Negotiable Instruments: Exhaustive Coverage by Adv Roma Bhagat. Register Now!
LCI Learning

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

Rupali Shah   26 April 2023

Can dormant company sue and be sued

Can dormant company file any  civil suit, specifically civil suit for damages?



 7 Replies

P. Venu (Advocate)     26 April 2023

What are the facts? What is the context?

T. Kalaiselvan, Advocate (Advocate)     26 April 2023

 if a dormant company sues or is sued then it may simply cease to be dormant

Requirements to Be Declared As a Dormant Company

There must have been no investigation, inquiry or inspection ordered or carried out against the Company. The Company must not have any secured or unsecured outstanding loan in its name.

Dr J C Vashista (Advocate)     27 April 2023

Section 455 of the Companies Act, 2013 provides:

"Where a company is formed and registered under this Act for a future project or to hold an asset or intellectual property and has no significant accounting transaction, such a company.


*An  Inactive  Company,  may  make  an  application  to  the  Registrar  in  such manner as may be prescribed for obtaining the status of a dormant company."

Who and how did the company has been declared dormant and why does a dormant company wants to sue or who want such company to be sued under the provisions of Companies Rules 2014 ?

Rupali Shah   27 April 2023

UK based dormant company has filed suit in India claiming damages of Rs. 5cr.  In that case how dormant  company made expenses of advocate fees, court fees etc. ? Further in plaint, company has not disclosed that it is dormant company.  incorporation certificate has not been filed on record.

Shashi Dhara   27 April 2023

Defend in court by engaging advocate .

P. Venu (Advocate)     27 April 2023

No definite suggestion is possible unless the plaint is perused and the facts as well the issues discussed.

Sudhir Kumar, Advocate (Advocate)     19 May 2023

Please share facts of the case instead of setting questionpaper for examination

Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register