Clause 105
Company Law Reform Bill [Lords]
2:45 pm
Jonathan Djanogly (Shadow Solicitor General (Also Shadow Minister for Trade and Industry), Law Officers (Assist the Home Affairs Team); Huntingdon, Conservative)
I have some sympathy with the Liberal Democrat amendments. People often deal with an unlimited company on the basis that there is no limit to the members’ liability. If they entered into the same transaction with a company that was limited, they would want to see other elements in the transaction, such as security, or a deposit, or a charge. If the company with which they have transacted subsequently becomes limited it would be fair to take their interests into consideration.