Amended and updated notes on section 103 of Companies Act 2013. Detail discussion on provisions and rules related to quorum for meetings.
Chapter VII (Sections 88–122) of the Companies Act, 2013 (CA 2013) deals with the provisions related to management and administration. Section 103 of CA 2013 provides for quorum for meetings.
Recently, we have discussed in detail section 102 (Statement to be annexed to notice) of CA 2013. Today, we learn the provisions of section 103 of Companies Act 2013 read with the Companies (Management and Administration) Rules, 2014.
Section 103 of the Companies Act, 2013 has been notified by the Ministry of Corporate Affairs (MCA) vide Notification No. S.O. 2754(E) issued dated 12.09.2013. This notification shall come into force from 12th September, 2013 i.e. the commencement date of section 103 is 12-09-2013.
| Name of Act | The Companies Act 2013 |
|---|---|
| Enacted by | Parliament of India |
| Administered by | Ministry of Corporate Affairs (MCA) |
| Number of Chapters | 29 |
| Number of Sections | 484 (470-43+57) |
| Number of Schedules | 7 |
| You are reading: | |
| Chapter No. | VII |
| Chapter Name | Management and Administration |
| Section No. | 103 |
| Section Name | Quorum for meetings |
| Monthly Updated Edition | Company Law PDF |
Section 103 of Companies Act 2013: Quorum for meetings
Section 103 shall come into force on 12th September, 2013 vide Notification No. S.O. 2754(E) dated 12.09.2013.
(1) Unless the articles of the company provide for a larger number, —
- (a) in case of a public company, —
- (i) five members personally present if the number of members as on the date of meeting is not more than one thousand;
- (ii) fifteen members personally present if the number of members as on the date of meeting is more than one thousand but up to five thousand;
- (iii) thirty members personally present if the number of members as on the date of the meeting exceeds five thousand;
- (b) in the case of a private company, two members personally present, shall be the quorum for a meeting of the company.
(2) If the quorum is not present within half-an-hour from the time appointed for holding a meeting of the company—
- (a) the meeting shall stand adjourned to the same day in the next week at the same time and place, or to such other date and such other time and place as the Board may determine; or
- (b) the meeting, if called by requisitionists under section 100, shall stand cancelled:
Provided that in case of an adjourned meeting or of a change of day, time or place of meeting under clause (a), the company shall give not less than three days notice to the members either individually or by publishing an advertisement in the newspapers (one in English and one in vernacular language) which is in circulation at the place where the registered office of the company is situated.
(3) If at the adjourned meeting also, a quorum is not present within half-an-hour from the time appointed for holding meeting, the members present shall be the quorum.
Exception/ Modification/ Adaptation:
1) In case of Private company, section 103 shall apply unless otherwise specified in this section or the articles of the company provide otherwise. – Notification No. G.S.R. 464(E) dated 5th June, 2015.
2) Section 101 shall apply in case of a Specified IFSC public company, unless otherwise specified in the articles of the company. –Notification No. G.S.R. 08(E) dated 4th January, 2017.