Under the Companies Act, 2013, each member is bound to the company to conform to:
Section 10(1) provides that the memorandum and articles, when registered, bind the company and its members "to the same extent as if they respectively had been signed by the…
Choose your answer
Under the Companies Act, 2013, each member is bound to the company to conform to:
Answer and explanation
Correct answer C
Section 10(1) provides that the memorandum and articles, when registered, bind the company and its members "to the same extent as if they respectively had been signed by the company and by each member", with covenants by each member "to observe all the provisions of the memorandum and of the articles". A prospectus or share certificate does not have this statutory binding effect.
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