Study the legal effect of the companies managers decisions in beyond of stipulated authorities in constitution

Abstract

Growing trade relations and the establishment of commercial companies, are appropriate the validity of the contracts, especially contracts for corporations to the smallest companies to attract any capital, must be accurately evaluated with respect to the matters set forth in the statute. Companies should take action about their issue, but sometimes, they concluded that the transaction out of the statute is to affect the community and the rights of others to be treated, therefore the company authorization to contract out of the statute be examined and its legal status must be clear. The ruling concluded that the contract out of the statute is invalid and does not have legal protections. But is these contracts are invalid and can be authorized. Or basically they are invalid and cannot be authorized. Contractual rights of the parties in the transaction have a good faith and the rights of third parties that may be associated with this condition, must be determined. In French, trade out of the statute contracts against the contract parties with good faith, is valid. It is clear that the constitution is effective in capacity, willingness and authority of the company’s charter. On the other hand, invalidating the contract eliminates security of the trade, while the law should seek to strengthen trade ties between individuals, therefore, should seek a remedy and till to amend regulations it is better to apply the contracts, using cause (Tasbib) and no harm (Lazarar) rules, legal doctrines and jurisprudence as compensation.