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Solution Library
Promoters Making Contracts Prior to Company’s Formation and Their Liabilities
Question
Promoters sometimes make contracts prior to the formation of a company. Explain the nature of a promoter’s liability under section 131 of the Corporations Act.
Summary
The question belongs to Law and it discusses about the liabilities of promoters of a company. It has been said in the question that promoters sometimes make contracts prior to the formation of the company. This statement has been discussed in detail in the solution.
Total Word Count 452
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