is its person.
The need for regulating and providing safety guidelines for the functioning of a company made the legislators enact the Companies Act, 1956. The said Act helps in regulating the basic aspects of company law, from its incorporation to its dissolution. An Act or a law provides a proper legal framework for the said functions. The companies Act, 2013 provides for all these.
Section 2(20) of the companies Act, 2013 defines a company as “a company incorporated under this Act or under any previous company law”. Hence, the law recognizes only those companies that have been authorized to function under the 2013 act or its predecessors. The law won’t recognize any other entity claiming to be a company.
The Companies Act, 2013 as well as 2017 the amendment to it and the ordinance that was promulgated on November 2nd, 2018 had some significant changes to the corporate legal framework of India. Some of the vast changes made have been further pointed out.
A company is a legal entity that is separate from the people who make it. This independent identity allows a company to live beyond its founders and into the hands of a successor. People may build a company but once registered, a company is its person.
The need for regulating and providing safety guidelines for the functioning of a company made the legislators enact the Companies Act, 1956. The said Act helps in regulating the basic aspects of company law, from its incorporation to its dissolution. An Act or a law provides a proper legal framework for the said functions. The companies Act, 2013 provides for all these.
Section 2(20) of the companies Act, 2013 defines a company as “a company incorporated under this Act or under any previous company law”. Hence, the law recognizes only those companies that have been authorized to function under the 2013 act or its predecessors. The law won’t recognize any other entity claiming to be a company.