Does a private limited company require to obtain licence under Shops and Establishment Act?
Anil Agrawal (Retired) 13 August 2009
Does a private limited company require to obtain licence under Shops and Establishment Act?
badrinath (Sr.Manager-human resources) 14 August 2009
i take that its a "manufacturing company" and if its so, they have to get "Factory licence" under the factories Act. they need not get licence under shops and establishment Act.
shaeilesh (lawyer) 14 August 2009
The private limited co need not to register as per shop and establishment act. but the company must register under the companies act 1956.
Anil Agrawal (Retired) 30 August 2009
Section 2(4) of S&E Act says:
(4) "Commercial establishment" means an establishment which carries on, any business, trade or profession
A private limited company certainly carries on some business. How can it not be covered under the Act.
Ashish Ovalekar (Manager Legal & Compliance) 04 September 2009
Dear Mr. Anil,
You are right in stating that every commercial establishment needs to be registered under the Shops Act, if they are not covered under the Factories Act, or Mines Act.
Most of the High Courts have interpreted the definition of Industry in different terms, and hence the State Government have been through notifications are increasing the applicability of the act to more and more trades, professions and businesses.