Company and Finance Law Case Study Assessment

COMPANY AND
FINANCE LAW Case
Study Assessment

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
From the information above you are required to provide advice to the Board of directors of
BW Enterprises Ltd:....................................................................................................................3
identify the legal issues with relevant case laws and relevant provisions..................................3
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
The Company law is the backbone of all types of industrial revolution that take place during
the era of 1900. The UK has enacted the corporation law to ensure legal protection to the
incorporation of the company. The company has unique features which includes separate legal
entity, perpetual succession, limited liability , transferability of shares and many more. The
Company law has enabled the company to enter into contracts more efficiently to ensure
transparency in the working system within the organisation. The shareholders are the owners
who engaged in decision making process for the company. The iedea to make company as an
artificial person and separate legal entity evolved from the common law of the UK. The
Company Act , 2006 provides rights and liabilities of the members of the company. It defines
special provision for appointment of directors, managers and employees for smooth running of
an organisation. The Company is derived from the word 'corporation' means an association of
persons who comes together to achieve common goal.
TASK 1
From the information above you are required to provide advice to the Board of directors of BW
Enterprises Ltd:
identify the legal issues with relevant case laws and relevant provisions.
1. What are the circumstances that attains majority of shares of the Company
2. What are the causes for sharing information to the outsiders.
3. What are the procedure for removal of the non executive director.
4. What are the conducting meeting of the board of directors.
5. What are the procedure to attract investors for the company.
Provisions under Corporation Act and ASIC Act
Company is required funds and financial sources to expand their business. So, in order to
diversify the business, company need option to take credit from the debenture holders and
investment from the shareholders
(Bajra and Čadež, 2018). This is the mechanism through which company manages difficult time
management for ensuring sufficient availability of funds whenever it is needed. There are many
financial institution that provides funds to the company and gives them appropriate rate of return
3