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Corporate Governance: Directors Duties - Dissertation Example

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The paper “Corporate Governance: Directors’ Duties” focuses on the Companies Act, which has been in use for over a hundred and fifty years. This has been designed to provide companies with a framework within which companies with limited liability are required to work within…
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Corporate Governance: Directors Duties
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Download file to see previous pages The Companies Act of 2006 is an Act of the parliament of the United Kingdom of Great Britain and Northern Ireland. This is an Act to regulate the companies within the jurisdiction that have been set down by the Act. This act has been known to be the longest in the British Parliamentary history and has almost 1300 sections and covers over 700 pages, which contains lesser than 15 schedules. The list of the contents is a number of almost 59 pages. The Companies Act of 2006 has been created to override the Companies act of 1985. The old act, however, does have a number of parts that remain in force until the first of October 2009, when the Act of 2006 would be in full swing. There have however been a number of parts of the act that have been put into force currently. These include important aspects like the meetings, resolutions and also the company directors and secretaries. The Companies Act that has been put into action a comprehensive code of the company law for the UK and this has made a number of changes to almost every feature of the law in relation to the companies. Some of the important provisions are the common law principles which relate to the director's duties. Also the European Union’s Takeover and the Transparency Obligations Directives. There have been a number of new provisions that have been introduced for the private as well as public companies. The new Companies Act of 2006 also to a great extent almost amends and restates all of the Companies Act of 1985. The Bill for the Act has been introducing to the parliament and this was known as the ‘the Company Law Reform Bill’. This was introduced with the intention of making a number of wide-ranging changes to the existing statutes. The lobbying from the directors and the legal professions tried to make sure that this was changed to a consolidating Act. This was to ensure that the need for cross-referencing would be reduced between a number of different statutes. This, however, has not been well received by the legal professions in the UK. There have been a number of issues as it is said to have included a number of details to ensure that every eventuality is covered. Although a number of promises for the entire law were promised, it has been noted that a lot of the current structure is still the same, mainly to simplify the job and keep things as simple as possible. ...Download file to see next pagesRead More
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