WHAT IS ORDINARY COURSE OF BUSINESS

This is an expression you must have seen in many laws. Section 188 of the Companies Act, 2013 uses this expression.

Ordinary course of business means what the company normally does or its core business activity. According to the Black's Law Dictionary, it means the normal routine in managing trade or business. 

 Usually, few professionals are of the view that whatever mentioned in Object clause of the Memorandum of Association (MOA) is company's ordinary course of business  but this is not the correct view because a company usually mentions all sort of activities but that does not mean that company shall resort to all such activities.

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