Question

Discuss the types of directors in accordance with the Kenya company Act 2015. (10 Marks)

  1. Discuss the types of directors in accordance with the Kenya company Act 2015.

Homework Answers

Answer #1

Under the Kenya Company Act 2015, there are five types of directors in association with any company. The categories of these directors are:

1. executive directors: executive directors are the chief executive directors or the managing directors which engages in day to day operations of the company and manage the organisation.

2. non-executive directors: a non executive director is a director which is not the part of executive team and doesn't engage in day to day operations and management of the company but is involved in decision making and policy exercises.

3. de-facto directors: a de-facto director is a person who is not formally appointed but who is about to occupy the position of the director.

4. shadow directors: A shadow director is a person who respective and in accordnace with whose instructions (nit the advice in a professional way) the directors for the company are obligated to act.

5. alternate directors: an alternative director is any individual who is being appointed to attend the board meeting for the behalf of the director of the company where the principal is not available at that moment.

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