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(p. 143) 10. Company law II: directors, finance, and capital 

(p. 143) 10. Company law II: directors, finance, and capital
Chapter:
(p. 143) 10. Company law II: directors, finance, and capital
Author(s):

James Marson

and Katy Ferris

DOI:
10.1093/he/9780198840602.003.0010
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date: 19 April 2021

Each Concentrate revision guide is packed with essential information, key cases, revision tips, exam Q&As, and more. Concentrates show you what to expect in a law exam, what examiners are looking for, and how to achieve extra marks. This chapter discusses the law governing company directors and shareholders. The common law duties on directors have been codified and expanded through the Companies Act (CA) 2006. Directors are responsible to the company itself, not to individual shareholders. Minority protection (of shareholders) is provided through the CA 2006 to restrict directors’ acts that may unfairly disadvantage them. Public companies must have a company secretary and they must satisfy statutory requirements in relation to their qualifications. Shareholders have no automatic right of management in the company although, through attendance and the rights to vote at shareholder meetings, they may have influence over the business conducted.

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