Companies Law

1. The paid-up value of subscribed shares shall be deposited with a bank licensed to operate in the Kingdom in an account in the name of the company under incorporation. Disposition of such account shall be entrusted only to the board of directors following the company’s registration with the Commercial Register. 2. If the company is not registered with the Commercial Register, subscribers may recover the amounts they paid from the banks through which they subscribed. In such case, the banks shall promptly refund such amounts to the subscribers, and incorporators shall be jointly and severally liable against subscribers for such obligation and for any due compensation. Incorporators shall bear all of the expenses incurred in the incorporation of the company and shall be jointly and severally liable to third parties for their acts and dispositions during the incorporation period.