Question

Except with the consent of the Board of Directors given by a resolution at a meeting of the Board and subject to such conditions as may be prescribed, no company shall enter into any contract or arrangement with a related party with respect to ______

Q: Answer-Except with the consent of the Board of Directors given by a resolution at a meeting of the Board an...

Section 188 of the Companies Act, 2013, regulates Related Party Transactions RPTs, prohibiting companies from entering specific contracts e.g., salepurchase of goods, leasing, property disposal, or appointing agentsplaces of profit with related parties without prior Board approval. Material transactions exceeding prescribed thresholds require shareholder approval via resolution, where the related party must abstain from voting.