Code of conduct for company directors

An appointment to the board of dynamic Indian companies is not an enviable function. It comes with great responsibility and significant duties while exercising powers on behalf of the company.

Directors’ duties can be placed in three categories: Statutory, fiduciary, and as an agent and trustee of the corporation.

While the principles of agency apply to a large extent in their relationship with the company, a director has to use such skill as may reasonably be expected from a person of his knowledge and experience.

Further, every Indian company is governed according to the provisions of the Companies Act, 1956, and must adhere to its charter documents.

Priti Suri is the proprietor of PSA and Safeena Mendiratta is an associate.