Memorandum of Association by Dr. S.M. Jiwankar

1. Dr. Sangita Jiwankar
Associate Professor
Dept of Commerce
Dhanwate National College, Nagpur

2.  MOA & AOA of the company are most important legal document of the
company which provides general information at glance.
 When any company wants to registered itself with the respective ROC, then
they have to make MOA & AOA duly signed by the company heads. It needs
legal advise to make it better.
 Both are basic documents which tells about the company’s objective, capital,
liability etc.
 Primary objective of both the document is to make aware to the investors by
giving such important legal and authentic information at the time of
investment

3.  Memorandum of Association is the most important document of a company. It
state the objects for which the company is formed. It contains the rights,
privileges and powers of the company.
MOA “Memorandum of Association”
 It determines the relationship between the company and the outsiders
 A company cannot undertake any business or activity not stated in the
Memorandum.
“The memorandum of association of a company is the charter and defines
the limitation of the power of the company established under the act”

4. Meaning and definition
 Sec 2(56) of Company Act 2013,” Memorandum of Association of a
company as originally framed or altered from time to time in
pursuance of any previous Companies Law or of this act.”
 According to Cairns, “MOA of company is its charter and defines
the limitation of the powers of the company

5. Purpose of Memorandum
 The prospective investor shall know the avenues where his money is
going to be invested
 Outsiders dealing with the company will know the boundary and
scope of powers of the company

6. Significance of Memorandum
 Fundamental condition upon which the company is allowed to be
incorporated.
 Charter of the company and define the reason for existence.
 Defines the boundary and scope of work of enterprises

7. Printing and signing (rule 13)
 U/S 3(1) of Company Act 2013
 At least seven person in case of public Company
 At least two person in case of private company
 At least one person in case of One Person Company
 Shall be printed. Computer printing is recognized.

8. Form of memorandum
 Table A for Company limited by Shares
 Table B for a Company limited by guaranty and not having share
capital
 Table C for a company limited by guarantee and having share
capital
 Table D for unlimited company but not having share capital
 Table E for unlimited company but having share capital

9. CONTENTS OF MOMERENDUM OF
ASSOCIATION

11. • Undesirable name is to be avoided
a. Identical or near identical name
b. Mislealing
• Prohibition of use of certain names

12. Publication of Name
 Paint or affix its name and address of its registered office
 Name engraved in legible character on its seal
 Along with Corporate Identity Number also mention e-mail
address and also telephone numbers

17.  It contains the names and addresses of the subscribers.
 The subscribers to the Memorandum must take at least one share.
The minimum number of members is two in case of a private
company and seven in case of public company.
SUBSCRIPTION CLAUSE

18. MEMORANDUM OF ASSOCIATION
OF RELIANCE INDUSTRIES LIMITED

19.  This articles of Association is a document that specifies the regulations for
a company’s operations and it defines the company’s purpose and lay out
how tasks are to be accomplished within the organisation in stipulated
time, including the process for appointing directors to maintaining
financial records of the company.
 AOA often identify the manner in which a company will issue stock,
shares, pay dividends and audit financial records and power of voting
rights.
 This set of rules can be considered a user's manual for the company
because they outline the methodology for the accomplishing the day-to-
day transactions that must be completed.
Articles of Association

24. Thanking You…