ExpertEasy1 markMultiple Choice
ACCA · Question 39 · Corporate and Business Law
Is a private limited company legally required to appoint a company secretary under the Companies Act 2006?
Is a private limited company legally required to appoint a company secretary under the Companies Act 2006?
Answer options:
A.
Yes, all companies must have a secretary.
B.
No, it is optional for private companies.
C.
Yes, but only if the company has more than one director.
D.
No, neither private nor public companies require a secretary.
How to approach this question
Recall the deregulation introduced by the Companies Act 2006 for private companies.
Full Answer
B.No, it is optional for private companies.✓ Correct
Under Section 270 of the Companies Act 2006, a private limited company is no longer legally required to have a company secretary, although it may choose to appoint one. Public companies (PLCs), however, must have a suitably qualified company secretary.
Common mistakes
Applying the PLC rule to private companies.
Practice the full ACCA LW — Corporate and Business Law Practice Exam 4
60 questions · hints · full answers · grading
More questions from this exam
Q01AgriGrow Ltd, a large-scale agricultural technology firm, is pursuing a complex breach of contrac...MediumQ02In the context of judicial precedent, the Court of Appeal (Civil Division) is generally bound by ...MediumQ03Under the Human Rights Act 1998, what action must a UK court take if it finds that a piece of pri...MediumQ04QuantumLeap Tech, a startup, displays a highly specialized server rack on its website with a pric...MediumQ05A cross-border logistics company, TransGlobal Freight, urgently asks an independent consultant to...Hard