1. Can a Pvt. Ltd. Co. operate its
Registered Office from a Residential
Area?
Shantanu,
4th Yr.,
NLU Odisha

2. Can a Pvt. Co. Operate from
Residential Area?
• The answer could be yes or no, depending on
the situation.
• Test – what nature of functions its performs?

3. Commercial Activity
• Generally, commercial activities cannot be
operated from residential areas.
• Two reasons:
(i) to provide healthy atmosphere to the
people living in that area; and
(ii) commercial activities in residential areas is
illegal.

4. Exceptions
• Commercial activities like retail shops, clinics,
fitness centers, etc.
• Professional activities like that of doctors,
lawyers, chartered accountants, etc.

5. Master Plan
• It is required to develop the city in a well-
planned manner.
• It identifies the commercial and residential
areas in the city.
• Only 24% of cities in India have Master Plans.
• In others, the authority to decide is with the
Municipal Corporation.

6. Environmental Considerations
• Such commercial Activities are not allowed in
residential premises which may adversely
affect the environment.
• Factors like noise and air pollution, traffic
issues and nature of commercial activity
(hazardous or inflammable) affect the
environment.

7. Thank You