Election, Removal or Resignation of Directors
CorporationCentre.ca helps federal and provincial corporations prepare the corporate documents for directors to be elected or removed, or in case they resign. It's fast, easy to do and affordable.
A corporation's first directors are generally those named on the initial notice of directors that is sent to the government along with the corporation's Articles of Incorporation. These persons officially become the directors of the corporation as of the date mentioned on the corporation's Articles of Incorporation and they remain in office until they are re-elected, removed or resign.
Typically, shareholders elect the directors on an annual basis. The shareholders either re-elect the present directors for another term or elect new directors. If a new person becomes a director at any other point during the year, the corporation is required to prepare the proper corporate documentation at that time.
As a general rule, shareholders have the exclusive right to remove a director. Shareholders can remove a director by resolution at a special general meeting by a majority vote.
A director can resign at any time by giving notice to that effect. It is generally recommended that a corporation require a director's resignation to be in written form for purposes of proof.
CorporationCentre.ca will assist in your preparation of the corporate documentation for any new election of a director. This may include:
Shareholders Resolution. Shareholder resolutions are official decisions evidenced in writing which confirm decisions made by the shareholders. This resolution is signed by the shareholders of the corporation and placed in the corporation's minute book.
Notice of Change of Directors. Following the election, removal or resignation of a new director, the corporation is required to notify the appropriate government department or authority of such change by filing the applicable government form together with the prescribed government fee.
CorporationCentre.ca will mail to you the corporate resolutions and government forms for you to sign. The corporate resolutions should then be inserted in the corporation's minute book. The completed government forms should be forwarded to the government department or agency. Alternatively, CorporationCentre.ca may forward the government form directly to the appropriate government department or agency on your behalf.