Gratuity

Definition: Gratuity implies a sum paid to the employee by the employer organization as a form of gratitude, for the services rendered by him/her to the company, over the years. It is given under the Payment of Gratuity Act, 1972. Gratuity is payable to an employee when the employment is terminated, and the completed years…

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Limited Liability Partnership (LLP)

Definition: LLP is an acronym for Limited Liability Partnership, which is an emerging form of business organization. It incorporates the features of a Partnership and Body Corporate, as in low compliance cost while allowing the flexibility of a general partnership in terms of internal structure. In finer terms, LLP is the hybrid form of a…

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Deed

Definition: A deed is a formal and dignified instrument. In general, it refers to any document by which two or more parties agree to put into force any right or liability. For instance: Gift Deed, Partnership Deed, Trust Deed, Deed of Family Settlement, Mortgage Deed, Lease Deed, Sale Deed, etc. In law, a deed is…

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Minutes

Definition: Minutes, otherwise called as the Minutes of Meeting (MoM) is the immediate comprehensive written account of the meeting, explaining the business transacted at the meeting. It comprises of accurate and fair notes of the proceedings that happened at the meeting. Contents of Minutes The contents of the minutes are divided into two categories: General…

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Annual General Meeting (AGM)

Definition: Annual General Meeting, shortly referred to as AGM, is the compulsory yearly formal get together of the company’s shareholders held to transact lawful business. It is a significant event organized by the company every year to discuss the activities, strategies and performance with its shareholders. As per the Companies Act, 2013 every company whether…

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Fraud

Definition: In general, fraud refers to wrongful deception committed intentionally, by using unfair means such as trick or lying, in an attempt to secure a financial gain or to unlawfully deprive the other party of the money, property or legal rights. In contract law, fraud is one of the elements which vitiates free consent of…

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Undue Influence

Definition: Undue Influence can be described as the practice of affecting the will of the other person by the use of the relation existing amidst the parties. Further, to employ undue influence one party has to be dominant and the other being weaker, so as to use the position to get an unfair benefit over…

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Coercion

Definition: Coercion is the primary element that vitiates free consent of the party. It refers to the method of inducing another party to act in a certain manner, which is against their will. In coercion, one party commits or threatens to commit an act which is not permissible under the Criminal Code. It also covers…

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Prospectus

Definition: Prospectus is an offer document or information brochure issued by a public company used for inviting offers from the general public for subscribing the shares. It contains all the material information as to the price and number of shares/convertible shares being offered for sale to the public, which helps the investors to take a…

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Consideration

Definition: In common parlance, consideration refers to something paid to someone in return for something else. In legal terminology, it can be understood as the price or compensation which has to be paid by the promisee to the promisor for doing or not doing an act. Consideration is necessary for a valid contract, in the…

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