The formation conditions of corporative companies in Afghanistan’s legal system

Abstract

In Afghanistan's legal system, after the approval of the Law of Commerce in 1336 AH and the creation of numerous facilities in trade sector, various commercial companies were established, one of which is a corporative company. After the implementation of the law on corporative and limited liability companies in 2015, corporative companies compared to other commercial companies, considering the purpose and subject that the legislator has considered for it and the special attention that he paid to their introduction and legalization, and also the reception of these forms in economic and commercial activities, they have a distinguished and worthy position. Therefore, due to the important role that these companies have in economic development, they have attracted the attention of many people in society, but unfortunately, the lack of knowledge about how to form and align it with the needs of the society has created problems for some members and businessmen and the process of economic growth has been delayed. In this article, an attempt has been made to clearly explain the obligatory conditions for the establishment of corporative companies, which include the consent of partners, the preparation of statute, and formal procedures, in order to increase the level of awareness of businessmen regarding the creation of such companies.