Company Law: Legal Organisations

IntroductionThor plc is a Public Limited registered fellowship as per the comestible of Companies Act 1985 , listed in London Stock Exchange . A universe limited comp whatsoever must have at least two directors to manage the business affairs of the company apart from a qualified company secretary . save normal limited companies atomic number 18 also permitted to proffer shares to the public to raise funds by way of public offer of shares to a minimum value of ?50 ,000 . Thor plc is a mercantile catering company which has both shares and debentures to its credit . A public limited company is governed by its Memorandum and Articles of Association which enlarge the entire internal and external boundaries of a director beyond which a director cannot bear in any sort . Chapter 2 Section 171-177 of Companies Act 2006 provide about reach and nature of general duties of a directorSome of the important general duties areDuty to act within powers and in accordance with the company s organisation (M A ) and exercise powers dutifully (Sec .171Section 172 states that a director must provoke and work to the success of a company in bona fide and in good conduct for any long term decisions , in the spare-time activitys of company employees , fostering the business relationship with business suppliers , customers and differents , examine the company s operations , its impacts on environment and community .

A director must have absorb to maintain the study of the companySection 173 states that a director has the power to exercise independent image which is in accordance with the supply and compliance of legal provisions enabled by Companies Act 2006 and authorized by Company s constitution and which is not restricted and in contradiction with the agreement entered into surrounded by the director and the companySection 174 states that a director must exercise logical care , skill and diligenceSection 175 provides that a director is in a position to always avoid a encroach of interestSection 176 provides that a director must not accept any benefits from third parties . Third parties means a person other than the company , a person acting on behalf of a company , an associate be or a body corporateSection 177 provides that a director can always declare interest in a proposed transaction or arrangement . The proposed interest must be disclosed or declared all in a meeting with other directors , by a notice to other directors in accordance with Section 184 (notice in writing ) or Section 185 (general noticeA director need not disclose interest in case the director is of the legal opinion that (a ) the proposed interest for a transaction may give initiate to a conflict of interest (b ) To an extent , if other directors are aware of transaction ( c ) The proposal need to be considered in a meeting of directors or by a committee of directors appointed for this purpose under company s constitutionSection 178 deals with genteel consequences of breach of general duties by a directorCompanies Act 1985 imposes a statutory prohibition...If you want to get a full essay, recount it on our website: Orderessay

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