(a) Company limited by shares:
(i) This is a limited liability company.
(ii) Limitation of liability by shares means that a member can only be called upon to
contribute to the assets of the company the amount if any outstanding or unpaid on the
shares held beyond which the member is not liable.
(b) Company limited by guarantee:
(i) This is a limited liability company.
(ii) Limitation of liability by guarantee means that a member can only be called upon to
contribute to the assets of the company the amount he undertook to contribute if
the company was would up during his membership or within one year of cessation
of membership beyond which the member is not liable.
OR
Distinguish a company limited by shares from a company limited by guarantee
Under section 4 (2) (a) of the Companies Act, a company limited by shares means that a member thereof can only be called upon to contribute to the assets of the company the amount if any outstanding on his shares beyond which he is not liable.
Under section 4 (2) (b) of the Companies Act, company limited by guarantee means that a member can only be called upon to contribute to the assets of the company the amount he undertook to contribute, if the company was wound up during his membership or within 1 year of cessation of membership, beyond which he is not liable.
maurice.mutuku answered the question on April 30, 2018 at 07:19
-
Identify the various orders or writs which the High Court may issue when exercising its
supervisory jurisdiction.
(Solved)
Identify the various orders or writs which the High Court may issue when exercising its
supervisory jurisdiction.
Date posted:
April 30, 2018
.
Answers (1)
-
Describe the limitations of common law which led to the development of the doctrines
of equity.
(Solved)
Describe the limitations of common law which led to the development of the doctrines
of equity.
Date posted:
April 30, 2018
.
Answers (1)
-
Name and briefly explain five categories of civil law.
(Solved)
Name and briefly explain five categories of civil law.
Date posted:
April 30, 2018
.
Answers (1)
-
Explain the circumstances under which an agent may be held personally liable for
contracts made on behalf of his principal.
(Solved)
Explain the circumstances under which an agent may be held personally liable for
contracts made on behalf of his principal.
Date posted:
April 30, 2018
.
Answers (1)
-
Hassan Payuka is the proprietor of Parrot Daily Newspaper which published an article
two weeks ago to the effect that Mrs. Rose Brown the managing director...
(Solved)
Hassan Payuka is the proprietor of Parrot Daily Newspaper which published an article
two weeks ago to the effect that Mrs. Rose Brown the managing director of Child Welfare Organisation had embezzled, Sh. 5 million from the organization to purchase a
private residential house for herself and family. Investigations have revealed that Mrs.
Rose Brown bought the house out of a loan of Sh. 6 million advanced to her by East
Bank and secured on the house. Mrs. Rose Brown is aggrieved and seeks your legal
advice.
Advise her.
Date posted:
April 30, 2018
.
Answers (1)
-
Explain the essential elements of negligence.
(Solved)
Explain the essential elements of negligence.
Date posted:
April 30, 2018
.
Answers (1)
-
State the rule in Rylands -vs- Fletcher and explain the exceptions to that rule.
(Solved)
State the rule in Rylands -vs- Fletcher and explain the exceptions to that rule.
Date posted:
April 30, 2018
.
Answers (1)
-
Highlight the reasons that may cause a legacy to fail.
(Solved)
Highlight the reasons that may cause a legacy to fail.
Date posted:
April 30, 2018
.
Answers (1)
-
Explain the duties of a personal representative.
(Solved)
Explain the duties of a personal representative.
Date posted:
April 30, 2018
.
Answers (1)
-
Explain the meaning of the term “Co-ownership” and state the ways in which co-ownership may be terminated.
(Solved)
Explain the meaning of the term “Co-ownership” and state the ways in which co-ownership may be terminated.
Date posted:
April 28, 2018
.
Answers (1)
-
S. a former student at Masaku High School owes the school Sh. 50,000 as fees inarrears. Mr. P. the principal of the school wrote a...
(Solved)
S. a former student at Masaku High School owes the school Sh. 50,000 as fees in
arrears. Mr. P. the principal of the school wrote a demand letter to F. S's father
threatening to sue S if the school fees in arrears was not cleared within seven days. F
approached P and offered to make payment by delivering 30 bags of maize valued at Sh.
30,000. On condition that it would be full and final payment of the debt owed to the
school.
Mr. P accepted the offer and the maize was delivered to the school. Two years later, S
was employed and Mr. P now intends to sue him for the fee balance.
Discuss the legal position of S.
Date posted:
April 28, 2018
.
Answers (1)
-
What is the difference between a condition and a warranty?
(Solved)
What is the difference between a condition and a warranty?
Date posted:
April 28, 2018
.
Answers (1)
-
Highlight the essentials of a contract for the sale of goods.
(Solved)
Highlight the essentials of a contract for the sale of goods.
Date posted:
April 28, 2018
.
Answers (1)
-
Explain the advantages of a private company over a public company.
(Solved)
Explain the advantages of a private company over a public company.
Date posted:
April 28, 2018
.
Answers (1)
-
Describe the ways in which a corporation may be established.
(Solved)
Describe the ways in which a corporation may be established.
Date posted:
April 28, 2018
.
Answers (1)
-
Define the term “delegated legislation” and discuss its advantages and disadvantages.
(Solved)
Define the term “delegated legislation” and discuss its advantages and disadvantages.
Date posted:
April 28, 2018
.
Answers (1)
-
What are the advantages and disadvantages of judicial precedent?
(Solved)
What are the advantages and disadvantages of judicial precedent?
Date posted:
April 28, 2018
.
Answers (1)
-
Distinguish a special agent from a general agent.
(Solved)
Distinguish a special agent from a general agent.
Date posted:
April 28, 2018
.
Answers (1)
-
Outline the general defences available to the occupier against liability to a trespasser.
(Solved)
Outline the general defences available to the occupier against liability to a trespasser.
Date posted:
April 28, 2018
.
Answers (1)
-
Advise an occupier whose employee, a window cleaner was injured when a window
pane was shattered.
(Solved)
Advise an occupier whose employee, a window cleaner was injured when a window
pane was shattered.
Date posted:
April 28, 2018
.
Answers (1)