Legal information
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When it comes to transferring shares, whether by sale, donation or otherwise, it is important to respect the rules set out in the law in order to have a valid transfer. For corporations incorporated under Quebec law, the rules surrounding transfers are set out in the Securities Transfer Act, while for federal corporations, the rules are set out directly in the Canada Business Corporations Act -
The fact of holding the office ofdirector within a corporation implies its share of responsibility. In fact, both corporate and tax laws provide for various cases where directors incur personal liability for the company's obligations. For example, both the Business Corporations Act and the Canada Business Corporations Act provide that the directors of the corporation are jointly and severally liable to the employees
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Transfers of shares, by sale, gift or otherwise, often occur between persons with family ties, particularly within family businesses. In such transactions, it is important to comply with the provisions of the tax laws (both federal and provincial) in order to avoid undesirable tax consequences. The Income Tax Act provides that a person who disposes of property to a person with whom
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One of the major differences between the Canada Business Corporations Act (CBCA) and the Quebec Business Corporations Act (QBCA) is that the CBCA prohibits the issuance of shares that have not been fully paid for in cash, property or services. To this effect, section 25(3) of the CBCA states: "No shares may be issued until they have been fully paid for in cash or in property or services rendered of which
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When the time comes to incorporate a business, it is necessary to decide under which law the company will be incorporated: the Quebec law (Business Corporations Act, hereinafter referred to as the "QBCA"), or the federal law (Canada Business Corporations Act, hereinafter referred to as the "CBCA"). Although the two incorporation acts are generally very similar, they each have their own particularities. Locations of the company's business and head office It
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It is not always easy to find a business name, especially since the choice of name is restricted by various laws in Quebec. First, the name of corporation must end with "inc.", "ltée", or "s.a.", unless the name contains the words " corporation " or "compagnie". Then, you must ensure that you comply with the legislative requirements imposed by the
The information contained in the articles on the IncorporationQuebec.net website does not constitute legal opinions, and is only general information intended to popularise certain legal concepts relating to company law or SME taxation. The information contained in the articles may not be applicable to certain specific cases. Pronto Corporate Services Inc. and the author of the texts are not responsible for any error, inaccuracy or out-of-date information that may be contained in the articles.
January 20, 2023
As of March 31, 2023, it will be required to declare the ultimate beneficiaries of companies in the company register. The concept of ultimate beneficiary is
October 7, 2023
Since 2018, federally incorporated corporations have been required to maintain a register of individuals with significant control ("PCI"). The purpose of the register is to
October 23, 2023
When a company is incorporated, so-called "control" shares are often included in the share capital structure. These shares enable the holder to
October 24, 2023
The election of a company's directors is an important component of corporate governance. Here are a few practical considerations. Number ofdirectors At
March 21, 2024
Determining the ultimate beneficiaries for the purposes of the Act respecting the legal publicity of sole proprietorships ("LPLE") can be complex when one of the shareholders is
March 26, 2024
The three "basic" rights attached to a company's shares are the right to receive any dividend declared, the right to vote at any general meeting, and the right to vote at any general meeting.