Companies Act 2014 section 153

Provisions as to assignment of office by directors

Section 153 deals with the rules governing when a director of a company may transfer or assign their directorship to another person, requiring shareholder approval by special resolution.

• Applies to any provision in a company's constitution or any agreement that enables a director to assign their office to someone else
• Any such assignment of a director's office has no legal effect unless approved by a special resolution of the company
• This approval requirement overrides any contrary terms in the relevant constitutional provision or agreement
• The section ensures that shareholders retain ultimate control over who serves as a director of their company