Are you a company director? Do you hold that
position for the purposes of representing
and protecting your interests and investment
in that company?
If so, have you thought about what would happen
if you were to be injured or become disabled
to the degree that you could no longer attend
board meetings or participate in the voting process?
I’m John Gallagher from Argon Law, and I
want to tell you about how you can protect
your interests from such risks.
It makes good sense for everyone to execute
an enduring power of attorney by which you
appoint someone to make decisions and sign
documentation on your behalf in the event
that you lose the capacity to do those things
for yourself.
But appointing someone as your attorney doesn’t
mean that they can substitute for you as a
company director.
Directors need to be appointed in accordance
with the company’s constitution and any
other agreement between the shareholders.
You should therefore consider appointing an
alternate director, who can step as your substitute
in the event that you can’t perform the
role for any reason.
Such an appointment needs to be made in accordance
with the company constitution and other relevant
agreements and legislation.
And although, like an enduring power of attorney,
we hope no one will ever need to act under
it, the appointment of an alternate director
may well be worthwhile insurance to put in
place protect your valuable company investment.
So give us a call if you want to know more
about the appointment of alternate directors
or other aspects of business succession planning
and if you found this video useful then like
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