Amended and updated notes on section 20 of Companies Act 2013. Detail discussion on provisions and rules related to service of documents.
Chapter II (Sections 3–22) of the Companies Act, 2013 (CA 2013) deals with the provisions related to incorporation of company and matters incidental thereto. Section 20 of CA 2013 provides for service of documents.
Recently, we have discussed in detail section 19 (Subsidiary company not to hold shares in its holding company) of CA 2013. Today, we learn the provisions of section 20 of Companies Act 2013 read with the Companies (Incorporation) Rules, 2014.
Section 20 of the Companies Act, 2013 has been notified by the Ministry of Corporate Affairs (MCA) vide Notification No. S.O. 902(E) issued dated 27.03.2014. This notification was come into force from 1st April, 2014 i.e. the commencement date of section 20 is 1-4-2014.
| 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. | II |
| Chapter Name | Incorporation of Company and matters incidental thereto |
| Section No. | 20 |
| Section Name | Service of documents |
| Monthly Updated Edition | Company Law PDF |
Section 20 of Companies Act 2013: Service of documents
Section 20 shall come into force on 1st April, 2014 vide Notification No. S.O. 902(E) issued dated 27.03.2014.
(1) A document may be served on a company or an officer thereof by sending it to the company or the officer at the registered office of the company by registered post or by speed post or by courier service or by leaving it at its registered office or by means of such electronic or other mode as may be prescribed:
Provided that where securities are held with a depository, the records of the beneficial ownership may be served by such depository on the company by means of electronic or other mode.
(2) Save as provided in this Act or the rules made thereunder for filing of documents with the Registrar in electronic mode, a document may be served on Registrar or any member by sending it to him by post or by registered post or by speed post or by courier or by delivering at his office or address, or by such electronic or other mode as may be prescribed:
Provided that a member may request for delivery of any document through a particular mode, for which he shall pay such fees as may be determined by the company in its annual general meeting.
Explanation: For the purposes of this section, the term ‘‘courier’’ means a person or agency which delivers the document and provides proof of its delivery.
See Rule 35 of the Companies (Incorporation) Rules, 2014 for mode for serving the documents.
Exception/ Modification/ Adaptation:
In case of Nidhis, sub-section (2) of Section 20 shall apply subject to the modification that in the case of a Nidhi, the document may be served only on members who hold shares of more than one thousand rupees in face value or more than one per cent. of the total paid-up share capital of the Nidhis whichever is less.
For other shareholders, document may be served by a public notice in newspaper circulated in the district where the Registered Office of the Nidhi is situated; and publication of the same on the notice board of the Nidhi. – Notification No. G.S.R. 465(E) dated 5th June, 2015.