Question
Give information about One Person Company.

Answer

  • In Companies Act $1956$ there was no provision of one person company. The Act was amended in $2013$ and implemented on $1-4-2014.$
  • According to new amended company act, One Person Company can be formed. One Person Company is a private company in which there is only one member.
  • Company can do contract with the member who manages the company. Written consent of a person is required. At the time of incorporation of a company, along with memorandum is to be presented before the registrar of company.
  • If the person dies or becomes insane or insolvent, or incompetent to do contract then the name of the successor who is to manage the company is to be mentioned.

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