Removal or resignation of an auditor
Removal or resignation of an auditor

The following Corporate practice note provides comprehensive and up to date legal information covering:

  • Removal or resignation of an auditor
  • Background
  • Removal of an auditor
  • Special notice of a resolution to remove an auditor
  • Notice of a resolution to remove an auditor does not need to be sent to Companies House
  • Rights of an auditor when removed from office
  • Resignation of an auditor
  • Notice of resignation of an auditor does not need to be sent to Companies House
  • Rights of an auditor on resignation
  • Notices and statements required on an auditor ceasing to hold office

Background

This Practice Note summarises the statutory provisions of the Companies Act 2006 (CA 2006) in relation to the removal or resignation of an auditor in respect of financial years beginning on or after 1 October 2015.

Section 18 and Schedule 5 of the Deregulation Act 2015 (DA 2015), which came into force on 1 October 2015, made a number of changes in relation to auditors, which include provisions dealing with the removal or resignation of an auditor. These provisions have effect in respect of financial years beginning on or after 1 October 2015.

For details of the statutory provisions in respect of financial years beginning before 1 October 2015, see archived Practice Note: Removal or resignation of an auditor—financial years beginning before 1 October 2015 [Archived].

In addition to the statutory provisions, there may be other rules relating to the removal and resignation of an auditor that apply to a listed company, an AIM company or a company with securities that are listed on the AQSE Main Market or AQSE Growth Market (formerly the NEX Exchange Main Board or NEX Exchange Growth Market) but these are outside the scope of this Practice Note.

In relation to a failure to re-appoint an auditor, see Practice Note: Failure to re-appoint an auditor.

Removal of an auditor

The members of a company may remove an auditor from office at any time.

This power

Popular documents