Section 28: Validity of actions

28. Validity of actions (1) Where the constitution of a company sets out the objects of the company, there is deemed to be a restriction in the constitution on carrying on any business or activity that is not within those objects, unless the constitution expressly provides otherwise. (2) Where the constitution of a company provides for any restriction on the business or activities in which the company may engage— (a) the capacity and powers of the company shall not be affected by that restriction; and (b) no act of the company and no contract or other obligation entered into by the company and no transfer of property to or by the company is invalid by reason only that it was done in contravention of that restriction. (3) Subsection (2) shall be without prejudice to sections 169, 170, 174 and 176. [Issue 9] C35 – 34 Revised Laws of Mauritius (4) The capacity of the company to do an act shall not be affected by the fact that the act is not, or would not be, in the best interests of a company.