CA Inter Corporate and Other Laws Important Questions with Solutions (2026 Exam)

Preparing the right set of questions can make a big difference in your CA Inter Law score. CA Inter Corporate and Other Laws Important Questions with Solutions focuses on exam-relevant topics from Company Law and Other Laws with clear, step-by-step answers. 

Practising these questions helps improve concept clarity, answer-writing skills, and time management. It also helps you understand the proper format and legal language expected in the exam. This approach is especially helpful for revision, as it allows you to focus on high-weightage areas and boosts your confidence for the CA Inter Law exam.

CA Inter Corporate and Other Laws Important Questions with Solutions (2026 Exam)

The Corporate and Other Laws paper is vital for CA Inter students. It tests your understanding of legal frameworks governing businesses. 

This section explores frequently tested topics, especially from the Limited Liability Partnership (LLP) Act, 2008. Understanding these questions helps you build a strong foundation. It also prepares you for the specific challenges of the upcoming 2026 exam.

Q1. Given that Sameer retired and GreenLeaf LLP continued with only Priya and EcoCorp Ltd., what should GreenLeaf LLP have done within six months to comply with the LLP Act?
A: The correct option is (d) Appointed at least one more partner who should also be a designated partner, as every LLP should have at least two designated partners.

Q2. According to the Limited Liability Partnership Act, 2008, choose the correct statement in relation to who must be a resident in India among the designated partners?
A: The correct option is (a) At least one individual designated partner shall be resident in India.

Q3. In the given case scenario suppose EcoCorp Ltd. also leaves the LLP and the LLP continues business for more than six months with only one partner, who is personally liable for the obligations incurred during that period?
A: The correct option is (a) Priya.

Q4. What is the time limit prescribed for preparation of Statement of Accounts and Solvency?
A: The correct option is (d) Six months from end of financial year.

Q5. A meeting of the creditors of ABC LLP was convened under the orders of the NCLT to consider a scheme of compromise and arrangement. Notice of the meeting was sent in the prescribed manner to all the 100 creditors with the total outstanding due of ₹50,00,000. The meeting was attended by 60 creditors with outstanding due of ₹ 40,00,000. As per the provisions of LLP Act, approval of how many creditors is required for sanctioning the scheme of compromise and arrangement? Assume that all creditors present at the meeting participated in the voting.
A: The correct option is (d) Approval of 31 creditors with an outstanding due of at least ₹30,00,000 is required.

CA Inter Law Important Concepts

Understanding key legal provisions is crucial for solving CA Inter law important questions. The Limited Liability Partnership Act, 2008, has several important areas.

Designated Partners and Residency

Every LLP must have at least two designated partners. At least one designated partner must be a resident in India. If the number of partners falls below two, the LLP must appoint new partners within six months. Failure to do so can make the remaining partner personally liable for obligations incurred after this six-month period.

Partner Liability and Contributions

Partners' liability in an LLP is generally limited to their agreed contribution. They are not usually personally liable for the LLP's debts. However, partners can be held personally liable in specific situations. For example, if the LLP operates with less than two partners for over six months, the lone partner becomes personally liable. Capital contributions to an LLP can be made in various forms. These include tangible or intangible property, money, promissory notes, or agreements for services.

Statement of Accounts and Solvency

All LLPs must prepare a Statement of Accounts and Solvency. This statement must be filed within six months from the end of the financial year. This compliance requirement ensures financial transparency.

Scheme of Compromise and Arrangement

For a scheme of compromise and arrangement with creditors to be approved, specific conditions must be met. A majority in number (more than 50%) of creditors present must approve it. Also, creditors holding at least three-fourths () in value of the outstanding dues must give their approval. For instance, if 60 creditors with ₹40,00,000 outstanding dues are present, at least 31 creditors representing ₹30,00,000 in value must approve.

CA Inter Law PYQs

Practicing CA Inter law PYQs helps students prepare for exam scenarios. These questions often focus on specific sections of the LLP Act, 2008.

LLP Name Identical to Existing Entity

If an LLP's name is identical to another LLP, company, or a registered trademark, the Central Government can direct a name change. This direction must be followed within three months. An application for such a change can be made within three years of LLP incorporation or name registration.

Formalities After Name Change

When an LLP changes its name, it must notify the Registrar of Companies. This notice, along with the Central Government's order, must be filed within 15 days of the change. The Registrar then updates the certificate of incorporation. The LLP must also amend its LLP agreement within 30 days of this certificate change.

Definition of a Small LLP

A 'Small Limited Liability Partnership' has specific criteria. Its contribution must not exceed ₹25 lakh (or a higher prescribed amount up to ₹5 crore). Also, its turnover for the preceding financial year must not exceed ₹40 lakh (or a higher prescribed amount up to ₹50 crore).

Winding Up by Tribunal

An LLP can be wound up by a Tribunal under several conditions. This includes if the number of partners falls below two for over six months. Other grounds include acting against India's sovereignty, defaulting on financial filings for five consecutive years, or if the Tribunal deems it just and equitable.

Fraudulent Activities and Penalties

Engaging in fraudulent activities has serious consequences for an LLP. Guilty persons face imprisonment up to five years and fines ranging from ₹50,000 to ₹5 lakh. They may also face criminal proceedings and be liable to compensate those who suffered losses.