Promote

The company has the power to:

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3.2.13 To promote any other company for the purpose of acquiring the whole or any part of the business or property or undertaking or any of the liabilities of the Company, or of undertaking any business or operations which may appear likely to assist or benefit the Company or to enhance the value of any property or business of the Company, and to place or guarantee the placing of, underwrite, subscribe for, or otherwise acquire all or any part of the shares or securities of any such company as aforesaid.


I don't quite understand what 'to promote' means here.
Is it:
a) to found (establish) a new company
b) to advertise (and undertake similar activities) in order to improve or strengthen its positions on the market.

The both of the meanings doesn't fit with 'acquiring the whole or any part of the business or property' which can be done only with a rival company.

I would say (b).

"To promote" doesn't mean only to strengthen market position, but to advertise either formally or informally (e.g. 'word of mouth') for the purpose of raising the profile or reputation of something. You can "promote" ideas, for example.

In this case, I think a suitable synonym would be "to advocate".

Well, yes, but you don't usually promote a company whose business you're planning to acquire, don't you?

Quote:

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Originally Posted by Ramil

Well, yes, but you don't usually promote a company whose business you're planning to acquire, don't you?

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Not to outside world, but you can promote it to somebody, e.g. to your Board of Directors.

I think the meaning is your option a). So 3.2.13 is saying that this company (say Company A) can found or bring into being another company (say Company B) for the various purposes stated. The "acquiring the whole or any part of the business or property" language means that Company B can acquire all or part of Company A. So it is not referring to a rival company.

The verb "to promote" is used in an 1881 legal form book for Memoranda of Association, and there in the comments following clause (7) a legal case is discussed showing why the language in this clause is necessary. In that case the court held that where the objects of a company did not state this power to promote "the company had no power to assist in floating another company by taking shares in it." http://books.google.com/books?id=po0DAA ... A1-PA68,M1

One of the meanings of "to promote" is "to bring or help bring (as a business enterprise) into being" Webster's Third New International Dictionary 1815 (1993). Also a definition of "promoter" is "a person who puts together a business, particularly a corporation, including the financing." http://dictionary.law.com/default2.asp? ... =promote||

Thanks, this made the things clearer.

Good one, Ken, that makes sense now. I guess it is (a) after all.

Boy, business language is a whole other animal isn't it?

Quote:

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Originally Posted by Matroskin Kot

Good one, Ken, that makes sense now. I guess it is (a) after all.

Boy, business language is a whole other animal isn't it?

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No, it's just the lawyers make things difficult. I think they feel a deep satisfaction when they create passages no one but them could understand. :) If they only thought about people who has to read and actually try to understand what they had written.
The funny thing about 'the lawyers' language' is that it often contains a lot of lists of actions, objects, etc. To make it compact it's usually given in comma separated lists which makes a sentence a mile long.
Translating these lists in Russian (for example it's tough to translate 'obligations, debts and liabilities' since they mean nearly the same things in Russian). Assuming that there's a difference in English between them, you try to pick up synonyms and to pile them up in order to provide a precise translation. This makes the Russian sentence to look like it's been written by a madman. :D I wonder is there a special course for lawyers 'How to express your thought the most cumbersome way possible".

Quote:

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Originally Posted by Ramil

No, it's just the lawyers make things difficult. I think they feel a deep satisfaction when they create passages no one but them could understand. :) If they only thought about people who has to read and actually try to understand what they had written.
The funny thing about 'the lawyers' language' is that it often contains a lot of lists of actions, objects, etc. To make it compact it's usually given in comma separated lists which makes a sentence a mile long.
Translating these lists in Russian (for example it's tough to translate 'obligations, debts and liabilities' since they mean nearly the same things in Russian). Assuming that there's a difference in English between them, you try to pick up synonyms and to pile them up in order to provide a precise translation. This makes the Russian sentence to look like it's been written by a madman. :D I wonder is there a special course for lawyers 'How to express your thought the most cumbersome way possible".

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I can't imagine even trying to do what you are doing. I'd be tearing my hair out in the first hour. I hope you're being paid well. :)