656 Public companies: duty of directors to call meeting on serious loss of capital
656 Public companies: duty of directors to call meeting on serious loss of capital
Companies Act 2006 | Legislation

(1)     Where the net assets of a public company are half or less of its called-up share capital, the directors must call a general meeting of the company to consider whether any, and if so what, steps should be taken to deal with the situation.

(2)     They must do so not later than 28 days from the earliest day on which that fact is known to a director of the company.

(3)     The meeting must be convened for a date not later than 56 days from that day.

(4)     If there is a failure to convene a meeting as required by this section, each of the directors of the company who—

(a)     knowingly authorises or permits the failure, or

Popular documents