Trade Mark and Section 297

Rajesh Warrier (Company Secretary) (30 Points)

05 December 2009

Dear Friends.

A Company proposes to assign its registered trade mark in favour of its promoter.

Does this transaction attract Section 297. The Company has a paid up capital of more than Rs. 1 Crore

Regards

Rajesh

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Ajay Mishra (Company Secretary) (74337 Points)
Replied 05 December 2009

Section 297 applicable all contracts other than those mentioned below:

Section 297 does not apply to:

1. Giving or taking loans.

2.Contract in respect of immovable property (as it is not 'good' ).{Letter No. 9/4190-CL-X dated 27.03.1990}.

3.Contract between two public Companies.

4.Contract of employment of director or managing or whole time director.[ Circuler No.8/11/75-CL-V dated 27.03.1975]

5.Contract for employment of relative of director.

6.Contract entered into by the company with the dealer on principle to principle basis. [Circuler No. FM 8/297/56-PR dated 02-08-1956]

7. Professional services of the nature given by firms of solicitors and advocates, etc.[circuler No. 8/11/75-CL-V dated 05.06.1975]

8.hiring of office premises on rent as the transaction is in immovable property. [Department Clarification dated 10-09-1990]

Regards

Ajay

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