Kuwait Court of Cassation principle number 3828

Formation of a limited liability company or any amendment thereto. Requirement that it be embodied in an authentic instrument. The reason: it is a matter of public policy. Contravention thereof. Non-existence of the contract. Its effect: any interested party may invoke its nullity, and the court may rule on it of its own motion. The consequence. The agency for any amendment to this company's contract must satisfy the authentic-form requirement. - A partner's transfer of his share in a limited liability company. Its consequence: the amendment of the company's memorandum of association must be embodied in an authentic instrument and entered in the commercial register. The reason for that. Authentic instrument. Its meaning. An example concerning failure to embody the amendment of the company, a partner's transfer of his share therein, and the entry of others in an authentic instrument.