QUESTION ONE

Explain any three advantages of incorporation

Analyse the circumstances under common law in which the veil of incorporation will be lifted.

Explain the validity of pre-incorporation contracts under common law and Act 179 of 1963

QUESTION TWO

(a) Describe the circumstances in which directors of a company may bindthe company to a contract with a third party.

(b) What relevance does the capacity of the company have to the companys shareholders, to the liability of the directors to the company, or to third parties dealing with the company?

QUESTION THREE

With reference to ACT 179 and judicial precedents,

Explain the four main duties of a promoter

Summarize the common law duties of directors of limited liability companies

Mention three effects of a regulation of a company when registered under ACT 179 of 1963.