While the constitution of a company is technically a contract between, inter alia, the company and its directors, it is a unique contract created by statute pursuant to which no consideration is given and therefore it is not enforceable by the directors.

Question

Quizplus · Accepted Answer

The constitution of a company, while a statutory document, does form a contract between the company and its directors, among others, and is enforceable by the directors. It outlines the directors' duties, rights, and obligations to the company, making it a unique but enforceable contract despite the absence of traditional consideration.

While the Constitution of a Company Is Technically a Contract