Removal of directors - company management, Business Law and Ethics

Removal of Directors:

By s.185(1) a company may by ordinary resolution remove a director before the expiration of his period of office, but notwithstanding anything in the articles or in any agreement between him and the company. Special notice must be given of any resolution to remove the director, or to appoint another director in his place.

On receipt of the special notice the company must send a copy to the director concerned who is entitled, if he so wishes, to make written representations (not exceeding a reasonable length) to the company. If the director so requests, the company must send the representations to the members with notice of the meeting unless the representations are received by it too late for it

to do so. In such a case the representations would be read out at the meeting at which the director would also be entitled to be heard. The representations need not be sent out by the company or read out at the general meeting if, on the application, either of the company or of any other person who claims to be aggrieved, the court is satisfied that they have been made in order to secure needless publicity for defamatory matter.

The removal will be effective if it is decided on by an ordinary resolution. In Bushell v Faith and Another (67) Harman, L J defined "an ordinary resolution" as "a resolution depending for its passing on a simple majority of votes validly cast in conformity with the articles".

Posted Date: 1/12/2013 4:44:42 AM | Location : United States







Related Discussions:- Removal of directors - company management, Assignment Help, Ask Question on Removal of directors - company management, Get Answer, Expert's Help, Removal of directors - company management Discussions

Write discussion on Removal of directors - company management
Your posts are moderated
Related Questions
Differences between registered companies and partnerships: The basic differences between registered companies and partnerships are as follows: (a) Formation Registration


Gist of Lord Buckleys statement: The gist of Lord Buckley's statement, above, may be summarised as follows: The judges will not regard a transaction undertaken by a company as

Determine the term miscoordination - Policy Formation A problem known as miscoordination in Policy Formation may also emerge and it may be either vertical or horizontal. Let us

Raising Of Capital: In commercial parlance, the word 'capital' is generally used to denote the amount by which the assets of a business exceed its liabilities. Conversely, in

Powers: The ultra vires doctrine limits a company's powers to the attainment of the company's objects under its  memorandum of association. Partnerships are not  affected by t

Types and Classification of Law: Rules of law may be classified as like;: For Written For National and International For Public and Private For Substantive

Q. What is phoenix-like activities? Phoenix activity and phoenix-like activities Many activities are referred to as "phoenixing" which do display phoenix-like characteristic

Question 1: Discuss the legal relationship between a bank and its customer with reference to the responsibilities of the parties towards each other. Question 2: This qu

Law of Agency - Lawful Rules Though the law of agency prescribes the lawful rules to ascertaining as:           (a) How a person possibly will become an agent; and one is