Write a note on the vacation of the office of the director.
CS Professional · Drafting, Pleadings and Appearances · PYQS · June 2024
Write a note on the vacation of the office of the director.
Answer & Explanation:
Vacation of the office of the Director The office of a Director shall become vacant in case the Director absents himself from all the Meetings of the Board held during a period of twelve months with or without seeking leave of absence of the Board of Directors. For the purpose of counting of the Board Meetings held, the counting should commence from the date of the first Board Meeting held immediately after the meeting which the director concerned last attended. A Board Resolution need not be passed to show that office of Director has been vacated by a particular Director. Vacation of office is automatic as soon as a Director is found to have incurred disability as contemplated by clause (b) of sub section (1) of Section 167 of the Companies Act, 2013. As a matter of good governance, due intimation of such vacation should be sent to such Director forthwith and the board may take note of such vacation at its next Meeting.
Topics: Company Law
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