What are Directors Duties and Responsibilities?
A director must, in the performance of his/her duties, satisfy all the obligations imposed upon him/her by law as well as the corporation’s Articles of Incorporation and By-Laws, and he/she must act within the limits of the powers conferred upon him/her. Act With Prudence And Diligence Legislation typically requires every director to exercise reasonable care and prudence, while taking into account the director’s competence, experience and position in the corporation. This statutory duty does not require a director to be competent per se, but it obliges a director to do his/her best, given that person’s competence and business sense. A director must also act with diligence in order to compensate for any weakness he/she might have by seeking the aid of qualified advisors. Honesty And Loyalty Legislation also often imposes a good faith requirement upon all directors by obliging them to act with honesty and loyalty and in the best interest of the corporation. Unless he/she is expressly aut
