Contracts and corporate legal

Every company doing business depends on goods and services which are being provided by other companies. So if you get into a disagreement with a client, it can lead to a loss in business, or worse, a costly lawsuit. Signing a vendor agreement in which the terms and conditions between a buyer and a seller are agreed up front, such as product delivery period and payment expectation, makes sure that both the parties are clear about each other and what is expected of them reducing the risk of legal disputes down the road. Some of the key factors for most…

1. Acquisition Of Shares: Acquisitions may be via an acquisition of existing shares of the target, or by subscription to new shares of the target.  A. Transferability Of Shares: Depending upon the entity type, the eligibility and procedure of carrying out this process will change. For instance, maximum membership of private limited company is 200, and transferability of shares is governed by the AoA as guided by the Company Act, 2013. While acquiring shares of a private company, it is therefore advisable for the acquirer to ensure that the non-selling shareholders (if any) waive any rights they may have under…

Let’s take a situation here, say there are two organizations- A and B. A enters a contract with B to outsource tech team. The Contract is a well vetted and very much valid contract drafted by an experienced Lawyer. Now, say the contract was breached by Organization B for some reason. In this article, we will look into the solutions that Organization A has, which basically answers our first question ‘What could be the consequence of breaching an Agreement or Contract in India?' Compensation For Loss Or Damage Caused By Breach Of Contract Organization A who suffers by such breach…

In India, from the business registration point of view, under profit generating business kind, there are 5 major business entity types.  There are quite a number of agreements that come into play based on entity type; on the other hand, there are agreements that will come to play as your business grows. This blog will enlighten you with the different kind of Corporate Agreements and contracts that the company would require during fundraising scenario. #1: Shareholders’ Agreement: Every shareholder, when they trade money for Shares in the company, enters a Shareholder’s agreement.  This contract confers the rights and imposes obligations…

Let me give you a real-life example that inspired me to write on this topic, A is a vendor of B and agrees to sell to B thousand pieces of carton boxes every month for B’s logistic service. There were no specifications of the carton boxes in this contract. This agreement is a void one. B had to send series legal notices to B for quality deterioration, but B couldn’t win the case since the agreement was void. In this blog, we will quickly look into different scenarios under which an agreement is considered not a void one, and is…