
19/06/2025
Our corporate law experts are often faced with a recurring query from clients: What is the legal distinction between a director's removal and their resignation?
While both actions result in a director vacating office, resignation is voluntary and unilateral. Removing a director is procedurally more complicated – and often due to serious misconduct, a breach of fiduciary duties, or incapacity.
Understanding this difference – and legal consequences – is critical for boards, shareholders, and directors themselves, especially when disputes arise.
For a deeper explanation, read our latest article: https://stbb.co.za/blog-distinguishing-director-removals-from-resignations-what-every-business-should-know/
Need expert corporate law assistance? Contact our professionals at [email protected].