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Defects in Appointment:
S.181 provides that a director's acts shall be valid despite any defect that may afterwards be discovered in his appointment or qualification. This provision applies to technical defects in appointment or qualification, such as a failure to obtain the director's share qualification within the prescribed time. An example is Rv Camps (67).
Disqualification of Directors
Table A, Article 88 provides, under the heading "disqualification of directors" so then the office of directors shall be vacated if the director-
(a) ceases to be a director by virtue of s.183 (ie. failure to obtain a share qualification) or s.186 (ie. age limit); or
(b) Here becomes bankrupt or makes any arrangement or composition with his creditors generally; or
(c) becomes prohibited from being a director by reason of any order made under s.189 of the Act; or
(d) becomes of unsound mind; or
(e) The resigns his office by notice in writing to the company; or
(f) There shall for more than six months have been absent without permission of the directors from meetings of the directors held during that period.
Effect Of Rescission: Where a contract of allotment is rescinded, the former shareholder will be entitled to his money back (normally with interest) and to a refund of any exp
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