Company Law 2 Short Theory Questions essay
QUESTION THREE- chapter 5 Jack is the managing director of Beanstalk Ltd. The corporate has a structure which states that the corporate could solely promote agricultural merchandise grown in Queensland. The board of administrators have applied an organization coverage that each one transactions over $100,000 require board approval. Jack attends a commerce honest in Victoria and is so impressed with the standard of the beans grown on a Victorian farm by Large Ltd that he indicators a $150,000 buy settlement. The board of administrators of Beanstalk Ltd determine that this buy will undermine the corporate’s advertising marketing campaign selling Queensland merchandise. They advise Large Ltd that the corporate is not going to make cost underneath the acquisition settlement as: 1. Jack didn't have authority to signal the contract and in any occasion it's above $100,000; (three marks) 1. Beanstalk Ltd had no authorized capability underneath its structure to purchase any produce from outdoors Queensland so the settlement can't be enforced in opposition to it; (three marks) 1. The structure of Beanstalk Ltd was accessible within the public report and Large Ltd had a duty to know its contents and adjust to it. (1 mark) REQUIRED: Advise Large Ltd on the problems above. To help your solutions, you will need to not solely reference your textbook however you will need to additionally consult with the Companies Act and instances the place acceptable. Trace: The most effective observe query to make use of from workshops is without doubt one of the components from the query from workshop Two Query four about “Tipsy Ltd”. Solely write most ¾ web page to reply this query QUESTION FOUR- chapter 6 Simon has determined he'll register an organization Cosec Pty Ltd and provide firm secretarial providers. Earlier than he is able to register the corporate he searches for an acceptable workplace and finds an ideal location. Simon indicators on behalf of the proposed firm, a 2 yr lease on the workplace and a 2 yr rental settlement with a phone firm. Earlier than Cosec Pty Ltd is registered, Simon will get supplied a beautiful sum of cash to assign the workplace lease over to a different occasion. Simon takes the cash and transfers the lease. Cosec Pty Ltd is lastly registered and on the first administrators’ assembly the ratification of Simon’s phone settlement is taken into account. The administrators go for one other phone system that they think about higher suited to the corporate’s wants. REQUIRED: 1. Talk about whether or not Simon breached any obligations by transferring the workplace lease. (2 marks) 1. Will the phone firm have any proper of motion in opposition to Simon? (2 marks) No hints for this drawback query Solely write most half web page to reply this query Query four (tipsy pty ltd) Tipsy Ltd is an importer and distributor of French wines. The Managing Director is Marie and the Firm Secretary is Pierre. The corporate has no structure and the Board of Administrators train tight management over the corporate. The Board has applied an instruction that their approval is required for any buy of wine in extra of $50,000. Over the past month the next three transactions and developments occurred: (a) Marie signed a contract to buy $55,000 of wine. The opposite administrators don't just like the wine and refuse to just accept it on the grounds that Marie lacked authority by breaching the buying restrict set by the Board. - MD has precise authority - outsider can suggest that she has customary authority:Turquand’s case/northside case. - administrators can't refuse to just accept this contract (b) Pierre, in France on vacation, visits one in every of Tipsy Ltd’s suppliers. He tastes and likes a brand new wine and indicators a contract for Tipsy Ltd to buy the wine for $10,000. The board of administrators needs to rescind the contract on the grounds that Pierre had no authority to signal the contract. - firm secretary has no precise authority or implied authority to make enterprise contracts - Co. secretary is an administrative function:paranoma’s case - administrators can refuse to just accept this distinction (c) The senior executives of Tipsy Ltd have been absent at a administration seminar and Renee, the corporate’s Workplace Supervisor, was left to thoughts the entire workplace, together with the gross sales division. When Smashed, a liquor retailer chain, phoned to position an order, Renee negotiated a worth and bought some wine. Edith, the corporate’s Gross sales Supervisor, had deliberate to promote that very same wine to a different buyer at a better worth. Tipsy Ltd advises Smashed that they won't provide the wine as Renee lacked authority. - co.left her in cost = holding her out as having authority -outsider could assume Renne’s authority: freeman’s case - Doctrine of estoppel: firm not allowed deny authority of the individual it holds out as having authority - there may be nothing within the details to recommend that smashes ltd knew or suspected that Renee didn't have authority s128(four) - administrators can't ignore the contract -research paper writing service