The choice of a new director is important – and not always for the reasons you might think. We highlight two below:
- Not all directors of a company are employees. But when you appoint a new director, you should consider whether the appointee will become an employee. It’s an important issue, because employees enjoy certain statutory rights, but a director does not.
- Moreover, unless you limit his powers, a director can commit the company without the approval by the other directors if he acts within the scope of his apparent authority.
You need the right advice when appointing a new director and we are here to help you.
Sometimes an individual decides to retire as a director. Occasionally, this causes disruption to the business, but it is often planned and discussed in advance.
Removing a director from office can be more complicated. There are a number of issues to consider, such as:
- Minimising the damage to the business
- Managing the risk of a claim by the director
- If appropriate, negotiating the terms on which the director will leave the business
At Malcolm C. Foy & Co we have considerable experience in dealing with these issues and can give you the right advice about them.
If you would like to discuss a potential matter or would like any further information then please contact one of our team using the details shown on this page.