Corporate Law

Corporate Law

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Changes to the FDI Policy – A New Lease of Life to the ...

India opened up its economy in 1991 and has since considerably eased foreign direct investment (FDI) norms across various sectors of the economy, with a viewpoint of liberalizing the FDI regime in the country. Fast forward to 2019 and the current government, in order to further boost the economy and FDI inflows, has approved certain amendments to the existing FDI policy ("FDI Policy") of the country....
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Adducing Evidence Under Section 34 of the Arbitration A...

It has been well established that proceedings under Section 34 of the Arbitration and Conciliation Act, 1996 (“the Act”) are summary in nature.The scope of enquiry in any proceedings under Section 34 of the Act has been restricted to consider whether any of the grounds mentioned in Section 34(2) or Section 13(5) or Section 16(6) are made out to set aside the award, the grounds for which are specific....
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The Pre-eminence of Morality Clauses in Endorsement Con...

It is a fairly reasonable assumption to make that the famous or rather infamous relationship between law and morality would not apply to the commercial world of contractual arrangements. However, this is where morality clauses rear their heads to question that presumption. The morals or the morality clause, is a contractual provision in a contract or agreement that puts a restriction on certain behaviour emanating not from that person's commercial identity but from their personal life. These clauses tend to veer towards prohibiting behaviour that is frowned upon in society. ...

Companies and their responsibility towards Corporate So...

An application for a patent can be filed by a ‘true and first inventor’, or the inventor’s assignee. In cases where the application is filed by the assignee, the assignee is required to submit a ‘proof of right’, as per Section 7(2) of the Patents Act, 1970 (the “Act”). ...
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Regulating the Unregulated: Stories of OTT Platforms in...

The scope of public internet that started back in the 1980s has grown over the decades. It allows a telecom subscriber to access almost all the services required for information, education and entertainment etc. It has altogether redefined the conventional marketplace. Even personalized services, such as a taxi ride can be accessed on a person’s fingertips. This growth has also brought about a fundamental shift in other spheres including telecom and TV. Earlier, networks used to be built around specific applications, say voice, internet or Pay TV. Voice, message and video content have now been reduced to mere bytes.There has been a rapid proliferation of voice, video and Over-the-top ("OTT") application services being delivered over networks....
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Indian Commercial Real Estate Leases– Points to Ponder

Contractual lease provisions are freely negotiable in India. In the absence of a contract to the contrary, the Transfer of Property Act 1882 ("TOPA") provides for certain rights and liabilities which govern the relationship between the landlord and the lessee.A lease deed is typically drafted by the landlord and thus, may contain several conditions that favour the landlord. It is however important to ensure that an effective commercial lease deed protects the rights of the lessee as well....
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Binding non-signatories to an Arbitration through the g...

It has been well established that consent from parties is a prerequisite to an arbitration.This characteristic of an arbitration ensures that it is only the parties to an arbitration agreement that would be the parties between who arbitration shall commence against. However, over time we have seen different doctrines or legal theories developed such as the group of companies’doctrine, the concept of agency, the reliance theory, that have been used to make a non-signatory a party to an arbitration....
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Shell Companies in India

In the past few years, 'panama' and 'paradise', rather than signalling sunshine and rainbows, have been frequently evoked in the context of the 'shell corporations' which were incorporated in various off-shore tax havens. 'Shell companies' are simply an 'outer cover', 'a protective layer' that frequently have only a paper existence with no real assets, liabilities or operations. They therefore generate no economic activity but do impart separate corporate legal personality to the structure. Various news reports and ministry circulars emphasize the efforts being undertaken to curb the sprouting up and regulating of shell companies in India. However, despite the pro-active measures taken by the Government, sizeable issues remain in the operation, implementation and harmonisation of the same. ...

Amendments to the Laws related to Corporate Social Resp...

On 31st July, 2019, the Companies (Amendment) Act, 2019 ("Amendment Act") received assent of the President of India with a view to bring a robust framework through which the Companies Act, 2013 ("Act") can be implemented. Amongst the various provisions of the Act that have been amended, one such amendment has been made to the Section 135. Section 135, along with other ancillary sections,  Schedule VII of the Act (containing the list of activities that may be included in CSR policies) and the Companies (Corporate Social Responsibility Policy) Rules, 2014 mandate the scope of corporate social responsibility ("CSR") under Indian law....