How does corporate law classify the role

Assignment Help Other Subject
Reference no: EM13327787 , Length: 1500 Words

Question One

John is the factory manager of Alpha Ltd, a company that manufactures computer keyboards. John is absent on annual leave when Mickey visits the factory. Mickey is a sales representative for Solder Ltd a supplier of soldering equipment. Mickey asks the receptionist for the factory manager but as John is absent, Harry (a clerk in the factory office) is called to reception.

Harry just introduces himself by his name. Mickey informs Harry about his company's products and Harry is so impressed he places an order for a large number of soldering irons.

The soldering irons are delivered after John returns from leave and he immediately rejects them as the manufacturing process is soon to be automated using robots. Solder Ltd is informed that there is no agreement as Harry did not have authority to enter into the contract on behalf of Alpha Ltd.

REQUIRED:

Analyse and discuss the above facts examining the possibility that the contract may or may not be enforceable. Your answer should include an analysis of any types of authority that could be relevant to these facts and any cases or sections of the Corporations Act that would be applicable.

Question Two

Larry is instructed by his employer Huge Ltd, to register a company which is to sell educational assistance to commerce students. Larry is to become Managing Director of the new company. Before the new company (Lifesaver Pty Ltd) is registered, Larry signs a purchase agreement on behalf of the proposed company to buy educational equipment.

Lifesaver Pty Ltd is later registered and at its first directors' meeting the ratification of Larry's purchase is considered. The other directors consider the equipment Larry purchased is unsuitable and refuse to approve the transaction.

REQUIRED:

(a) How does corporate law classify the role undertaken by Larry leading up to the registration of Lifesaver Pty Ltd?  What are the duties that such a person owes and to whom are they owed?

(b) What is the effect on Larry, and on Lifesaver Pty Ltd, if the directors decide not to ratify Larry's lease.

(c) Describe the sources from which a company of Lifesaver's type can raise funds. In your answer include any limitations that the Corporations Act imposes on proprietary company fundraising.

(d) What additional fundraising opportunities would be available if the company was "Lifesaver Ltd"?

Question Three

Figment Ltd wishes to raise $11 million through a share issue but does not want to prepare a prospectus. The company secretary has advised the board of directors that to raise such a large amount of money, the company has no alternative but to prepare a disclosure document which is the same as a prospectus. Discuss the company's options and in your discussion include whether the company secretary's advice is correct. Use the CA to support your answer.

Verified Expert

Reference no: EM13327787

Questions Cloud

What magnitiude of acceleration does it have : Two forces, 375 N at 11deg and 323 N at 25deg are applied to a car in an effort to accelerate it. If the car has a mass of 3730kg, what magnitiude of acceleration does it have
Would prototyping have helped the primis team : What kinds of questions might McGraw-Hill have asked as part of determining the feasibility of the Primis idea? Be sure to address the needs of the organization, end users (sales reps., faculty, students), IT specialists, and the groups involved i..
What is the present value of bond that matures in 2 years : What's the present value of a $1,000 bond that matures in 2 years and pays coupons at the rate of 2% per eyar> ( one coupon every 6 months) Assume that the risk free interest rate is 3% throughout the 3 year period.
Explain the two methods for advantages and disadvantages : Does GLC analysis allow you to skip the IR analytical method? Compare the two methods for advantages and disadvantages.
How does corporate law classify the role : How does corporate law classify the role- prepare a disclosure document which is the same as a prospectus. Discuss the company's options and in your discussion include whether the company secretary's advice is correct
Explain a black precipitate remaining from the seperation : A black precipitate remaining from the seperation of Cr^3+ and Fe^2+ ions is dissolved in HCl and HNO3. Some NH3 is added, followed by several drops of dimethylglyoxime. (a). A colorless solution results, What do you think happened.
Find what is the simple interest rate for the account : Starting with $2,000 on March 3, you deposit $500 23 days from March 3, withdraw $800 69 days from March 3, and deposit $600 121 days from March 3. If your final balance is $2,458 150 days from March 3
Perform a variance analysis of the massage : Suppose you are the senior controller for Spine Line and you plan to perform a variance analysis of the massage chairs manufactured to determine if the standards are being met.
What is the total amount of interests for 20 years : You take a $5,000 loan with an interest rate of 10% and pay off a constant principal portion of $200 every year. Use the arithmetic progression.

Reviews

Write a Review

Other Subject Questions & Answers

  Cross-cultural opportunities and conflicts in canada

Short Paper on Cross-cultural Opportunities and Conflicts in Canada.

  Sociology theory questions

Sociology are very fundamental in nature. Role strain and role constraint speak about the duties and responsibilities of the roles of people in society or in a group. A short theory about Darwin and Moths is also answered.

  A book review on unfaithful angels

This review will help the reader understand the social work profession through different concepts giving the glimpse of why the social work profession might have drifted away from its original purpose of serving the poor.

  Disorder paper: schizophrenia

Schizophrenia does not really have just one single cause. It is a possibility that this disorder could be inherited but not all doctors are sure.

  Individual assignment: two models handout and rubric

Individual Assignment : Two Models Handout and Rubric,    This paper will allow you to understand and evaluate two vastly different organizational models and to effectively communicate their differences.

  Developing strategic intent for toyota

The following report includes the description about the organization, its strategies, industry analysis in which it operates and its position in the industry.

  Gasoline powered passenger vehicles

In this study, we examine how gasoline price volatility and income of the consumers impacts consumer's demand for gasoline.

  An aspect of poverty in canada

Economics thesis undergrad 4th year paper to write. it should be about 22 pages in length, literature review, economic analysis and then data or cost benefit analysis.

  Ngn customer satisfaction qos indicator for 3g services

The paper aims to highlight the global trends in countries and regions where 3G has already been introduced and propose an implementation plan to the telecom operators of developing countries.

  Prepare a power point presentation

Prepare the power point presentation for the case: Santa Fe Independent School District

  Information literacy is important in this environment

Information literacy is critically important in this contemporary environment

  Associative property of multiplication

Write a definition for associative property of multiplication.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd