VACATION AND REMOVAL OF DIRECTORS
A director can leave office either by vacation or removal
This is the voluntary quitting of office by a director. It can happen anytime during the director’s tenure of office and for my reason such as ill health, age or agreement with the board. A director who is vacating office must follow the procedure if any laid down in the articles. He must give notice of such intention to vacate and his reasons. He should avail himself so that he can sort out his rights and obligations. He becomes liable for anything done while he was a director but not thereafter, hence, the date of his vacation is important for the purpose of determining his liability or otherwise for wrong acts.
This is when a director is forced to quit the position as a director. He may be removed either by operation of law or by the company on the following grounds:
The company must send a copy of the notice to the director concerned who shall be entitled to speak in his own defense at the general meeting. A removed director may claim compensation for the loss of office. If the vacancy created by the removal is not filled at the meeting by which he is removed, it may be filled by the directors as a casual vacancy.