SEPTEMBER 2008

Companies Act 2006 Implementation Commencing 1 October

Corporate Directors

From 1st October a company will be required to have at least one director who is a natural person / individual. A company can no longer have all corporate directorships.

The only exemption to this is a grace period until October 2010 for any company that had only corporate directors on 8 November 2006, the day the Companies Act received Royal Assent.

Underage Directors

The Act also introduces a minimum age for a director of 16 years old. On 1 October 2008 existing underage directorships will cease with no notification to the Registrar required. However, companies will need to amend their register of directors to reflect the fact that the appointment has ceased. It also removes the restriction on directors over 70 years old.

The following Companies Act 2006 provisions also share the same implementation date:

• Objection to Company Names - Sections 69 to 74
• Trading Disclosures - Sections 82 to 85
• Provisions relating to the directors' 'conflicts of interest duties' - Part 10
• Share capital reduction through the solvency statement route - Sections 641 to 644
• Control of political donations and expenditure, provisions relating to an independent candidate - Sections 362 to 379
• Power of court to grant relief in certain cases - Section 1157
• Restoration for personal injury claims of companies dissolved prior to 16 November 1969 - Section 1295 of the 2006 Act, and Schedule 16 (repeals)