- Lee RoachLee RoachSenior Lecturer in Law, University of Portsmouth
This chapter looks at the various ways in which a director can cease to be a director: resignation; vacation of office in accordance with the articles; retirement by rotation; removal; and disqualification. A director can resign at any time by giving notice to the company, which must accept his resignation. A company's articles can specify what circumstances will cause a director to vacate office as well as require its directors to periodically vacate office and, if they so wish, seek re-election. Section 168 of the Companies Act 2006 (CA 2006) provides that a director can be removed from office by a company passing an ordinary resolution at a meeting. Meanwhile, under the Company Directors Disqualification Act 1986, a director can be disqualified from acting as a director, either by the court imposing a disqualification order; or by the Secretary of State accepting a disqualification undertaking from the director in question.