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1、Unit 7 formation of corporation,1. In general The formation of corporation is the process that the promoters tries to meet all the requirements in order to obtain the legal personality.,2. The conditions for the formation of corporation,There are only a few requirements for incorporation. The condit
2、ions prescribed by different countries vary, but usually include: a. the corporation shall have qualified and adequate promoters b. the corporation shall have minimum legally required capital c. the promoters shall make the articles of corporation d. the corporation shall have its own corporate name
3、 and corporate structure e. the corporation shall have its corporate domicile,3. Promoters（发起人）,3.1 Definition A person who takes the initiative in developing and organizing a new business venture. 3.2 The activities of promoters a. arrange necessary capital for the corporation b. obtain necessary a
4、ssets and personnel c. arrange the procedures for the formation of the corporation,The certificate of incorporation and its effect,From the date when a companys incorporation form and copies of its memorandum and article, certified to be true copies b a founder member, are registered, the company is
5、 incorporated. The regisrar will issue a certificate certifying that the company is incorporated and, in the case of company whose members have limited liability, that the company is limited.,Restrictions on the choice of name,Normally, no company will be registered by a name which is the name as: a
6、. a name appearing in the Registrars index of company name; b. that of a body corporate established under an ordinance c. the type and case of letters, accents, spaces between letters and punctution marks.,Case 2000年初，某市一有限责任公司开张，登记为“大洋时装有限责任公司”（甲公司），从事服装生产。2000年底，在离甲公司500米处又有另一家公司开业，从事服装销售，登记名称为“大洋
7、服装商贸有限公司”（乙公司）。两家公司名称类似，顾客经常混淆。为此，甲公司向法院提起诉讼，称乙侵犯其名称权。乙公司主张两家名称并非完全相同，行业也不同。甲公司为服装生产加工产业，乙公司为商品零售产业，否认自己侵权。 Questions 乙公司是否构成对甲公司名称权的侵犯？,4. Articles of association（公司章程）,4.1 introduction Articles of incorporation, frequently called “corporate charter: or “certificate of incorporation,” are at the he
8、art of the incorporation process. They must be filed with the company registration authority in order to provide certain key information to the government and to any party dealing with the corporation.,4.2 the memorandum of association（公司大纲）,Another constitutional documents of a corporation in UK an
9、d Hong Kong is memorandum of association. The memorandum of association contains the name of the corporation, the registered office, the objects of the corporation, the liability of its members and the amount and division of shares with which the corporation proposes to be registered, while the arti
10、cles prescribe regulations for the internal management of the corporation. In UK and Hong Kong, a corporation has both memorandum and articles, while in US, these two have been combined in one document, articles of association.,5. Business scope of corporation (the objects clause),5.1 in general The
11、 corporations business scope shall be defined in its articles of association and shall be registered according to law. 5.2 the change of business scope The corporation may change its business scope by modifying its articles of association, but shall go through the formalities for modifying the regis
12、tration.,5.3 transactions beyond business scope,a. in China (1) the transaction is effective if it needs no special permission from the government (2) the transaction is not effective if it needs special permission,b. in United States and England: (1) in history, its not effective due to the princip
13、le of Ultra Vires (越权无效原则） Historically, an act of a corporation beyond its powers was a nullity, as it was ultra vires, which is Latin for “beyond the powers”. Therefore, any act not permitted by the corporation statute or by the corporations articles of incorporation was void due to lack of capaci
14、ty.,Ashbury railway Carriage and Iron Co Ltd v. Riche A corporation was incorporated with the following objects: to make, sell, or hire railway carriages and wagons; to carry on the business of mechanical engineers and general contractors; and to purchase, lease, work, and sell mines, minerals, land
15、 and buildings. The Directors contracted to purchase a concession to build a railway in Belgium and to provide Riche with finance for the construction of the railway. It was held that the contract was ultra vires and void.,(2) nowadays, its usually effective Today, the ultra vires doctrine is of sma
16、ll importance for two reasons. First, nearly all corporations have broad purpose clauses, thereby preventing any ultra vires problem. Secondly, most statutes do not permit a corporation or the other party to an agreement to avoid an obligation on the ground the corporation action is ultra vires.,200
17、3年6月，深圳某外贸公司向原告表示能介绍出口到俄罗斯的业务，但要求原告必须办理GOST认证，同时推荐被告为原告办理。此前原告的产品从未出口到俄罗斯，但俄罗斯广阔的市场需求对原告极具诱惑，为了能作成这笔生意，原告和被告就GOST认证一事于2003年6月24日签订合同，原告为委托方，被告为认证方，认证费用为58000元。该合同是被告提供的格式合同，根据合同条款，作为认证方的被告应做到：1、严格按照俄罗斯产品质量认证方面的法规和国际准则，审查原告的产品质量是否符合俄罗斯检测标准；2、在收到原告交付的费用后，及时组织实施有关的产品认证活动；3、被告在作出认证评定结论后，应及时办理是否批准原告取得认证注册资格的手续。合同签订后，原告向被告支付了58000元认证费用，可不久后的7月12日，深圳特区报B1版以很大的篇幅报道了被告进行“黑认证”并与其他外贸公司涉嫌唱“双簧”骗取钱财被国家认鉴委等部门查处。看到这则报道后，原告十分震惊，方知被告根本不具备认证的主体资格，其营业范围没有认证业务。知道上当后，原告急忙向法院提起诉讼，要求被告退回58000元的认证费用。,
