Company Law Llb Coursework

Facts : Ulrich , Emily and Nadine atomic number 18 managers of EnCom Ltd . Before its in spate , they previously accomplished as a partnership between Ulrich and Emily who are fit managing partners . Nadine , on the other hand served as an employee of the partnershipLater on , their caller was incorporated with all the three serving as directors . Ulrich and Emily were addicted 49 share maintainings each while Nadine received 2 shareholding . cosmos the attach to needed funds before it could start to ladder , Nadine entered into a loan agreement with the criminalizek of Rutland to fund the confederation p She sign(a) the loan agreement form For and on behalf of EnCom in the long run , on that point was disagreement between the directors and she was dismissed from her position . Nadine was later sued by the Ban k of Rutland for defaulting in the payment of the loan she entered into For and on behalf of EnComNadine blames some(prenominal) Ulrich and Emily for the financial distress the ph mavenr had suffered . She claimed that both Ulrich and Emily appointed their family members to give ear in the conductning of the problem despite their wishing of knowledge and expertness . There was also evidence that both Ulrich and Emily spent square amount of company funds on flowers , chocolates and other gifts for the staffIssues : What are the remedies available to Nadine as a shareowner of EnCom Ltd and whether Nadine is liable to the Ban of Rutland for the loan agreement he signed for and in behalf of the company The scorecard of DirectorsThe Board of Directors of a company are the ex officio representative of the company and are vested with the business office to exertion corporate powers , conduct all business and govern and hold all properties of the can .

Such issues include the hiring / emission of decision makers dividend policies , options policies and executive compensationThe supreme authority insofar as the caution of the business regular and ordinary affairs of the corporation is vested with the Board of Directors . This is the public in e actually company . In accessory the larger the company , the less its shareholders have in the mention of the company . Such as in this case where heller of the directors own 98 of the shares of EnCom LtdThe shareholders of a corporation elect commonalitywealth who have been nominated to direct or manage the corporation as a board . In the past much or less all states required that at least three directors run a corporation . The laws have changed . straightaway all companies must at least have one director and at least two in a public company . This is enshrined in Section 282 of the Companies work on 1985 . about anyone can be a director as there are very few statutory restrictionsPresently , the duties of a director are narrow down forth in the common law rules and also in statutes such as the Companies Act of 1985 as amended by Companies Act of 1989 . Under these rules , the duties of a direct include : the vocation to act in nigh(a) faith to the best sideline of the...If you want to get a full essay, order it on our website: OrderCustomPaper.com

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