Board Meeting Resolutions
What is a resolution of the board of directors?
Resolutions are decisions that are passed by the board of directors at a board meeting that has been properly convened.
For a meeting to be properly convened, it must be called by a director who is authorised to do so, and they must notify the board in accordance with the company’s MOI (Memorandum of Incorporation). Where no specific time limits are imposed for the notice in terms of the MOI, the notice must be fair and reasonable.
Approval of Board Resolutions
Resolutions that are approved by a majority of the votes cast are effective immediately. Resolutions must be filed, and the records containing them must be maintained.