| RESIGNATION OF DIRECTORS |
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| Highlights | |
| Resignation when becomes effective |
| Whether acceptance of resignation required |
| Withdrawal of resignation | |
| Resignation of WTD or MD | |
| Verbal resignation | |
| Other points | |
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| 1 | Resignation when becomes effective | As per the articles provisions |
| Immediately | Articles doesnot contain any provision for acceptace of resignation |
| | Where articles allow directors to resign anytime |
| | |
| 2 | On acceptance | Where articles require acceptance |
| | Resignation states that it is effective from the date of acceptance |
| | Director tendered resignation is a MD or WTD |
| | |
| 3 | Withdrawal of resignation | Resignation once made cannot be withdrawn |
| Exception | Resignation requires acceptance and the withdrawal is made before the same is accepted |
| | Withdrawal is made with the consent of board or shareholders or in accordance with the articles |
| | |
| 4 | Resignation of WTD or MD | Resignation takes effect only on the acceptance of the same. Untill then he continue as director |
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| 5 | Verbal resignation | If the articles is silent, verbal resignation is valid provided the intention to resign is clear |
| Exception | Even the articles require written resignation, verbal resignation is valid provided the if the same in made in GM and the GM accept the same |
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| 6 | Other points | Resignation to be submitted to board or to the shareholders |
| | Resignation copy neednot be filed with ROC |