Legal Question in Legal Ethics in Malawi

Fersons Limited is private company limited by shares that was incorporated on 1st December, 1988. It had a share capital of MK500, 000 with each share going for MK1. It is stated in the Memorandum of Association that the subscribers were the Late Joseph Ferreira and his wife then, Lorraine Ferreira. They both had one unpaid share. On the 10th August 2009 the plaintiff gave notice that she wanted to dispose her share, but the company told her that she had no share with the Company.

The plaintiff wants the court to determine if she really is a shareholder or not. Further claims include that she wants the company to rectify the Company�s register and indicate that she still holds a share; a declaration that she has not disposed of her share and that the Defendant company has not disposed of it 499,998 shares.


Asked on 7/18/13, 10:12 am

1 Answer from Attorneys
Fca Prashant Chavan Expert Edge LLP

18.07.2013

Fersons Limited may have been incorporated in Malaysia, but it is necessary that the subscribers (by the very meaning of the word) Late Joseph Ferreira and his wife Lorraine Ferreira held paid shares of 1 Malaysian Ringit each in the Company. The vital fact is that Lorraine needs to produce the Share Certificate issued by the Company in her name and her late husband's name to the Court, and not the other way around. If she cannot furnish evidence, her claim is baseless and the case is dismissed off by the Court without costs.

Regards,

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Answered on 7/18/13, 10:25 am


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