However, under the new Companies Act, 2013, the companies are not required to have their common seal mandatorily. → 1/6/2015-CL.V dated 29th May, 2015. Common Seal Optional: Companies Act, 2013 required common seal to be affixed on certain documents (such as a bill of exchange, share certificates, etc.) (1) A certificate, issued under the common seal of the company, specifying the held by any person, shall be prima facie evidence of the title of the person to such shares. The Companies (Amendment) Act, 2015 has made the common seal optional by omitting the words “and a common seal” from Section 9 so as to provide an alternative mode of authorization for companies who opt not to have a common seal. with effect from the 29th May, 2015, companies are not be required to have “common seal” by virtue of registration under the Companies Act, 2013. 1/13/2013-CL. Substituted for “issued under the seal of the company” by the Companies (Share Capital and Debentures) Second Amendment Rules, 2015 vide Notification No. This article talks about share capital and types of share capital under The Companies Act, 2013. Now, with The Companies (Amendment) Act, 2015 coming into force the common seal is no more has been made optional. The Companies registered under the Companies Act, 2013, can be called as a Company or as a Body Corporate for e.g.- Tata Consultancy Services Limited, Reliance Communications Ltd. etc. The use of common seal at various places as approved and done is to be recorded in a register, it is called the register of common seal. since they are registered in India. From the commencement of the Companies (Amendment) Act, 2015 (21 of 2015), i.e. The common seal is like a signature of such company. The Companies (Amendment) Act, 2015. The companies are not mandatorily required to have a common seal as per the Companies Act, 2013 with the enactment of the Companies (Amendment) Act, 2015. Share Capital. A Company incorporated under the Companies Act , 2013 is vested with corporate personality so it bears it’s own name and acts under the name , therefore a Company being an artificial person requires a common seal to be affixed on various agreements which binds the Company . (a) “the Act” means the Companies Act, 2013, (b) “the seal” means the common seal of the company. By the said Amendment Act few sections of the Companies Act,2013, have been amended. Under the erstwhile Companies Act, 1956, the companies were compulsorily required to have their common seal for various authorisation purposes as prescribed under the Act. F. No. Substituted for “issued under the common seal of the company” by the Companies (Amendment) Act, 2015 vide Notification F. No. Under the Companies Act, 2013, in this regard, Section 22(ii) states that a company may, by writing under its Common Seal, authorize any person, either generally or in respect of any specified matters, as its attorney to execute other deeds on its behalf in any place either in or outside India. (2) A duplicate certificate of shares may be issued, if such certificate — (a) is proved to have been lost or destroyed; or (b) … Continue reading Section 46.Certificate of shares. A company is a separate legal entity distinct from it’s members .
2020 common seal under companies act, 2013