Al Meezan - Qatary Legal Portal | Legislations | Law No. 5 of 2002, promulgating the Law of Commercial Companies | Incorporation of Company

07 July 2022

08 Thul-Hijjah 1443

Legislations of Qatar 5686 legislations - 58361 Articles
Legislations of Qatar - International Agreements
Legislations of Qatar- Rulings

Law No. 5 of 2002, promulgating the Law of Commercial Companies

Law Summary Record Type: LawNumber: 5Date: 25/05/2002 Corresponding to 14/03/1423 HijriNumber of Articles: 348Status: In force

Official Gazette :Issue: 7Offcial Journal Issue Publication Date: 03/08/2002 Corresponding to 25/05/1423 HijriPage from: 17

Add New Section

Section Name

Article 230
Starting Date: 02/10/2002

A limited liability company shall not be established unless all cash shares and shares in kind are distributed among the partners and the value of each share is paid in full.

Cash shares of the company shall be deposited in one of the approved banks operating in the State. The bank shall not release the same except for the company managers and shall only do so upon the submission of documents proving the registration of the company in the Commercial Register.

Where a partner submits a share in kind, it shall be mentioned in the company Memorandum of Association along with its value, the price accepted by other partners as well as the name of the partner and the amount this share represents in the capital against what he offered.

The partner who offered the shares in kind shall be liable to others for the difference between the real and estimated value of such shares in the Memorandum. The remaining partners shall be jointly liable for the payment of such difference; unless it is proved that they are not aware of the same.

However, a liability claim shall not be heard in this case after the lapse of five years from the date of the company registration in the Commercial Register.

Add Comments