ROAD TRANSPORT CORPORATIONSCentral

Section 9 of The Road Transport Corporations Act, 1950

Vacancies amongst members or defect in the constitution not to invalidate acts or proceedings of a Corporation.

No act or proceeding of a 1[Corporation or its Board] shall be invalid by reason only of the existence of any vacancy 2[in its Board] or any defect in the constitution thereof.

Summary

This section protects the legality of the corporation's actions.
An act or proceeding of the corporation or its Board is not invalid just because there is an empty seat on the Board.
Errors or defects in the way the Board was formed do not cancel out the Board's past decisions.
This ensures that bus services and business deals continue even if a legal mistake is found in the Board's setup.

Practical examples

1The Board of the State Transport Corporation voted to buy fifty new buses. Later, it was discovered that one of the Directors was actually disqualified from serving. Under Section 9, the purchase of the buses is still legally valid.

2There are supposed to be seven Directors on the Board, but two resigned and have not been replaced yet. The remaining five Directors meet and approve a new staff training program. Section 9 ensures this approval is legal despite the two vacancies.

FAQ

1. Does a vacancy on the Board make its decisions illegal under Section 9 of the Road Transport Corporations Act, 1950?

No, Section 9 of the Road Transport Corporations Act, 1950, states that no act or proceeding is invalid only because of a vacancy on the Board.

2. What happens if there is a defect in the constitution of the Board under Section 9 of the Road Transport Corporations Act, 1950?

Under Section 9 of the Road Transport Corporations Act, 1950, the acts of the Board remain valid even if there was a defect in how the Board was constituted or formed.

3. Does Section 9 of the Road Transport Corporations Act, 1950, apply to both the Corporation and its Board?

Yes, Section 9 of the Road Transport Corporations Act, 1950, covers the acts and proceedings of both the Corporation and its Board of Directors.

Test yourself

1.Under Section 9 of the Road Transport Corporations Act, 1950, a Board decision is still valid even if:

2.According to Section 9 of the Road Transport Corporations Act, 1950, what is the effect of a "defect in the constitution" of the Board?

3.If a Director is removed under Section 8 and a vacancy is created, can the Board still function legally under Section 9 of the Road Transport Corporations Act, 1950?

4.Under Section 9 of the Road Transport Corporations Act, 1950, who is protected from having their proceedings declared invalid due to a vacancy?

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