LAW201: The landmark company law case of Saloman v Saloman & Co Ltd held that Mr Saloman the founder of the company: COMPANY LAW Assignment, HU, Malaysia

University HELP University (HU)
Subject LAW201: COMPANY LAW

ASSIGNMENT Question- Part 1-Group Assignment

The landmark company law case of Saloman v Saloman & Co Ltd [1897] AC 22 held that Mr. Saloman the founder of the company is separate from the company he established known as Saloman & Co Ltd.

The House of Lords stated as follows:

The company is at law a different person altogether from the subscribers to the memorandum; and though it may be that after incorporation the business is precisely the same as it was before, and the same persons are managers, and the same hands receive the profits, the company is not in law the agent of the subscribers or trustee for them. Nor are the subscribers liable, in any shape or form, except to the extent and in the manner provided by the Act”

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