The water pipeline of a reputed hotel company ruptured due to accidental damage Immediate bids were ...........

Companies Act-Phase (I & II) Board-powersandMeetings

The water pipeline of a reputed hotel company ruptured due to accidental damage. Immediate bids were obtained from repair contractors; a heavy financial outlay was expected. The BM needs to be called urgently to select a contractor or else the business suffers loss of reputation and payment of compensation to clients. Can an urgent BM be held with a shorter Notice being given?

Yes

Notice for a shorter period can be given and Independent Director (if any) shall be present at BM OR ratify the decisions taken thereat by circulation.

Yes, BM can be held without notice also but Independent Director (if any) shall be present at BM OR ratify the decisions taken thereat by circulation.

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Explanation:

Meeting can be called at shorter notice if atleast one independent director, if any, in the company, shall be present at the meeting and in case of absence of independent directors from such Board meeting, decisions taken at such a meeting shall be circulated to all the directors and shall be final only on ratification.