We are going to discuss here types of resolution it will give a clear concept about resolution. In accordance with the company Act 1994 enforceable in Bangladesh, the resolution of a meeting can be divided into three groups.
They are Ordinary resolution special resolution and extraordinary resolution. They are discussed in detail as follows:
Types of Resolution
1. Ordinary Resolution
A resolution that is simply passed by the majority votes (not less than three-fourths) cast by the members in person or by proxy is known as an ordinary resolution. The business of ordinary nature is recorded in such a resolution.
2. Special Resolution
A special resolution is that which records the decision of the meeting transacting some special business and which is passed by the majority of the members (not less than three-fourths).
3. Extra-Ordinary Resolution
The resolution which is passed in a meeting at the consent of three-fourths of the participating members with a view to serving emergency purposes is called extra-ordinary resolution.
The members must be communicated through notice before 14 days of holding a meeting to adopt such resolution and the extraordinary resolution must be explicitly mentioned in the notice.
A copy of the extraordinary resolution must be submitted to the registrar of the company within 15 days of adopting such resolution in the meeting.
Extra-ordinary resolution is necessitated to be passed for the following causes:
- Winding up of company at will,
- Dismissal of any director,
- Dismissal of management agent etc.
A flow chart of types of resolution given above.
Related Content of Company Meeting:
- Difference between Minutes and Resolution
- Resolutions Definition and Requisition of Resolutions
- Advantages and Disadvantages of Meetings
- Ordinary Resolution and Special Resolution
- Resolution by Circulation and Resolution Requiring Special Notice
- Minutes of Meeting Sample / Template / Format and Example
- Notice of Meeting Sample / Template / Example / Format
- Classification, Principles, and Importance of Minutes
- Difference between Minute and Proceeding