The directors duties, responsibilities and liabilities specified in the Act as well as under the common law where applicable, include the following key administrative and substantive duties, that is, to:
- discharge their responsibilities in the company;
- ensure that they have a reasonable degree of skill and knowledge to handle the affairs of the company;
- act honestly and be reasonably diligent in discharging their duties and act in the interest of the company without putting themselves in a position of conflict of interest.
- employ the powers and assets that they are entrusted with for the proper purposes of the company and not for any collateral purpose;
- to comply with all the requirements and obligations under the Act including those in respect of meetings, requisitions, resolutions, accounts, reports, statements, records and other documents on the company, filing and notices and any other prerequisites; and
- account to the shareholders for their conduct of affairs of the company and make such disclosures that are incumbent upon them under the Act.
Posted in: Company Directors and Shareholders FAQs