John T. Clark & Co., Ltd Petitioners [1910] ScotLR 154 (10 December 1910)

John T. Clark & Co., Ltd Petitioners [1910] ScotLR 154 (10 December 1910)

The extraordinary resolution was not duly passed as the required three-fourths majority of members entitled to vote and present was not achieved, and the chairman's declaration could not cure this defect. Additionally, the petition was incompetent because the company failed to add 'and reduced' to its name as required by statute.

Citation
[1910] ScotLR 154
Parties
Petitioner: John T. Clark & Company, Limited
Jurisdiction
Scotland
Judgment Date
10 December 1910
Procedural Posture
Petition for Confirmation of Reduction of Capital / Judgment on Petition
Outcome
Petition refused
Legal Topics
Reduction of Capital, Extraordinary Resolution, Statutory Majority, Companies (consolidation) Act 1908
Company Law Reduction of Capital Extraordinary Resolution Statutory Majority Companies (consolidation) Act 1908

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Parties

John T. Clark & Company, Limited

Petitioner

Procedural Posture

Petition for Confirmation of Reduction of Capital / Judgment on Petition

Legal Issues

  1. 1 Whether the extraordinary resolution for reduction of capital was duly passed by the statutory majority as required by the Companies (Consolidation) Act 1908, section 69(1)
  2. 2 Whether the omission to add 'and reduced' to the company name rendered the petition incompetent under section 48 of the Act

Ratio Decidendi

The extraordinary resolution was not duly passed as the required three-fourths majority of members entitled to vote and present was not achieved, and the chairman's declaration could not cure this defect. Additionally, the petition was incompetent because the company failed to add 'and reduced' to its name as required by statute.

Court Disposition

Petition refused

Orders

  • Prayer of the petition refused
  • Company must recommence the process if it wishes to proceed