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Director disqualification solicitors

Under the Company Directors Disqualification Act 1986, you can be disqualified from being a company director if you don’t meet your legal responsibilities.

Our solicitors are experienced at advising clients on all aspects of director disqualification proceedings and can guide you through this complicated area of the law. 

The impact of director disqualification 

Director disqualification can have a life-changing impact by damaging your career options and reputation.

Disqualification can last for up to 15 years, banning you from being a director of any company registered in the UK and from being involved in forming, marketing, or running a business. Your details will also be published in the Companies House database of disqualified directors, with the potential to impact your credit rating. 

Director

There are other restrictions to consider if you’re disqualified. For example, you might not be able to sit on the board of a charity, school, police authority, health board or social care body. You can also be banned from being an accountant, solicitor, and other positions of trust.

What causes disqualification?

Disqualification of a director is most common when a company is allowed to continue trading when it is insolvent. However, directors can also be disqualified because of knowingly engaging in other unfit conduct.

  • Breaches of statutory duties under the Companies Act 2006
  • Failing to keep proper company accounting records
  • Not paying tax owed by the company
  • Using company money or assets for personal benefit

It is also important to be aware of the Rating (Coronavirus) and Directors Disqualification (Dissolved Companies) Bill - introduced to parliament in May 2021. The Bill is designed to extend the power to disqualify directors, even when the company that they were running has already shut down.

How our director disqualification solicitors can help

If the Insolvency Service has investigated your company and applied to the court for director disqualification proceedings, they will notify you of their intention. 

Whether you plan to enter a disqualification undertaking voluntarily or intend to defend your case in court, you must seek specialist legal advice and understand all available options. 

In the case of voluntary disqualification undertakings, it is sometimes possible to negotiate the period of disqualification offered downwards.

In some instances, it is also possible to obtain court permission to remain as a director despite a formal disqualification order or undertaking. These are known as Section 17 applications.

Contact our solicitors

Our director disqualification solicitors are available to help protect your interests through what can be a complicated process.

We have solicitors in London, Bath, Brighton, Eastbourne, Hastings and Ulverston, advising clients across England and Wales.

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