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of <h1>Understanding Company Limited by Guarantee: Liability Restricted by Memorandum Under Section 2(21) of Companies Act 2013.</h1> A company limited by guarantee is defined under section 2(21) of the Companies Act, 2013, as a company where the liability of its members is restricted by the memorandum to a predetermined amount. This amount is what the members agree to contribute to the company's assets if the company is wound up.
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