Section 5: Privileges and obligations of trade organisations. ⸻(1) A licensed and registered trade

5. Privileges and obligations of trade organisations. ⸻(1) A licensed and registered trade organisation shall be a body corporate with perpetual succession and a common seal and may sue and be sued in its own name and, subject to and for the purposes of this Act, may enter into contracts and may acquire, purchase, take, hold and enjoy movable and immovable property of every description and may convey, assign, surrender, yield up, charge, mortgage, demise, re­assign, transfer or otherwise dispose of or deal with, any movable or immovable property or any interest vested in it, upon such terms as it deems fit. 1Subs. by Act No. IV of 2025, s.4. (2) The liability of members of a licensed and registered trade organisation shall be limited to their membership subscription. (3) No trade organisation other than a licensed and registered trade organisation shall use in its name or title the word “Federation” or “Chamber” or “Association” except an existing trade organisation which has applied for grant of licence under this Act: Provided that nothing in sub­section (3) shall apply to a company, association or body of persons formed for promoting art, science, religion, charity, sports, any profession other than trade, commerce, industry, service or any other subject which the Government may, by notification in the official Gazette specify in this behalf.

Effective date: 2013-01-01

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