Rights of a Member:
1. Right to obtain the share certificate from the company.
2. Right to have his name entered in the register of members.
3. Right to transfer his securities (subject to the restrictions contained in the articles and the Act.
4. Right to receive the notice of general meetings, attend the general meetings and vote thereat.
5. Right to receive the dividend, where a dividend is declared by the company.
6. Right to apply to the Court seeking an injunction restraining the directors from paying dividend out of capitals.
7. Right to inspect and obtain extracts and copies of the registers and indices of members, debenture-holders and other security holders, and annual returns.
8. Right to obtain copies of Memorandum and Articles.
9. First right to have the shares offered to him in case of further issue of shares.
10. Right to apply to the Court to set aside any variation in the rights attached to any class of shares.
11. Right to give a special notice so as to move a resolution requiring special notice.
12. Right to receive a copy of special notice when special notice is served on the company.
13. Right to obtain a copy of the minutes of the general meeting.
14. Right to requisition an Extra-ordinary General meeting (EGM) of the company.
15. Right to vote at a general meeting in respect of any matter requiring an ordinary resolution or a special resolution.
16. Right to vote by means of electronic mode in respect of any matter requiring an ordinary resolution or a special resolution.
17. Right to vote by postal ballot when a resolution is put to vote by the company by way of postal ballot.
18. Right to obtain copies of profit and loss account, balance sheet, auditor’s report and other documents.
19. Right to make an application to the Company Law Board seeking an order for calling the AGM.
20. Right to make an application to the Company Law Board seeking an order for calling an EGM.
Liabilities of a Member:
1. Companies limited by shares: Companies limited by shares are the most common and may be a public company or a private company, where the liability of members of a company is limited to amount unpaid on the shares.
2. Companies limited by guarantee: In this type of companies liability of members of a company is limited to a fixed amount which members undertake to contribute to the assets of company in the event of its being would up.
3. Unlimited companies: Unlimited companies are those companies without limited liability. Section 3 specifically provides that any 7 or more persons (2 or more in case of a private company) may form an incorporated company, with or without limited liability.