Thursday, June 21, 2012

Evaluate the legal position of a company secretary

Hello dear friends here you will get Evaluate the legal position of a company secretary. The post of the company secretary is created and defined by the companies Act. Thus company secretary has legal position in the company.

In the companies Act and in verdicts of different cases legal position of a company secretary have explained in the following manner:

1. Officer of the company: According to section of the companies act. 1994 secretary is an ‘officer’ of the company.

2. Servant of the company: in the case ‘Barnet Hoars & Co. vs. South London Tramways Co.’ the honorable judge treated secretary as a servant of the company. The secretary as a servant will perform under the supervision of the Board of Directors.

3. Agent of the company: If the Board of Directors delegates authority then the secretary can act as an agent of the company. As an agent the company secretary can negotiate with third parties regarding signing of agreement.

4. Coordinator of the company: A company secretary also acts as a coordinator. The secretary maintains link between concerned parties.

5. Adviser of the company: Having detail knowledge in commerce and company affairs the secretary play vital role in providing expert advice to the top management.

From the above discussion it is clear that, the legal position of a company secretary can be viewed form different dimension.