Circum- stances in which com- pany ceases to be, or to enjoy
1020
(2) Where two or more persons hold one or more shares in a company jointly, they shall, for the pur- poses of this section. be treated as a single member.
29.-(!) Ti a company, being a private company, alters its articles in such manner that they no longer include the provisions which, under the last foregoing section of this Ordinance, are required to be included in the articles of a company in order to constitute it privileges of, a private company, the company shall, as on the date a private
of the alteration, cease to be a private company and company.
shall, within a period of fourteen days after the said date, deliver to the registrar of companies for registra- tion a prospectus or a statement in lieu of prospectus in the form and containing the particulars set out in the Third Schedule to this Ordinance.
19 & 20 Geo.
5, c. 23, s. 27. "Third Schedule."
Prohibition
on business
with fewer than seven or, in the
case of a private
(2) If default is made in complying with sub-section (1) of this section, the company and every officer of the company who is in default shall be liable to a default fine of five hundred dollars.
(3) Where the articles of a company include the provisions aforesaid but default is made in complying with any of those provisions, the company shall cease to be entitled to the privileges and excruptions con- ferred on private companies under the provisions contained in section thirty, subsection (8) of section one hundred and nine, subsection (1) of section one hundred and twenty nine and paragraph (4) of section one hundred and sixty-three of this Ordinance, and thereupon the said provisions shall apply to the com- pany as if it were not a private company:
Provided that the court, ou being satisfied that the failure to comply with the conditions was accidental or due to inadvertence or to some other sufficient cause, or that on other grounds it is just and equitable to grant relief, may, on the application of the company or any other person interested and on such terms and conditions as seem to the court just and expedient. order that the company be relieved from such con- sequences as aforesaid.
Reduction of Number of Members below Legal Minimum.
30. If at any time the number of members of a of carrying company is reduced, in the case of a private company, below two, or, in the case of any other company, below seven, and it carries on business for more than six months while the number is so reduced, overy person who is a member of the company during the time that it so carries on business after those six months and is cognisant of the fact that it is carrying on business with fewer than two members, members, as the case may be, shall be severally liable for the payment of the whole debts of the com- pany contracted during that time, and toay be severally sued therefor.
company, two members. 19 & 20 Geo. 5, c. 23, s. 28.
Form of
contracts.
19 & 20 Goo 5, c. 23, 8. 29.
Contracts, de.
OP seven
31.--(1) Contracts on behalf of a company may be made as follows:-
(a) A contract which if made between private persons would be by law required to be in writing, and if made according to English law to be under seal, may be made on behalf of the company in writing under the common seal of the company:
(b) A contract which if made between private persons would be by law required to be in writing, signed by the parties to be charged therewith, may be made on behalf of the com- pany in writing signed by any person acting under its authority, express or implied: