Syllabus Ref

Contents

Level

Learning Outcome

Introduction to the Legal System Sources and process of legislation 1 Sources of law and an introduction to the Constitution of Pakistan 1 LO 1.1.1: Briefly describe sources of law in Pakistan LO 1.1.2: Describe the basic structure of the constitution of the Islamic Republic of Pakistan 1 LO 1.2.1: Define legislation and describe its forms. LO 1.2.2: Briefly describe the process of legislation as per the Constitution. LO 1.2.3: Identify the structure of the courts in Pakistan .

Process of legislation and legal system in Pakistan

Mercantile law Contract Act 1872 1 All sections 2 LO 2.1.1: Discuss the provisions of the act with respect to the following and demonstrate comprehension in simple scenario based problems) communication, acceptance and revocation of proposals

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Syllabus Ref

Contents

Level

Learning Outcome contracts, voidable contracts and void agreements Contingent contracts performance of contracts breach of contract indemnity and guarantee bailment and pledge contract of agency

Partnership Act 1932 1 2 Chapter I Preliminary Chapter II - The nature of partnership 2 2 LO 2.2.1: Dene the terms LO 2.3.1: Understand and describe the partnership relationship and its creation and identify which mode determines existence of a partnership. LO 2.4.1: Determine the rights and duties of partners of the rm over property of the rm in given situations. LO 2.5.1: Describe the relationship of partners with third parties. LO 2.5.2: Identify the implied authority of the partner in relation to third parties, liability of a partner for acts of the rm and liability of the rm for wrongful acts of a partner in given situations. LO 2.5.3: Identify the rights and liabilities of a minor admitted to the benets of partnership:

Chapter III - Relations of partners to one another Chapter IV - Relations of partners to third parties

Negotiable Instruments Act 1881 1 Denitions and meanings (Section 1 to 25) Discharge of liability (Section 82 to 90) Provisions relating to cheques (Section 122A to 131C) LO 2.6.1: Dene and explain terms. LO 2.6.2: Explain types of negotiable instruments. LO 2.7.1: Identify how the maker of a negotiable instrument is discharged from his liability under given scenarios. LO 2.8.1: Describe crossing of cheques LO 2.8.2: Differentiate between a cheque crossed generally and a cheque crossed specially and their payment modes.

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Syllabus Ref

Contents

Level

Learning Outcome

Companies Ordinance 1984 Preliminary and incorporation (Sections 1 to 51) 1 Definitions (Section 2) 1 LO 3.1.1: Define the terms which are relevant to the areas covered in the syllabus LO 3.2.1: Explain subsidiary and holding company and when a company becomes a subsidiary or holding company of another company. LO 3.2.2: Apply the concept of subsidiary in simple scenarios. 3 Powers and functions of the Commission (Section 12) Memorandum of association (Section 15 to 25) 1 LO 3.3.1: Demonstrate familiarity with the powers and functions of the Commission. LO 3.4.1: Describe the memorandum of association and state its purpose. LO 3.4.2: List the clauses of memorandums of association of various types of companies. LO 3.4.3: Describe the purpose and procedure of alteration to different clauses of a memorandum of association. 5 Articles of association (Section 26) 2 LO 3.5.1: Define the articles of association and state its purpose. LO 3.5.2: State the information which should be contained in the articles of various companies. 6 Registration of memorandum and articles of association (Section 30 to 36) 2 LO 3.6.1: Describe the procedure of registration of the memorandum and articles of association LO 3.6.2: Describe the effects of registration of the memorandum and articles of association. 2 LO 3.7.1: Describe with examples the prohibitions with regard to the selection of the name of a company. LO 3.7.2: Identify the actions and procedures needed to be taken by company and registrar, if a company is registered by a prohibited name.

Meaning of "subsidiary" and "holding company" (Section 3)

Provisions with respect to names of companies (Section 37 to 41)

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Syllabus Ref

Contents Association not for prot (Section 42) Companies limited by guarantee (Section 43)

Level 1 1

Learning Outcome LO 3.8.1: Comprehend the nature of association not for prot. LO 3.9.1: Understand the provisions regarding divisible prot and dividing the undertaking into shares or interest. LO 4.1.1: Dene a prospectus and explain its purpose. LO 4.1.2: Understand the requirements relating to a prospectus as laid down in Section 52, 53 (1), (5) and (8) LO 4.1.3 Describe the matters that are to be specied in a a prospectus as required under clause 1 to 7 and 17, 18 19, 24, 26 and 27 of Section 1 of Part I of Second Schedule. LO 4.1.4: Describe the reports that are to be included in a prospectus as required under Section 2 of Part I of Second Schedule. LO 4.1.5: Understand the provisions regarding statement and consent of expert.

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Allotment of shares, registration of charge etc. (Sections 52 to 136) 1 Prospectus, allotment, issue and transfer of shares and debentures, deposits, etc. (Section 52 to 57) 1

Share capital and debentures (Section 89 to 95 and 108)

LO 4.2.1: Describe the nature of shares and share certicates LO 4.2.2: Describe the classes and kinds of shares LO 4.2.3: Describe with simple example the condition of fully paid shares. LO 4.2.4: State with simple examples the kinds of alterations can be made to the share capital. LO 4.2.5: State the rules on prohibition of purchase of a companys own or its holding companys shares. LO 4.2.6: Understand the meaning of variation of shareholders right. LO 4.2.7: Demonstrate familiarity with the procedure for cancellation of variation of shareholders right.

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Syllabus Ref

Contents Registration of mortgages, charges etc. (Section 121, 129, 132 and 136)

Level 1

Learning Outcome LO 4.3.1: Discuss the meaning of mortgage/charge with simple examples, and the duty of company and the procedure for registration of charges. LO 4.3.2: State the right of an interested party in respect of a registration of mortgage/charge. LO 4.3.3: State the duty and procedure of payment or satisfaction of mortgage/charge. LO 4.3.4: Demonstrate familiarity with the right to inspect the instrument creating a mortgage/charge. LO 4.3.5: Discuss the consequences of registered and unregistered mortgages/charges.

Management and administration (Sections 142 to 204A) 1 Registered office, publication of names etc. (Section 142 to 145) Commencement of business by a public company (Section 146) 2 LO 5.1.1: Discuss with simple examples the provisions with regard to having a registered office, publication of name and publication of paid-up capital. LO 5.2.1: State the conditions to be fulfilled before commencement of business by a company. LO 5.2.2: State the applicability and non-applicability of the conditions on different kinds of company. 3 Meeting and proceedings (Section 157 to 173) 1 LO 5.3.1: State the timing, matters and reports relating to statutory meetings. LO 5.3.2: State the timing, matters and reports relating to an annual general meeting using simple examples. LO 5.3.3: State who can call an annual general meeting. LO 5.3.4: State the timing, matters and reports relating to an extraordinary general meeting LO 5.3.5: State who can call an extraordinary general meeting. LO 5.3.6: State the quorum for a general meeting

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Syllabus Ref

Contents

Level

Learning Outcome LO 5.3.7: State the entitlement of a member in respect of appointment of proxy and conditions applicable thereon. LO 5.3.8: Describe the provisions relating to minutes of meetings

Directors (Section 174 to 197A)

LO 5.4.1: Explain and apply in given scenarios, the legal provision with respect to directors: Eligibility Number Elections Vacation of ofce Powers, duties and liabilities LO 5.4.2: State the legal restrictions on a company with reference to loans to directors

Chief executive (Section 198 to 204A)

LO 5.5.1: Explain the appointment of rst chief executive and subsequent chief executives using simple examples. LO 5.5.2: State the conditions applicable on appointment, removal, engagement in any business LO 5.5.3: State the provisions relating to appointment of a secretary

Investments, accounts etc. (Sections 208 to 251) 1 Investment in associated companies and undertakings (Section 208) Investment of companies to be held in its own name (Section 209) Disclosure of interest by directors (Section 214) 2 LO 6.1.1: Describe the conditions applicable to a company for making investment in associated companies and undertakings. LO 6.2.1: Discuss with simple examples as to how a company can hold its investment in names other than its own name. LO 6.3.1: Explain the requirements of disclosure of interest by director in contract / arrangement entered into by or on behalf of the company.

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Contents Interest of other officers etc. (Section 215)

Level 1

Learning Outcome LO 6.4.1: Explain the requirements of disclosure of interest by officers in contract / arrangement entered into by or on behalf of the company. LO 6.5.1: Describe the participation of interested director in the proceedings of directors in contract / arrangement entered into by or on behalf of the company LO 6.6.1: List the books of accounts to be kept by company LO 6.6.2: Explain the major requirements with respect to the annual accounts and the balance sheet. LO 6.6.3: Describe the contents of a directors report LO 6.6.4: Describe the authentication of balance sheet and profit and loss account LO 6.6.5: Discuss requirements of filing of balance sheets and profit and loss accounts with the registrar.

Interested director not to participate or vote in proceedings of directors (Section 216) Accounts (Section 230, 233, 236, 241 and 242 )

Dividend (Section 248 to 251)

LO 6.7.1: Explain the requirement relating to declaration of dividend and identify certain restrictions on declaration of dividend. LO 6.7.2: Describe the provisions applicable to payment of dividend.

Audit (Sections 252 to 257) 1 Audit (Section 252 to 257) 2 LO 7.1.1: Explain the provisions applicable to Appointment and remuneration of auditors Qualification and disqualification of auditors An auditors right to access the record and information An auditors duty to report and contents thereof Signature of an audit report

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