MEANING AND USE OF THE LEGAL TERM: INTRA-VIRES

Meaning: Intra-vires is a Latin legal term that translates to “within powers.” It denotes actions or decisions taken by an entity that fall within its legally defined authority or powers. This term is frequently used in the context of corporate governance, where it signifies actions or resolutions that a company or organization is expressly permitted to undertake according to its constitutional documents or governing laws.

Use: In legal contexts, intra-vires is invoked to ascertain whether a particular action, decision, or resolution is within the scope of authority granted to an entity. For example, in corporate law, if a company wishes to engage in a certain business activity or make a significant decision, it must ensure that such actions are not beyond the powers outlined in its memorandum of association or governing statutes. If an action falls outside these prescribed powers, it may be deemed ultra vires, meaning beyond the authority or powers granted, and therefore invalid or unenforceable.

Understanding the concept of intra-vires is essential for ensuring that entities operate within their legal boundaries and adhere to the limitations set forth by their governing documents or statutes. This term serves as a crucial criterion for determining the validity and legality of actions undertaken by corporations, organizations, or other entities within the framework of the law.