{"id":3672,"date":"2022-06-07T02:05:56","date_gmt":"2022-06-07T01:05:56","guid":{"rendered":"https:\/\/legalvision.co.uk\/?p=3672"},"modified":"2025-01-26T15:57:34","modified_gmt":"2025-01-26T15:57:34","slug":"directors-rights-duties-uk","status":"publish","type":"post","link":"https:\/\/legalvision.co.uk\/corporations\/directors-rights-duties-uk\/","title":{"rendered":"What Rights and Duties Does a Company Director Have in the UK?"},"content":{"rendered":"\n

As a company director, you should be aware of your directors\u2019 duties and rights. The Companies Act 2006<\/em><\/a> outlines the bulk of general duties that a director will have towards shareholders. A company’s constitution<\/a> can supplement the Companies Act<\/em> and delegate more duties and rights per its own terms. <\/p>\n\n\n\n

Understanding the extent of company directors\u2019 powers is important for avoiding legal liability, as well as for meeting your responsibilities as a company owner. This article will explain some of the general rights and duties that company directors possess.<\/p>\n\n\n\n

What is a Company Director?<\/h2>\n\n\n\n

Company directors can form an important part of your business and are separate from the founders and shareholders<\/a> of your business. They are responsible for managing day to day operations. Further, they also have general fiduciary duties<\/em> to act in the best interest of shareholders. <\/p>\n\n\n\n

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Fiduciary duty is a legal term that requires the company director to act in good faith toward individuals to whom they owe a duty (in this case, shareholders). Typically, company directors will meet in frequent board meetings, where they will discuss points including strategy, proposed transactions, and annual accounts.<\/p>\n<\/div>\n\n\n\n

A business can have different types of company directors. Some examples include:<\/p>\n\n\n\n