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Membership of the Company - Prohibition of Trusts The Companies Act prohibits “notice of any trust, express, implied or constructive” and such shall not be entered on the register of members or be receivable by the CAC.

All categories of company shares to carry one vote.

All employers and trade unions in both the public and private sectors of the economy are permitted to make adjustments to total remuneration packages through the process of collective bargaining.

The remuneration agreed requires the approval of the Federal Minister of Employment, Labour and Productivity.

LABOUR, HEALTH, TRADE & ENVIRONMENTAL STANDARDS: Factories Act Factories Act This Nigerian law makes general and special provisions for the health, safety and welfare of persons employed in places statutorily defined as “factories” and for which a certificate of registration is required by law.

It makes general provisions as to the standards of cleanliness, crowding, ventilation, lighting, drainage of floors, and sanitary conveniences: e.g.

In respect of safety, there are general provisions as to the securing, fixing, usage, maintenance and storage of prime movers, transmission machinery, other machinery, unfenced machinery, dangerous liquids, automated machines, hoists and lifts, chains, ropes and lifting tackle, cranes and other lifting machines, steam boilers, steam receivers containers, and air receivers.On the payment of a nominal fee it is possible to obtain from the offices of the Standards Organisation of Nigeria the prescribed standards for a number of products.National Agency for Food And Drug Administration and Control NAFDAC was established in 1993 with functions to regulate and control the importation, exportation, manufacturing, advertisement, distribution, sale and use of food, drugs, cosmetics, medical devices, bottled water and chemicals.Representative Offices Foreign companies may set up representative offices in Nigeria.

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A representative office however, cannot engage in business or conclude contracts or open or negotiate any letters of credit.Exemption to the General Rule Where exemption from local incorporation is desired, a foreign company may apply in accor-dance with Section 56 of the Companies Act, to the National Council of Ministers for exemption from incorporating a local subsidiary if such foreign company belongs to one of the following categories:(a) “foreign companies invited to Nigeria by or with the approval of the Federal Government of Nigeria to execute any specified individual project;(b) foreign companies which are in Nigeria for the execution of a specific individual loan project on behalf of a donor country or international organisation;(c) foreign government-owned companies engaged solely in export promotion activities; and(d) engineering consultants and technical experts engaged on any individual specialist project under contract with any of the governments in the Federation or any of their agencies or with any other body or person, where such contract has been approved by the Federal Government.” The application for exemption from disclosing certain details about the applicant is to be made to the Secretary of the Government of the Federation (SGF).

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