Director resignation letter
Written notice of resignation from a director
Background
When and how can a director resign?
A director may always resign their office as a director by written notice to the company. The Articles may provide for a period of notice, but rarely do so. If the company has adopted the Model Articles, without amendment, these provide for a written resignation to take effect in accordance with its terms.
Does the company need to approve a director’s resignation?
There is no requirement for the resignation of a director to be approved by the company. As a matter of practice, the resignation might be noted at the next meeting of the board.
What Companies House filing is made for a director’s resignation?
The resignation needs to be filed at Companies House (by the company) within 14 days using form TM01.
About this director resignation letter
The resignation letter from a director to the company can be short and simple to achieve the purpose of the director’s resignation.
At times however, a longer form of letter is used. This is usually the case if there is a negotiated sale of the company and the seller resigns as a director on completion of the sale. The buyer may require that the seller includes in the resignation letter:
- confirmation that the company does not owe the resigning director any money
- confirmation that the resigning director does not have a claim against the company and waiving any claim that may exist
If the longer form of letter is used, it will need to be executed by the resigning director as a deed (in the presence of a witness) in order for these confirmations and waiver to be legally binding against the director.
Document features
Features include:
- alternative forms of letter – simple and longer form
- longer form letter includes
- confirmation that no amounts owed by the company
- confirmation of no claims against the company and waiver of any claims that may exist
- execution and delivery by the resigning director as a Deed
Explanatory guidance
As with all of our document templates, your purchase will include access to clear explanatory guidance on the document and its use.
All Paper Rock legal templates are written by highly qualified English lawyers that are currently practising in the field of commercial and corporate law. The templates you download here reflect the same quality as if you’d instructed our lawyers to draft them for you. They also write all our document descriptions so you can rest assured every bit of information is legally accurate up to date.
Whatever your method of purchase, there is no limit to the number of times you can download your templates. However, many customers prefer to invest in an annual subscription. This offers exceptional value with unlimited downloads from our entire document library.
The Paper Rock team is available to answer questions via Live Chat during UK business hours. When live chat is unavailable, email support@paperrock.com. We aim to respond to your emails within a 24-hour period. We also encourage you to ask questions via our social channels.Â