Home › CA Inter › corporatelaws › Explanation Function › An 'explanation' added to a section is used to:
An 'explanation' added to a section is used to:
AOverride the section
BRepeal the section
CAdd penal consequences
DInclude something within the section or exclude something from it, clarifying scope
Answer & Solution
Correct answer: D. Include something within the section or exclude something from it, clarifying scope
1. Explanations are internal aids that clarify, include or exclude content from the operative part of a section.
2. They cannot enlarge or override the substantive provision but may restrict its sweep.
3. Hence (B).
_Source: ICAI BoS CA Inter Paper 2 — Interpretation of Statutes_