Pros And Cons Of Collins Ultra Vires

Collins argued that the contract was ultra vires, which means the contract is “beyond the powers”, thus illustrating that any powers exercised by an officer of the corporation are limited by the constituting, any act outside the limitations are considered ultra vires. Likewise, Collins constructed the lawsuit on the grounds that the construction on the land and building are beyond the power of the board of directors.
While Collins believes the contract was on the basis of ultra vires, he did not fully verify the certificate of incorporation. The certification of incorporation has authority approval from the corporation’s board of directors. The certificate of incorporation permits the board of directors to carry out any actions necessary to