Blog

It is important to file the annual update prescribed by law with the Enterprise Registrar (or with Corporations Canada, for federal corporations), in order to avoid late penalties, but also to avoid the dissolution of the corporation . Indeed, the Legal Publicity of Enterprises Act provides, in its section 59, that any failure to produce the annual update for two consecutive years may result in

The board of directors plays a fundamental role in a corporation. Indeed, it has broad management powers since it is the main decision-making body. Throughout their term of office, the directors are called upon to manage the activities and internal affairs of the company in its best interests. To ensure the sound administration of corporations, the Quebec and federal legislators have set out various conditions of eligibility for the position

What is a trademark? A trade mark is a combination of letters, words, sounds or symbols that identify and distinguish the goods and services of one company from those of another. Trademarks are valuable intellectual property assets because they reflect your company's identity and are an effective way to build your reputation and gain recognition. A good trade mark increases

In Canada, a corporation may be incorporated under either provincial (in this case, Quebec law) or federal legislation. There are differences between these two incorporation regimes, although there are not really any fundamental differences. Ultimately, a provincial corporation is not necessarily limited to the territory of the province in which it is incorporated to carry on its activities; and conversely, a federal corporation may very well carry on business locally without having a local focus.

It is common in family business structures that the shareholder of the company is not the founder of the company directly, but rather a family trust, with the founder and all family members as beneficiaries. The trust may become a shareholder at the start of the business, but more often it will become a shareholder on the occasion of a share freeze, when the business has reached a certain value and profitability. Here is an overview of

A unique feature of Canadian tax and corporate law is the use of the share freeze in the context of a reorganization of a corporation. This article provides a general and introductory overview of the share freeze. What is a share freeze? A share freeze generally involves the exchange or conversion of common shares into redeemable preferred shares that will be valued at the fair market value of the common shares

The corporation (inc.) and the general partnership (s.e.n.c.) both allow a business to be operated by several people, as shareholders or partners. There are several differences between these two types of business operations, both legally and fiscally. We offer you an overview of 3 major differences. Legal personality and liability of the members corporation is a "legal person", with a legal personality

An amalgamation is the joining of several corporations into one, and requires articles of amalgamation to do so. In order to amalgamate two or more corporations, it is imperative that the amalgamating corporations be governed by the same law; for example, it is not possible to amalgamate a provincial corporation with a federal corporation. In this case, one of the corporations must be continued in the other

The Quebec business corporation regime, like other provincial regimes, expressly permits the issuance of uncertificated shares. This is also the case for almost all incorporation regimes in the various American states. Although relatively little used by private companies in Quebec, uncertificated shares are gaining in popularity. Here's a look at some of the advantages of choosing to issue uncertificated shares. Uncertificated share transactions Like