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92 A company by special resolution can alter or add to its articles

A company by special resolution can alter or add to its articles

In Section 31(1), the Act provides that a company may by special resolution alter or add to its articles, subject to this Act and to any conditions in its memorandum. The Act provides that any alteration is as valid as if it is originally contained in the articles itself, Section 31(2). However, there are provisions which restrict such alteration. Under Section 33(3), a member is not bound by an alteration made after the date on which he or she became a member so far as the alteration:

1. Requires him/her to take more shares than the number held at the date of alteration.

2. Increases his/her liability as at the date of the alteration to contribute to the share capital of the company.

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A company by special resolution can alter or add to its articles Copyright © 2011 by Wawasan Open University. All Rights Reserved.

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