division of powers

Definition: Refers to the allocation and distribution of authority and responsibilities between directors and shareholders within a company.

1. Term: Division of Powers

2. Term: Articles of Association

Definition: Previously used to outline directors' powers

3. Term: Constitution

Definition: A document that outlines the powers and governance structure of a company

4. Term: Management Power (Section 128)

Definition: Directors have primary responsibility for managing the company's business and affairs

5. Term: Power to Bind the Company (Section 18)

Definition: Directors' actions bind the company in external dealings

6. Term: Delegation of Powers (Section 130)

Definition: Directors can delegate most of their powers to committees

7. Term: Management Review (Section 109)

Definition: Shareholders have the right to ask questions

8. Term: Choice of Directors (Section 156)

Definition: Shareholders elect directors

9. Term: Ratification of Director Actions (Section 177)

Definition: Shareholders can approve decisions made by directors

10. Term: Appointment of Liquidator (Section 241)

Definition: In company liquidation

11. Term: Major Transactions (Section 129)

Definition: Transactions exceeding half the company's asset value require shareholder approval through a special resolution (75% vote)

12. Term: Calling Meetings (Section 121)

Definition: At least 5% of shareholders can requisition a meeting

13. Term: Unanimous Assent (Section 107)

Definition: Shareholders can bypass certain procedures if all shareholders explicitly agree

14. Term: Entrenched Provisions

Definition: Provisions in the constitution that cannot be changed

15. Term: Key Considerations

Definition: Highlighting the balance between directorial management and shareholder control