FAQs

A common seal is an official device used by a company to emboss or imprint its name and other specified details on documents, indicating approval and authenticity.

As of the Companies Act, 2013, the use of a common seal is optional. Many companies have opted not to use it due to changes in legal requirements.

When using a common seal, it is typically affixed to documents after they are approved by the board of directors or as per the company's constitution. The seal serves as a formal indication of the company's agreement or authorization.

Yes, a company can change its common seal, but any change must comply with the company's constitution and be properly documented and reported to the relevant authorities.

The Companies Act does not prescribe a specific design for the common seal. However, it should contain the Name of the Company and State in which the Company is registered.

Incorrect use of a common seal may render documents invalid. It is crucial to follow the company's constitution and legal requirements when using the common seal to avoid legal complications.

Yes, companies can execute documents without a common seal. The use of a common seal is optional, and many companies choose alternative methods for document execution, such as signatures of authorized representatives.

Companies can refer to the Companies Act, 2013, and their Articles of Association for information on common seal usage. Seeking legal advice or consulting with professionals experienced in corporate law is recommended for specific guidance.