Limitation of the Board of Directors' Authority in the Sale of Company Assets based on the Principles of Good Corporate Governance

Authors

  • Lalu Nasrul Hadi Master of Notary Study Program, Faculty of HISIP, University of Mataram, Indonesia
  • Zainal Asikin Master of Notary Study Program, Faculty of HISIP, University of Mataram, Indonesia
  • Eduardus Bayo Sili Master of Notary Study Program, Faculty of HISIP, University of Mataram, Indonesia

DOI:

https://doi.org/10.31305/rrijm.2024.v09.n10.015

Keywords:

Board of Directors, Limited Liability Company, Company Assets

Abstract

This study aims to examine and analyze the boundaries of the Board of Directors' authority when it comes to selling company assets, as well as to explore the principles of oversight in limited liability companies grounded in good corporate governance. The research follows a normative legal approach, utilizing both statutory and conceptual methods. Data sources include both primary and secondary information, with secondary data encompassing primary, secondary, and tertiary legal materials from literature. According to Law No. 40 of 2007 on Limited Liability Companies (UUPT), the Board of Directors holds the authority to represent the company in transferring its assets. If there are multiple directors, each member of the Board retains the right to represent the company.

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Published

21-10-2024

How to Cite

Hadi, L. N., Asikin, Z., & Sili, E. B. (2024). Limitation of the Board of Directors’ Authority in the Sale of Company Assets based on the Principles of Good Corporate Governance. RESEARCH REVIEW International Journal of Multidisciplinary, 9(10), 138–144. https://doi.org/10.31305/rrijm.2024.v09.n10.015