Additional Director- Retire by rotation
This query is : Resolved
25 September 2010
3 additional directors were appointed on 04.01.2010 in a limited co. And at present these are the only directors in the company. Their designation will be changed in the upcoming AGM as the directors. This is an special business in AGM. So I would like to ask that whether these three directors are liable to retire by rotation. If no. then who will retire by rotation next year among the three.
25 September 2010
Normally as per terms of Articles and appointment director is liable to retire by rotation.
In next year out of 3 , i will be liable to retire by rotation(Sec 256), even though their terms do nto allow for retire by rotation as per Act, 1/3 directors must retire in AGM. Hence Articles cannot override the Act.
Therefore, in next AGM 1 will retire who is longest in office of director , in ur case as all are appointed on same day, it will be decide by lot or as per directors discussion who will retire in AGM
In next year out of 3 , i will be liable to retire by rotation(Sec 256), even though their terms do nto allow for retire by rotation as per Act, 1/3 directors must retire in AGM. Hence Articles cannot override the Act.
Therefore, in next AGM 1 will retire who is longest in office of director , in ur case as all are appointed on same day, it will be decide by lot or as per directors discussion who will retire in AGM
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25 September 2010
Agree with expert.
Only 1 will retire at the next AGM and who will retire may be decided through mutual understanding.
Rotational retirement is just a formality.
Rgds
Only 1 will retire at the next AGM and who will retire may be decided through mutual understanding.
Rotational retirement is just a formality.
Rgds
25 September 2010
Agree with Ms. Jagruti.
But at this current AGM one of regularize director will retire, otherwise your company will make default in complying the provisions of section 256.
I will suggest to first of all regularise these director before AGM and out of these three one will retire by rotation in the upcoming AGM.
Please clarify, If I am wrong.
Regards
Agree with Ms. Jagruti.
But at this current AGM one of regularize director will retire, otherwise your company will make default in complying the provisions of section 256.
I will suggest to first of all regularise these director before AGM and out of these three one will retire by rotation in the upcoming AGM.
Please clarify, If I am wrong.
Regards
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