Directors Disqualifications

Directors Disqualifications Solicitors, London. International.

The privilege of trading with limited liability is something that may be removed from an individual for a period of time if they are found to be disqualified as a director of a limited company.

The reasons why a director may be disqualified can vary from negligence or incompetence, through to criminal behaviour and repeat offenders.

Director disqualification proceedings are often referred to as ‘quasi-criminal’ as they have a penal element to them. They are classed as civil proceedings, but in reality they are a hybrid.

There are various ways in which a director can be disqualified from acting as a director of a limited liability company. The most common of these is to be disqualified for ‘unfit conduct’ as a director of an insolvent company under Section 6 of Company Directors Disqualification Act 1986 (CDDA 1986).

The disqualification regime also applies to partnerships, shadow and de facto directors are also subject to provisions under the CDDA 1986. However, there are various other provisions contained in the CDDA 1986 and the Insolvency Act 1986 (IA 1986) that allow for the disqualification of a company director, which are less in common.

Our specialist team has expertise in CDDA applications and have a multitude of experience negotiating conditions with the Secretary of State for Business, Energy & Industrial Strategy (BEIS) to when seeking for permission for a director to act.

For further information please contact us via telephone on
0207 052 3545 or make an enquiry online.

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