Section 286 of the Companies Act, 2013
Section 286 of the Companies Act, 2013 deals with the Immunity of Government and certain other persons from liability in respect of contracts or arrangements entered into by companies.
Text of Section 286:
Section 286: Immunity of Government and certain other persons from liability
No suit, prosecution or other legal proceeding shall lie against:
The Central Government or
The State Government or
Any officer or other employee of the Government or
Any person acting on behalf of the Government
Key points:
The section provides legal protection to the Government and its officers/employees when they act in good faith under the Companies Act.
This means they cannot be held personally liable or prosecuted for actions taken honestly under the provisions of the Act.
It is essentially a safeguard for official actions done under the law to avoid frivolous litigation.
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