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Microlesson · 5-min read

Service of Documents [Section 20]

# Section 20 — Service of Documents

Documents may be served on the following persons, by the modes listed — even if the AOA states otherwise.

## Service on Company or Officer (at Registered Office)

Permitted modes:

  • Registered Post or Speed Post
  • Courier service which provides proof of delivery
  • Leaving at the registered office
  • Electronic means (fax, email, etc.) or other prescribed mode

## Service on ROC or Member (at office or address)

Permitted modes:

  • Post, Registered Post or Speed Post
  • Courier service which provides proof of delivery
  • Delivering at the office or address
  • Electronic means (fax, email, etc.) or other prescribed mode

## Member's Right to Choose Mode

A member may request delivery through a particular mode by paying such fees as determined in the AGM.

## Special Rule — Nidhi Company

  • Documents are served only on members who hold shares of face value exceeding ₹1,000 OR more than 1% of paid-up share capital (whichever is lower).
  • For other members: Service is effected by publishing notice in a newspaper circulated in the district where the registered office of the Nidhi is situated, AND publishing on the notice board of the Nidhi.

## Key Takeaway

These provisions ensure that any notice/document is deemed validly served if it follows one of the permitted modes — regardless of contrary AOA provisions.

Worked example

### Example 1

Q: A Nidhi company has 5,000 members. Member A holds shares of face value ₹500; member B holds shares of face value ₹2,000. To whom must individual notice be served and how is service effected on others?

A: Notice must be served individually on member B (₹2,000 > ₹1,000 threshold). For members like A, service may be effected by publishing notice in a newspaper circulated in the district of registered office AND on the notice board of the Nidhi.

### Example 2

Q: A member of XYZ Ltd. wants all communications to be sent only by Registered Post. Can he insist on this mode?

A: Yes. Under Section 20, a member may request delivery in a particular mode subject to payment of such fees as determined in the AGM.

⚠️ Common exam mistakes

  • Treating 'exceeding ₹1,000 OR 1%' as 'higher of' — it is whichever is lower.
  • Forgetting that 'leaving at registered office' is a valid mode for company, but for ROC/member it is 'delivering at office or address'.
  • Assuming AOA provisions override Section 20 — Section 20 applies notwithstanding anything in AOA.
  • Forgetting that the courier service must provide proof of delivery to qualify.
Bare-Act text Section 20 · Companies Act, 2013 · click to expand
A document may be served on a company or an officer thereof by sending it to the company or the officer at the registered office of the company by registered post or by speed post or by courier service or by leaving it at its registered office or by means of such electronic or other mode as may be prescribed.
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