CORP · S01Introduction of the SubjectAsked in 3 of 7 papers (Dec ’23, Jun ’24, Jan ’25)
Under the Companies Act, 2013: Land is conveyed to an incorporated company. Its sole shareholder says that owning all the shares means the shareholder personally owns the land and must sue over a trespass in the shareholder's own name. Under section 9, which statement is best?
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AThe shareholder owns the land directly because a sole shareholder and the company are always the same legal person.
BThe company owns the land and may sue in its own name.
CThe land becomes ownerless until the company has at least two shareholders.
DOnly a director can own property conveyed to a company, so title passes automatically to the board.
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