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Activity III. Counseling

Legal Counseling p.97

Текст Forming a corporation, форма Articles of Incorporation и Reference Material служат источником информации для подготовки ролевой игры “Консультация у юриста”.

Exercise I. Forming a Corporation

Compare the information in the text Corporation p. 96 and the information in the text “Forming a Corporation” p. 97. Use the following chart to mark the results. Some points are done for you.

Information

Text “Corporation”

Text “Forming a Corporation”

Filing an application for registration

+

Filing the Articles of Incorporation

+

+

Forms of the Articles of Incorporation

Information in the Articles of Incorporation

Filing fees

-

Certficate of incorporation / charter

Corporate bylaws

Shareholders’ meeting

Issuance of stock certificates

Obtaining a business license

Obtaining a federal EIN

Exercise II. Articles of Incorporation

A) Vocabulary reference:

undersigned - нижеподписавшиеся

hereby - настоящим

hereunto – вот там

outstanding shares - акции, выпущенные в обращение

common stock - акции первого выпуска

par value - номинал акции

registered office - юридический адрес компании

registered agent - законный представитель

in witness whereof - в подтверждение чего

B) Grammar Reference

SHALL in legal documents has the meaning of high degree of statutory obligation.

(Refer to Grammar Supplement, Modal Verbs p 265 Special Use in Legal documents.)

Exercise III. Reference Material (p.99)

NOTE:

В конце пункта 5. Initial Board of Directors стр. 100 находится ссылка

(You may also use the information from Business File 2 and from the text Corporations in Reading Supplement.)

По ссылке к пункту 5 стр. 100 не следует работать, так как этот материал является основным в следующей теме плана Corporations.

Exercise IV. Grammar focus

Modals can; cannot; may - permission, also modal verbs must and shall - obligation (Grammar Supplement, Modal Verbs.)

Can / May = be allowed to (there is a permission)

Cannot = be not allowed to (no permission)

May – in legal English also means a privilege or right to do smth.

After reading the texts 1-5 check yourself deciding if the right modals or right interpretations of modals are used. Mark the statements True or False

Every state’s corporation division provides certain requirements to the name of the new company which the company may comply with.

You are not allowed use the name which has already been taken by another corporation and which is on file with the corporation office.

You can add abbreviations Corp., Inc. or Ltd. To the name of your corporation.

It’s not allowed to use certain prohibited words in the name of your corporation.

Companies are obliged to obtain business licenses or permits for their activities in the area because they have to comply with the needs and demands of the state.

An applicant must show the authorized number of shares in the Articles of Incorporation in the special article named “Capital Stock”.

After obtaining a corporate charter you are allowed to issue stock certificates to your shareholders.

There is a required necessity to have a Registered Agent who is responsible for dealing with important documents.

It’s not compulsory that the Registered agent has a valid address.

After receiving a charter you as incorporators have the right to elect the initial board of directors.

The initial board of Directors has a privilege to consist of only one director.

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