Where company might be occupying legal position allowing further action (2,4)
I believe the answer is:
in play
'occupying legal position allowing further action' is the definition.
(in play can mean legal within a game or sport)
I cannot understand how the rest of the clue works.
(Other definitions for in play that I've seen before include "active" , "dead? On the contrary" , "performing publicly?" , "on the field" , "(Of ball in game) legally able to be hit" .)