Bowman v Secular Society Ltd [1917] AC 406

Court: House of Lords

Facts: The Secular Society Ltd, a company with objectives that included denying Christianity, was challenged on the grounds that its purpose was contrary to public policy. The case concerned whether its incorporation should be challenged based on its controversial aims.

Issue: Can the legality of a company's incorporation be challenged based on its objectives being contrary to public policy, once a certificate of incorporation has been issued?

Held: The House of Lords ruled that the certificate of incorporation is conclusive evidence of a company’s existence and validity. The court held that once incorporated, a company’s existence cannot be easily challenged, even if its purposes are controversial.

Key Judicial Statement: Lord Parker observed that "the law must protect the process of incorporation from being undermined by subsequent disputes over public policy. Once a company is incorporated, its legal existence is established, and it is not for the courts to retrospectively challenge that existence."

💡Leveluplaw: Once a company is incorporated, its legal existence is conclusive, and challenges based on public policy or controversial objectives are generally not permitted.