Signing accounts

Signing accounts

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Hello

We have a limited company that has three equal shareholder directors.  Only two have approved the accounts - is this sufficient to proceed and file with just the two signatories?

Thanks

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Jennifer Adams
By Jennifer Adams
23rd Dec 2011 10:41

As ever with Company law - it depends

It depends on whether two make a valid quorum for the directors meeting where the accounts are to be approved. 

If the usual Model articles are being used then the answer is ‘yes’. If the articles are silent on the quorum and specifically state that the Model articles are not being used then the quorum will default to a majority - which again in your case is two.

 

 

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By pjclar02
23rd Dec 2011 10:47

Great - thanks

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Euan's picture
By Euan MacLennan
23rd Dec 2011 11:11

Just to add

The board of directors approves the accounts by the specified majority, but usually authorises just one director to sign the balance sheet.

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