Question 1

Dodgy Director

Accepted Answer

Q: Our Directors may only serve as such if they are shareholders. Recently a joint shareholder decided to attend a Board meeting with a partner who is the "elected" Board Director. What is the view about the status of the second partner at such meetings and would it be appropriate to exclude them? Our issue is that potentially we could have nearly 32 joint shareholders attend our meetings! The Board has not adopted any standing orders separate from the Companies Act Schedule. FPRA Director Shula Rich replies: Directors meetings are for Directors only. Directors must be shareholders - but all shareholders cannot be Directors. If this lessee was elected as a Director personally then the partner cannot attend Directors' meetings. I don't think you need to make this clear with standing orders. Lessees votes as shareholders are different from Directors' votes.

Question 2

Dodgy Director

Accepted Answer

Q: Our Directors may only serve as such if they are shareholders. Recently a joint shareholder decided to attend a Board meeting with a partner who is the "elected" Board Director. What is the view about the status of the second partner at such meetings and would it be appropriate to exclude them? Our issue is that potentially we could have nearly 32 joint shareholders attend our meetings! The Board has not adopted any standing orders separate from the Companies Act Schedule. FPRA Director Shula Rich replies: Directors meetings are for Directors only. Directors must be shareholders - but all shareholders cannot be Directors. If this lessee was elected as a Director personally then the partner cannot attend Directors' meetings. I don't think you need to make this clear with standing orders. Lessees votes as shareholders are different from Directors' votes.

Dodgy Director

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