Companies Act 2014 section 819

Declaration by court restricting director of insolvent company in being appointed or acting as director etc.

Section 819 sets out the circumstances in which the court must impose a five-year restriction on a director of an insolvent company, preventing them from acting as a director or secretary unless certain minimum capital requirements are met.

• The court must restrict a director of an insolvent company for five years from acting as a director or secretary, or from forming or promoting a company, unless the company meets specified minimum capital requirements
• The restriction will not be imposed if the director can demonstrate that they acted honestly and responsibly, cooperated with the liquidator, and there is no other just and equitable reason for the restriction
• Minimum capital requirements vary by company type: €500,000 for public limited companies (excluding investment companies) and public unlimited companies, and €100,000 for all other companies, with all shares paid up in full in cash
• Details of any restriction declaration must be notified to the Registrar and the Corporate Enforcement Authority within 28 days of the court order being perfected