The answer depends upon the corporate bylaws and the country. In most jurisdictions, a director may only be removed by shareholder resolution or expiration of term. Otherwise compensation may be required for a "voluntary" resignation, or a lawsuit may result. Sometimes the bylaws specify the compensation due.
Refer to "election and removal" in the article found at
http://en.wikipedia.org/wiki/Board_of_Directors
A company has a problem with one of their directors, they have written to say that he is failing to contribute fully with the company.
They would like to remove him, but would this cause them any financial problems?
3 answers
thanks for your help!
Thank you Madame!
1 answer